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IRR released: New procurement law sets guidelines for public spending

Published Feb 11, 2025 06:09 am

Corruption within the government could be prevented as the new procurement law allows the Filipinos to track how public funds are spent, according to the Department of Budget and Management (DBM).

On Monday, Feb. 10, the DBM released the implementing rules and regulations (IRR) of RA No. 12009, or the New Government Procurement Act (NGPA), which outlines the guidelines for government purchasing.

“Data and documents at all stages of procurement—from planning to contract implementation—will now be disclosed for public monitoring,” Budget Secretary Amenah Pangandaman said before the release.

“As called for by our taxpayers, this allows our citizens to track government spending and ensures that resources are utilized efficiently and appropriately to improve public service delivery, true to the spirit of open and participatory governance," said on the sidelines of the recently held Open Government Partnership (OGP) Asia and the Pacific Regional Meeting.

The IRR covers all purchasing activities “by any branch, agency, department, bureau, office, or instrumentality of the [Philippine government], including government-owned or controlled corporations (GOCCs), government financial institutions (GFIs), state universities and colleges (SUCs), and local government units (LGUs).”

Meanwhile, Section 22.2.2 of the IRR strengthens security measures for all government branches as procurement entities, protecting them against fraud and scams as suppliers are also monitored.
This applies to all merchants and procurement entities or buyers registered in the Philippine Government Electronic Procurement System (PhilGEPS) or the government’s e-marketplace.

“The performance of manufacturers, suppliers, distributors, contractors and consultants shall be tracked to monitor compliance with delivery schedules and other performance indicators,” it said.
Similarly, the government’s performance shall also “be tracked to monitor the settlement of their obligations to manufacturers, suppliers, distributors, contractors and consultants.”

As of writing, PhilGEPS has over 325,000 registered merchants and more than 70,000 government agencies. The total approved budget for the contract (ABC) stands at P22 million.

On July 20, 2024, the president signed RA 12009 into law, modernizing and enhancing transparency in the decades-old Government Procurement Reform Act (RA 9184).

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Amenah F. Pangandaman PROCUREMENT LAW Department of Budget and Management Budget Secretary
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