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IMF : The number of failed tenders and the procurement complaints procedures raise some concerns

12.11.18 09:03

The number of tenders that have not resulted in a signed contract has reached 39 29 percent, on average between 2013–16. This number is high, and the cause is not clear. The complaint procedures vary based on the size of the contract. Generally, complaints procedures follow several good practices, including clearly-defined processes for submitting and resolving complaints;

the role and responsibilities of the Procurement Dispute Review Board (PDRB), which handles complaints, to suspend the procurement process; the ability for complainants to lodge a complaint without a fee; and that PDRB decisions are binding for all parties. Procedures for handling procurement-related complaints are open to the public and the decisions of the PDRB are made publicly available. Time periods allowed to complete complaint review are reasonable. For example, for relatively large contracts, as defined in the procedures, the complaints review period should be completed within 5 days. The PDRB is not fully independent because its Chair (who has the deciding vote) plus 3 of the 6 members are from the SPA. 

Between 2013 and 2017, the value of direct contracting was halved, from 48.7 percent of the value of all procurements in 2013 to 24 percent in 2017. However, a significant number of PPA agreements have been procured through direct contracting. The number of bids for open tenders is fairly low, averaging about 3 percent in recent years. Spending agencies prepare 12-month procurement plans covering the budget year.
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