Transparency in Extractive Revenues in Developing Countries and Economies in Transition: a Review of Emerging Best Practices

Abstract

Corruption and mismanagement of the extractive revenues have recently become burning issues in the extractive industry, as prevailing levels of poverty and underdevelopment in many resource-rich countries are largely attributed to lack of transparency and accountability in revenue management. Ensuring transparency and accountability in the management of extractive revenues requires concerted efforts of all stakeholders in the extractive industry. In view of the overall significance of transparency and accountability mechanisms in combating corruption in the extractive industry, there is a discernible trend towards adoption of contractual, legal policy measures at a national level of many resource-rich developing countries and economies in transition. At the international level, the stakeholder and civil society movement of developing a soft law norm also indicates an emerging consensus on the importance of transparency in the management of extractive industries.