85% of Israelis think corruption is widespread in business

A startlingly high percentage of Israelis feel that corruption is widespread in business dealings in their country, according a new poll published by Gallup.

The poll’s findings, based on data collected in 2011, indicate that 85 percent of Israelis perceive a high rate of corruption in Israeli businesses. However, Israel’s Ease of Doing Business Index ranking is 34 — indicating that despite the sense of widespread corruption, it isn’t easy to do business in Israel.

Israel was found to have the highest perceived corruption rating of all countries in the Middle East and Africa category, while Persian Gulf kingdom Bahrain was reported to have the lowest rating — 38 percent, with an Ease of Doing Business Index ranking of 38.

According to Gallup, the Israeli example shows that a higher rate of corruption, especially in developed countries with higher GDPs, can hinder financial development rather than encouraging it.

The World Bank classifies corruption as “one of the single largest obstacles to economic and social development.”