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33% of SMEs in Russia Faced Corruption in 2018
January 28, 2019 16:50


 Research: every third Russian entrepreneur was requested to pay a bribe in 2018. 

33% of entrepreneurs from the small and medium-sized business segment faced corruption in 2018, as it was stated in a joint study of “Russian Business Success” and “” 11% agreed to pay a bribe, while 22% refused. 37% of respondents believe that the authorities neither interfere, nor help the development of entrepreneurship in the country.

Almost half of respondents (46%) complain that local officials are constantly creating barriers to business development. 17%, on the contrary, are confident that the authorities create all the necessary conditions for the business development.

The official representative of the Prosecutor General's Office, Alexander Kurennoy, said that in the first nine months of 2018, the number of bribes increased by 3% compared to the same period in 2017: a total of 10.179 facts of bribes amounting to 1.8 billion rubles were recorded. Entrepreneurs interviewed by the publication believe that corruption pressure on business has decreased, but bureaucracy still prevents the development — in particular, excessive suspicion of control and supervisory authorities.

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We recall that in August 2018 Kommersant magazine published the results of a survey conducted by the Chamber of Commerce and Industry (CCI) within the framework of the Business Corruption Barometer Project.

The report stated that Russian entrepreneurs noticed a decline in corruption. Russian entrepreneurs noted that there was less corruption in business: in two years, the number of businessmen who complained on constant corruption fell by 7% (from 17% in 2016 to 10% in 2018).

The number of entrepreneurs who rarely dealt with corruption in their activities increased from 21% to 28%. At the same time, the size of bribes was dropping according to the survey: if in 2016 about 3.7% of respondents reported illegal payments of more than 1 million rubles, now they make 1.4%. Moreover, the number of reports of bribes dropped from 25 to 150 thousand rubles - from 18% to 14%. 

39% of respondents believe that the absence of corruption would not affect the annual scope of sales; a quarter of them said that business would become more successful. And every tenth entrepreneur believes that the absence of corruption would reduce the sales.

Find more about Russian laws and consult our attorneys.


Author: Anna Dorozhkina

Tags: Russian business Russian economy    

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