Abstract:
Construction industry plays a major role in the Sri Lankan economy. This research has been conducted to examine whether the construction industry of Sri Lanka is corrupted and is there any cost amplification due to corruption. In achieving the research aim and objectives, survey method was followed together with case studies where necessary. Data analysis was carried out mainly with the usage of statistical tools. Results show that the people involved in the sector believe that the construction industry of Sri Lanka is corrupted and corruption amplifies the cost of construction which finally cascade down to the general public. The research is also concerned about the situations where corruption occurs more frequently in the construction life cycles and the reasons for heavy
presence of corruption within the industry. Further the researcher has identified the major effects of corruption. Through this research a model to calculate the cost amplification due to corruption has been formed and verified. With the foundation established, it is needed to concern more and discover suitable remedial measures to eliminate corruption from the Sri Lankan construction industry.