The result was even greater panic on the part of investors, leading to a decline in the nation's currency and eventually recession. To help countries avoid this in the future, we must work to promote higher standards for banking supervision and capital adequacy and improve the disclosure of foreign exchange reserves held by central banks. These improvements will go a long way toward building confidence among international investors, while helping nations handle the enormous flows of capital that are an essential element of today's global economy. There are many ways countries can improve other institutions to improve their chances for success under globalization. Another element of the strategy is a worldwide attack on corruption, which is the enemy of sustainable development.
Some nations already have criminal laws against international bribery.
The OECD has recommended an international convention on the subject, and with the Global Coalition for Africa, eleven African nations have adopted 25 anti-corruption principles that together form the basis for moving forward in that region. But laws alone are not enough. Corruption will not be ended until government officials are adequately trained and paid and regulators have a degree of independence from politics. We support efforts to establish strong and independent courts in developing countries and steps to make government more open and transparent. In an era of economic globalization, the free flow of world trade and investment is the greatest incentive for positive, market-oriented change.