[codeforafrica]

The problem is not that corruption prevents capitalism from working. The problem is that capitalism doesn't prevent corruption. Corruption is enabled because of capitalism, and any measures to curb corruption will also interfere with capitalism.

I spoke to a local director of a mineral mine in Tanzania. He told me that all of the profits of the mine go to the chinese owners who invested into the mine. That's capitalism at work. The corruption here is (if any) that local officials who brokered the deal allowed this deal to go through without making sure that at least some of the profits remain in the country. It is not even clear that corruption is the cause here. It may well be that the investors simply demanded that much and the locals thought that that would be the best they could get.

In my opinion most of the profits from mining should remain in the country. Those minerals are Tanzanias wealth, that they should use to build up their own country. But capitalism demands that investors make as much profit as possible, disregarding side benefits. So no, capitalism is not the answer.