Corruption continues to pose a major challenge to sustainable development worldwide. In the ASEAN region, countries are joining forces to tackle this issue head-on. A key breakthrough in this effort is the initiation of an open data standard in the region.
- Open Data and Anti-Corruption
- The Financial Action Task Force and PEPs Categories
- Comparison of Malaysian and Thai definitions of PEPs
Transparency is at the core of national development. And Open Data has become a vital tool in the fight against corruption. The data of political persons, including their company registrations and executive details, is exposed to the government and the public. This helps foster transparency and mitigate the risks of malpractice.
The Open Data group has developed the Open Up Guide to promote transparency through the use of open data in verifying information and linking various data sources, such as corporate registration records and information on government contractors. For instance, if a company is awarded a government contract, these data sets can help ensure transparency. Additionally, leveraging data on Politically Exposed Persons (PEPs) serves as a safeguard against the misuse of authority.
Advancing Open Data at the regional level not only enhances transparency but also lays a strong foundation for collaboration among ASEAN countries. It builds trust among governments, private sectors, and society as a whole
Open data is the first step. To connect data to Politically Exposed Persons (PEPs), the Open Data team has studied identification standards established by the Financial Action Task Force (FATF), a global organization playing a key role in anti-corruption efforts. FATF also plays a significant role in setting international standards to prevent money laundering and the financing of terrorism.
One example of FATF’s focus is individuals holding prominent public positions, such as heads of state, senior politicians, and high-ranking government officials, who may be at risk of abusing their positions for illicit purposes, such as money laundering, corruption, and bribery.
FATF defines PEPs into two main categories:
- Foreign PEPs: Individuals holding key positions in foreign countries, such as heads of state, politicians, or leaders within judicial organizations.
- Domestic PEPs: Individuals holding key positions within their own country, such as ministers, members of parliament, or executives of state-owned enterprises.
Clearly defining and identifying PEPs enables relevant authorities to effectively assess risks and prevent the misuse of power.
The open data in definition of Politically Exposed Persons (PEPs) are essential tools for facilitating anti-corruption efforts and enabling more effective data auditing. However, to expand these efforts at the regional level, it is crucial to understand the differences in how each country defines PEPs.
For example, Malaysia and Thailand share similarities in several aspects but also exhibit key differences.
In Malaysia, the definition of PEPs aligns with FATF standards, covering heads of state, senior politicians, high-ranking civil servants, and military officials.
In Thailand, the Anti-Money Laundering Office (AMLO) has established a more specific definition of PEPs, dividing them into four main categories: individuals holding significant positions in the executive, legislative, and judicial branches, as well as state organizations.
Additionally, Malaysia’s definition of PEP family members extends to parents, spouses, and legal relatives. In contrast, Thailand’s definition focuses on parents, spouses, children, and adopted children. These differences highlight the necessity of developing a shared regional standard to enable more effective data sharing and collaboration.
This comparison not only underscores the strengths and areas for improvement in each country but also opens opportunities for enhancing regional cooperation and transparency. Such progress aligns with the principles of Open Data and FATF standards, paving the way for positive advancements in the fight against corruption.
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