Transparency International’s annual list on public sector corruption says Australia has halted a decade of “democratic backsliding”.

The latest Corruption Perceptions Index (CPI) report puts Australia behind countries including New Zealand and Denmark, improving its score to 75 from 100 and lifting its global ranking from 18 to 13.

Australia’s score is a huge 10 points lower than in 2012, though a two-point increase in this year’s report - from its lowest ever score of 73 last year - shows Australia may be turning the corner off the back of the landmark National Anti-Corruption Commission.

To be a leader in tackling corruption, the authorities say Australia should introduce a whole of government anti-corruption strategy including comprehensive whistleblower protections, reforms to political donations, expenditure, unfair lobbying and strong laws to stop money laundering.

“To further restore trust in our democracy, the government should introduce reforms, including caps and real time disclosure of political donations and expenditure,” says Transparency International Australia CEO, Clancy Moore.

“Greater oversight and transparency of lobbying and longer cooling off periods to reduce the ‘revolving doors’ of lobbying must also be prioritised.”

“We also need stronger laws to stop corrupt officials, criminals and business people laundering money and hiding their abuses of power, through poker machines, casinos and real estate.

“Across Asia-Pacific corruption poses a direct threat to national and regional peace and security. The government’s foreign policy should prioritise promoting democracy, good governance and civil society accountability efforts.”

Transparency International Australia board member and whistleblowing expert, Professor A J Brown says that “after 17 years of advocacy, Transparency International is delighted at the historic establishment of the National Anti-Corruption Commission”.

“However, Australia’s reputation is only likely to be fully restored once the world sees the commission actually perform, and other issues central to our credibility in the region are seriously addressed beyond simply the public sector,” he said. 

“This needs to start with a comprehensive approach to whistleblower protection, including a whistleblower authority, and ending our role as a safe haven for corrupt actors across the region and the world.”