At times of political transition and building states, corruption tends to spread due to lack of legislations and firmly established institutions in addition to weak rule of law and lack of separation of power as well as weak political will. This is true in the Palestinian case. Principles and systems of transparency and accountability are still under developed and are thus hindering the establishment of a national integrity system. The consequences of corruption on the country’s democratic process, its political system, and its economic growth are widely known. The Palestinian National Authority (PNA) and its successive governments have failed to implement promised reforms. Opportunities to mitigate corruption will be further jeopardized by the flow of the 7.4 billion dollars pledged to the PNA at the Paris Donors Conference in December 2007, if no substantial reforms are introduced.