At A Glance
- The Department of Budget and Management (DBM) says that the country's procurement law should be more attuned to the changing times, citing the need for amendments amid the digitalization era.<br>The proposed amendments to the Government Procurement Reform Act have already been presented to the Legislative-Executive Development Advisory Council meeting led by the executive chief.<br>DBM says that proposed amendments to the procurement law will introduce market scoping, early procurement activities, engagement of a procurement agent, and use of framework agreements.<br>This is to expand the pool of prospective bidders, take advantage of economies of scale, minimize the burden of conducting separate procurement activities, and generate time and money savings.
The Department of Budget and Management (DBM) said that the country’s procurement law should be more attuned to the changing times, citing the need for amendments amid the digitalization era.
The proposed amendments to the 20-year-old Government Procurement Reform Act (GPRA) have already been presented to the Legislative-Executive Development Advisory Council meeting led by President Marcos, according to Budget Secretary Amenah F. Pangandaman.
“In fact, it was one of the priority bills included in the Common Legislative Agenda (CLA) of the 19th Congress to further advance the attainment of our social and economic transformation agenda,” Pangandaman said during the official launch of the Methodology for Assessing Procurement Systems (MAPS) Report on Sept. 26.
The GPRA is one of the biggest anti-corruption laws in the country which was recognized by the World Bank as world-class legislation.
“However, there has already been rapid transformation in technology over the past two decades, and the pandemic not only propelled the urgency for digital transactions in the country but also brought to light inefficiencies in the law in times of crisis,” the DBM chief said.
“Even President Bongbong Marcos said during his latest State of the Nation Address that we need to make government procurement more attuned to our changing times,” she added.
Pangandaman said that, aside from adhering to international standards, the proposed amendments to the GPRA are aligned with the Key Areas for Improvement and Recommendations in the MAPS Report, which is a tool for evaluating the government procurement performance of a country.
“And so, we commit to making the revised GPRA with its amendments as monumental and world-class as its predecessor,” the budget chief said.
DBM cited the lack of proper planning as an issue in public procurement, which results in gross inefficiency caused by failed biddings and poorly crafted technical specifications or requirements.
The proposed amendments, according to the agency, will resolve such an issue through market scoping, early procurement activities, engagement of a procurement agent,
It will also introduce the use of framework agreements to expand the pool of prospective bidders, take advantage of economies of scale, minimize the burden of conducting separate procurement activities, and generate time and money savings.
“We will likewise leverage digitalization and innovation to make public procurement more efficient and transparent through the modernized Philippine Government Electronic Procurement System,” Pangandaman added.
Meanwhile, World Bank Country Director Ndiame Diop commended the country for its progress in the procurement space.
“The Philippines has made remarkable achievement and progress in the [procurement] space over the last 23, 25 years… The World Bank is very proud to have contributed for these achievements,” he said.
“However, it’s a journey, and it’s important to step back, practice the Procurement System, and aim to modernize it as we go, especially in this digital age where digital innovations provide opportunities to improve its efficiency and effectiveness,” he further said.
For his part, Jeffrey Taylor, Asian Development Bank procurement director, said that the country’s ready to level up on its procurement journey.
“I commend you [the Philippine Government] for the progress you've been taking today. [Republic Act] 9184… is a springboard as well,” he said
“You are now ready to take the next steps. Some… will involve sustainable procurement, not just green, but looking at institutional issues, governance issues, social issues, and environmental issues as well,” he added.