New Zealand has slipped from second to third place as one of the world's least corrupt countries.
Denmark took out the top spot in the 2023 Transparency International Corruption Perception Index on 90 points, followed by Finland on 87 points.
New Zealand is not far behind, on 85 points.
Chief ombudsman Peter Boshier said the drop was disappointing but it is reassuring that the country still had a high ranking.
But he said New Zealand must be even more open and and transparent if it was to move back up.
"Confidence in New Zealand around the world depends on our transparency and governance arrangements. Last week, a Public Service Commission survey found only about half of respondents thought public servants were open and transparent with information."
He said he had consistently highlighted the need for vigilance in this area and wanted to see more transparency, which promoted trust and was the core of the relationship between the public and its elected representatives.
"Now, more than ever, integrity agencies like the ombudsman are a vital check in requiring clear accountability and excellence in decision-making. When we hold agencies to account, we help to uphold the perception of New Zealand as one of the most honest nations in the world," Boshier said.
The index scores 180 countries and territories based on expert perception of public sector and judicial corruption.