The biggest corruption sector in third world developing countries is money laundering derived from cheating, smuggling, trafficking and innumerable methods of graft into proceeds traditionally called black money or informal trade. In Bangladesh, also in India and Pakistan, the underground black economy is not only an age-old practice, but has been the biggest contributor to poverty, corruption and mischief.
   The black economy in Bangladesh is phenomenal, measuring 30 per cent of total GDP, almost $30 billion per year. This figure measures more than four times the size of the whole garments industry in Bangladesh. A quick appraisal of this figure leads any layman to realise that if the government can capture this black economy then half the corruption will disappear instantly.
   With the excuse of earning a small amount of tax, the government approves ‘black money whitening’ within the tax law, and is thereby losing billions in corruption. It leaves the criminals free, and allows the black money to be entertained. This is legalised corruption of the finest kind!
   To cut black money corruption, some elementary yet major remedies must emerge:
   a. Stop ‘black money whitening’ immediately, with amended tax law.
   b. Jail the criminals who deal with black money, instead of legalising them.
   c. Make simple changes in banking to capture money-laundering.
   This modest action can effortlessly catapult Bangladesh away from the TIB’s most corrupt list. Corruption is not a terminal illness which has no remedy. It is simply the result of a bad system of financial regulations and control on a nation’s dealings in banks, businesses and bazaars.
   It requires minuscule adjustments of the national system to make substantial reductions in corruption. The key is appropriate control of financial systems.
   K Gazi
   USA