1. GAC Hub Training Addis Ababa Procurement
2007

2. PEFA Performance Indicator
PI 19: Competition, value for money and controls in procurement
Use of open competition for award of contracts that exceed the nationally established monetary threshold for small purchases
Justification for use of less competitive methods
Existence and operation of a procurement complaints mechanism

3. Diagnozing the existing situation
Critical area - c. 10% GDP
Huge potential for fraud and corruption (TI’s $400b)
First step: assess the present situation – are the formal rules adequate, how do they work in practice, how transparent and competitive is the process?
CPARs – all countries covered, many several times, in last decade
Findings:
Inadequate legal framework
Poorly implemented
Weak oversight

4. Findings Usual CPAR recommendations
Enact UNCITRAL model procurement law
Create independent procurement regulator
Abolish CTB, devolve to MDA TBs and hold accountable
Procurement cadre
Independent complaints mechanism
Issue procurement regulations and SBDs
Transparent tendering, annual report

5. What’s been happening?
Slow passage of procurement law - reluctance to surrender control over rents?
Elements of old practices creeping back? (CTB, national preferences, cabinet override)
Slow build up of procurement skills
Is public procurement at central and local govt levels, SAs, SOEs, become more open, competitive, transparent and predictable?
Has contract management improved?
Has anything happened to strengthen framework for asset disposal and concessions?