Washington (IINA) – Head of the International Monetary Fund (IMF) Christine Lagarde said Wednesday that the amount of money paid worldwide in bribes is between 1.5 trillion and 2 trillion dollars, or about 2 percent of the value of the world’s economic output, DPA reported.

Lagarde quoted the figure from recent IMF research in an open letter published one day before the start of an anti-corruption summit in London. She said the amount is an estimate of the total value of bribes paid annually in both developing and developed countries.

Lagarde explained that corruption “undermines trust in government and erodes the ethical standards of private citizens.”

While the direct economic costs of corruption are well known, “the indirect costs may be even more substantial and debilitating, leading to low growth and greater income inequality,” she wrote.

The IMP chief also said in order to fight corruption, a multifaceted approach that promotes transparency and strong institutions centered on a professional civil service is needed.