This is a popular misconception. Paperwork is basically created as part of job being done by the government employee. This employee is hired due to connections and the paperwork created to justify the job. The pointlessness makes people exert the tiniest amount of power they have, like reddit mods. The monetary corruption is more related to salary which is related to well being of economy.

For example, during British Raj almost any British who could, got a job to move these papers in India. India inherited that machinery and hasn't moved to economical right yet. The current government is trying but you can read how it is a bad government in western media since it came to power. The corruption in government allows foreign interference so of course.

- unhappy Indian