Corruption is bad for business. It weakens a states capacity to protect business owners from having to pay bribes, or even from losing the company they built. Fortunately for Danish founders and owners, Denmark is still the least corrupt nation in the world. On 31st. January 2023 the NGO Transparency International published their annual Corruption Perception Index placing Denmark alone on top.
On top since 2018
This marks the second year running that Denmark is the least corrupt nation on the globe. The country has been at or near the top since 2018. Each year Transparency International measures 180 countries on a scale ranking from zero at the bottom to 100 at the top. This year Denmark scored 90, while the closest runners-ups, Finland, and New Zealand, both scored 87.
Completing the top ten are Scandinavian neighbours Norway and Sweden together with Singapore, Netherlands, Switzerland, Germany, Luxembourg and Ireland. Meanwhile, previous top-scorers UK, Canada and Austria have all dropped noticeably over the past five years.
Perception of corruption important for decisions
Transparency International have published their Corruption Perception Index since 1995. It ranks countries based on how corrupt their public sector is perceived to be and draws on corruption-related data collected by a variety of reputable institutions. This method has been criticized, but according to its authors the Index is meant to measure “perception” and not “reality” because “perceptions matter in their own right, since… firms and individuals take actions based on perceptions”.
Absence of corruption ensures equality before the law
The organization defines corruption as the abuse of entrusted power for private gain which eventually hurts everyone who depends on the integrity of people in a position of authority. By affecting the operation of law enforcement agencies, the courts and the prison system, corruption weakens the rule of law and the basic principle of equality before the law.
Great place to launch a business
The lack of corruption is just one of many indicators that make Denmark, its capital Copenhagen and the innovation district Copenhagen Science City a great place to do business”. It is, however, an important one. Since corruption also fosters political instability, unrest and even violence, it is spectacularly bad for business.
An innovation district in the heart of Copenhagen
Copenhagen Science City is an innovation district in the heart of the Danish capital. It is home to University of Copenhagen, University Hospital Rigshospitalet and University College Copenhagen. With 40,000 researchers, students and staff, 450 deep-tech start-ups and nine incubator- and accelerator programmes it is “Possibly the best place in Europe to launch or scale your innovation based business”.