Bloomberg News

Kazakhs Bribing Bankers to Facilitate Loans, Survey Shows

February 15, 2012

Feb. 15 (Bloomberg) -- Graft is pervasive in Kazakh banking, with every seventh borrower paying a bribe to secure a loan, a poll released today shows.

The Sange research center said 14 percent of respondents were asked by bank employees to make a payment to facilitate credit, while 7 percent believed delivering a “gift” to bank managers or other officials will lower the cost of borrowing, according to an e-mailed report.

“The corruption schemes that are being used show that the phenomenon isn’t episodic in character but represents an attuned, well coordinated mechanism,” the center said.

Kazakhs are paying an average bribe of $2,755 to banks, with a maximum payment reaching $40,000, the survey showed.

The poll of 500 Kazakhs was conducted in 16 cities in October and November. No margin of error was given.

--Editors: Paul Abelsky, Andrew Atkinson

To contact the reporter on this story: Svetlana Antoncheva in Astana, Kazakhstan at santoncheva1@bloomberg.net

To contact the editor responsible for this story: Hellmuth Tromm at htromm@bloomberg.net


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