Transparency International's Global Corruption Report 2008 released on 25th June 2008 analyzes how corruption affects all aspects of the water sector, from water resources management to drinking water services, irrigation and hydropower. Syed Adil Gilani Chairman, TI Pakistan said that corruption in Pakistan's water sector since decades has been one of the major cause of slow economic development, shortage of power, irrigation as well as potable water.

The Water & Power Development Authority (WAPDA) is responsible for major development, operation, distribution and maintaining dams, barrages, irrigation systems, hydropower plants as well as thermal power plants. Pakistan's Indus Basin Irrigation System, the world's largest water diversion scheme with more than 1.6 million kilometers of watercourses, is a prominent example of how corruption pervades economic development and distorts the priorities of infrastructure investment.

Rather than counteract the pervasive dynamics of corruption. Pakistan's water sector, like many of those around the world, is fraught with large and small-scale corruption. According to a 2003 and 2006 survey by Transparency International, Pakistan's Water and Power Development Agency is perceived to be the second most corrupt institution in the country. Close to half of the more than 31,000 complaints received by Pakistan's anti-corruption ombudsman in 2002 were related to this one institution. He quoted the World Bank Pakistan water strategy report 2005 admits that top positions in the country's water bureaucracy are sold at a high price.

The Global Corruption Report 2008 reveals, there are several encouraging initiatives from all over the world that demonstrate success in tackling water corruption. This is the pivotal message that more than twenty experts and practitioners emphasize in this report. The second part of the Global Corruption Report 2008 provides a snapshot of corruption-related developments in thirty-five countries from all world regions.

Pakistan Country report comprises of legal and institutional changes in 2007, application of Public Procurement Rules in Sindh, and the Judicial crises occurred due to 9th March 2007 action against Chief Justice Iftikhar Muhammad Chaudhry, Military Role in grabbing of land, companies, such as the military has held unaccountable power for most of Pakistan's sixty years of existence and the weapons procurement with the secrecy such deals attract - has provided a flourishing channel for corruption.

The GCR 2008 also analysis the scale of the inroads made by the military into 'civilian' sectors of Pakistan's economy, including land, construction, property, manufacture, fertilizers, agriculture, road-building, trucking, etc, and that full generals enjoy individual wealth in excess of US$8.3 million, while President Musharraf has converted US$690,000 of army-granted farmland in Islamabad into US$10.34 million of movable assets.

The report talks about the incident where Justice Chaudhry had reversed the privatization of Pakistan Steel Mills to friends of highest government functionaries and actively pursued the case of the several hundred 'missing persons' Since his appointment in June 2005.