The Intersection of Sanctions and Corruption

On March 4-5, 2026, Perry World House convened scholars, policymakers, and experts to examine the relationship between corruption and sanctions policy. This brief summarizes their discussions and relays key takeaways and important areas for future research.

Modern corruption is a global phenomenon, often operating through transnational networks of shell companies, professional intermediaries, and officials within elite-captured institutions that move wealth across jurisdictions, sustain autocratic political systems, and finance political influence operations. While scholars and practitioners recognize the modern corruption dynamics are increasingly transnational, corruption is highly idiosyncratic. It varies across countries and is highly context dependent. There is no formal consensus on what causes corruption.

The relationship between corruption and sanctions is no less complex. Corruption can be the byproduct of sanctions, a target of sanctions, or a driver of sanctions. Consequently, U.S. policymakers using sanctions as key foreign policy tools must content with an array of challenges. For instance, there are issues around balancing the need to target the enablers and key perpetrators of high-level corruption while preserving overall U.S. foreign policy goals. At the same time, internal hurdles, such as inter-agency fragmentation, can complicate the design and efficacy of sanctions regimes. Political administrations and their priorities can also shift quickly, impacting consensus within Washington on the importance of combating corruption and corruption’s relationship to U.S. national security.

Given this context, experts deliberated key questions: Can sanctions effectively address corruption? Might they exacerbate existing corruption or fuel autocratic consolidation? If so, what should be done? Do sanctions help or hinder U.S. foreign policy goals? How can the United States align its sanctions policy and implementation with its national security objectives? This brief summarizes their recommendations at the nexus of fighting corruption and implementing a stronger sanctions regime.