Other measures include clearly separating executive and judiciary powers, revising public pay scales, and launching tax and tariff reforms. Since the early 1990s the World Bank has been promoting good governance in its country assistance strategies and lending. Its research programs have improved understanding of the causes and effects of corruption in developing countries. A two-part strategy aims to help countries match the state s role to its capability and improve the quality of its institutions. This requires taking stock of a state s capabilities and ranking the economic and social fundamentals that can be supplied efficiently with existing resources.
States can improve their capabilities by reinvigorating their institutions.
This means not only building administrative or technical capacity but also instituting rules and norms that provide officials with incentives to act in the collective interest while restraining arbitrary action and corruption. An independent judiciary, institutional checks and balances, and effective watchdogs can restrain arbitrary state action and corruption. Competitive wages for civil servants can attract more talented people and increase professionalism and integrity. Technical note Use the Adobe Acrobat reader to view PDF file.