The Extractive Industries Transparency Initiative (EITI) sets the standard in revenue transparency in 46 countries and works under the assumption that compliance with the initiative will improve transparency and curb corruption in member states. However, individual case studies raise doubts about the success of the initiative. Building upon the literatures on compliance and governance, this paper analyzes the impact of EITI membership on transparency and corruption levels between 2006 and 2013. By using interrupted time series and panel data analyses, this research makes an original contribution to show that affiliation with the EITI immediately improved overall aggregate data disclosure in member countries in this period. At the same time, the paper also shows that perceptions of corruption did not change. This outcome questions the effectiveness of promoting only a narrow definition of transparency in extractive industries as a measure to prevent corruption. The results imply that a more comprehensive treatment of transparency might be necessary; specifically to distinguish regimes that use transparency reforms for public relations purposes as opposed to genuine reformers.
- Extractive Industries
- International Organizations