After recent studies made by the World Bank and the Inter American Development Bank both have indicated that the governance, transparency and the rendering of accounts are all key factors for a healthy economy which generally means a good State as well. Recent analyses of poverty has now demonstrated the dramatic impact that fraud and corruption have in creating poverty. As now is reflected in the on going case of the giant Banniter Bank fraud here in the Dominican Republic.
The economic crisis that the Bank Fraud caused made a significant deterioration of the real income and a fifty percent increase in the number of poor people living in the Dominican Republic, thus registering one and a half million poor people of which over 670,000 have reached a level of extreme poverty.
For its part the newly published report titled “Indicators of the Governance in the World Scope 1996-2006” documents a reduction in the regulatory indicators, state of the law and general non control of corruption in the Dominican Republic during the above period.
In the Banniter case, the Dominican society will pay for the past crisis over the next two decades. In that regard the World and Inter American Development Bank have reiterated the importance that the decisions that are taken so in fact set a precedent in the fight against banking fraud and which serve as example for future generations.
