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 Due to Statist Corruption, Ikea Plans to Halt Investment in Russia

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Due to Statist Corruption, Ikea Plans to Halt Investment in Russia Vide
PostSubject: Due to Statist Corruption, Ikea Plans to Halt Investment in Russia   Due to Statist Corruption, Ikea Plans to Halt Investment in Russia Icon_minitimeTue Jun 23, 2009 11:31 pm
MOSCOW — Ikea said Tuesday that it was suspending further investment in Russia, apparently because of pervasive corruption and demands for bribes.

The announcement came after a rare statement by Ikea’s 83-year-old founder in a radio interview that Ikea had decided not to solve problems by slipping money under the table.

Russian President Dmitri A. Medvedev has acknowledged that corruption is a national problem, and curbing official corruption is one of the goals of his tenure.

Mr. Medvedev has signed a law prohibiting surprise inspections from fire and health authorities of the type often used to extort companies, and has required bureaucrats to disclose not only their own income and assets but their spouses’, a once common conduit for bribes. Beyond embarrassing Mr. Medvedev’s administration, the Swedish retailer’s public stance could mark an economic turning point if it leads to more Western businesses speaking out against corruption here.

http://www.nytimes.com/2009/06/24/business/global/24ruble.html?hpw
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