A survey of 146 countries has rated Ireland as the 17th least corrupt.
The survey, by the Berlin-based Transparency International, suggests that the least corrupt countries were Finland, New Zealand, Denmark and Iceland.
Among the most corrupt nations were Haiti and Bangladesh.
The head of the watchdog, Peter Eigen, said that corruption was hitting the fight against poverty and robbing oil-rich countries of their development potential.
Mr Eigen said developing countries in particular must root out sleaze in public works if they are to improve the quality of life of their citizens.
