American corporations are looking to tap opportunities being offered by streamlined procurement for Philippine government-led projects under a new law.
In a Dec. 3 statement, the US-ASEAN Business Council (USABC) said it jointly held with the Department of Budget and Management (DBM) last Nov. 25 a first-of-its-kind workshop on the New Government Procurement Act (NGPA) or Republic Act (RA) No. 12009 in Quezon City.
For USABC, this collaborative effort signals strong interest from US firms in prospects presented by the improved procurement system.
Since the NGPA modernizes the Philippines' public procurement process for greater transparency, efficiency and competitiveness, USABC views this law as a significant step towards a more attractive business environment in the country.
Also, USABC expects the law to pave the way toward more US-Philippines economic cooperation and mutually beneficial partnerships.
"This landmark legislation aims to increase transparency, streamline procedures, and improve public trust in government procurement," USABC Philippines country representative Herminio Bagro III noted, adding that the workshop "[came] at a crucial time as we prepare for the full implementation of the NGPA."
Bagro also stressed the importance of USABC's partnership with the Philippine government in driving reforms such as the NGPA, with this workshop as a key example of how this collaboration fosters productive public-private dialogue.
For her part, Budget Secretary Amenah F. Pangandaman pointed out during the workshop that this law signed by President Ferdinand R. Marcos Jr. back in July is "the biggest anti-corruption measure in the country's recent history."
"No less than the International Monetary Fund (IMF) lauded our efforts at procurement reform, citing in its 2023 country report that this would help further enhance the legal and institutional framework for transparent and competitive public procurement," Pangandaman added.
USABC cited that Pangandaman likewise highlighted the need to align public auditing practices with this new procurement law.
"We consider the NGPA as the transformation we need for procurement. We need to capacitate our people because handling billions of [pesos in] funds is no small feat," Education Secretary and former senator Sonny Angara, who spearheaded the law's passage during his Senate stint, was quoted by USABC as saying.
"The NGPA introduces significant reforms to address delays in procurement caused by inadequate planning," hence has "potential to revolutionize public procurement in the country," Government Procurement Policy Board-Technical Support Office (GPPB-TSO) deputy executive director Maria Dionesia A. Rivera-Guillermo was quoted as saying in the USABC statement.
The workshop was attended by about 100 representatives of 20 government agencies as well as the US Embassy in the Philippines and two United States Agency for International Development (USAID) programs in the country.
USABC member-companies in the Philippines from the financial services, health and life sciences, as well as information and communications technology (ICT) sectors—including Amazon Web Services, Cisco, GE Healthcare, Google, Johnson & Johnson, Medtronic, MSD, Microsoft, Organon, Pfizer, UltraPass, Viatris, Visa, Vriens and Partners, and Zuellig Pharma—also participated in this workshop.
"[The] workshop provided a remarkable opportunity for open dialogue and collaboration in anticipation of the upcoming issuance of the NGPA implementing rules and regulations. We remain hopeful that ongoing discussions with technical experts will meaningfully contribute to the successful implementation of this law," USABC chief representative for the Philippines Florina Vistal said.