2002年-世界发展银行全球_Georgia___Country_Procurement_Assessment_Report_73页_4mb

Georgia Country Procurement Assessment Report Summary

Core Content

This report, prepared by the World Bank in June 2002, evaluates the public procurement system in Georgia, highlighting the legal, institutional, and procedural frameworks, as well as challenges and recommendations for reform.

Main Findings

1. Legal, Regulatory and Institutional Framework

• Economic and Political Background: Georgia transitioned from a Soviet state to a presidential republic in 1918, and has since pursued integration into European and global economic structures.
• Government Structure: Georgia is a presidential republic with a classical democratic model, comprising an executive (President), legislative (Parliament), and judiciary. The country has a legal system influenced by both Anglo-American Common Law and Continental European Law.
• Public Procurement Policy: The transition from the Soviet State Order system to a more competitive procurement model began in the early 1990s. A 1993 cabinet decree initiated the first regulatory steps, but lacked competitive principles. The 1998 Law on State Procurement (LSP) marked a significant reform effort.
• The Law on State Procurement (LSP): Adopted in December 1998 and enacted in July 1999, the LSP is modeled on the UNCITRAL Model Law. It aims to ensure efficient and transparent use of state resources through competitive processes. The law was amended in March 2001 to expand its scope to include off-budget funds and increase the autonomy of the State Procurement Agency (SPA).

2. Scope and Applicability of LSP

• The LSP applies to all procurement funded by state and local budgets, including those of the Abkhazian and Adjarian Autonomous Republics and other local units.
• The 2001 amendments extended the law to include international assistance funds and loans under the GOG’s guarantee.
• Despite these legal improvements, the LSP does not cover procurement related to state security, which is often excluded and used as a loophole by major procurers like the Ministry of Defense.

3. Slow Pace and Lack of Enforcement

• The procurement reform has progressed slowly, partly due to the reorganization of ministries and the lack of enforcement mechanisms.
• There is a culture of patronage and corruption, which undermines the effectiveness of the LSP.
• Public and private sectors often perceive the law as sound but not effectively implemented, with weak judicial enforcement.

4. Need to Broaden Application and Scope of LSP

• The LSP does not cover all procurement activities, especially those involving extra-budgetary funds, SOEs, and state security.
• The CPAR recommends that the SPA should clear the list of procurement items related to national security to ensure compliance with the LSP.

5. Need for an Independent State Procurement Agency

• The SPA, while created, is still under the control of the Ministry of Economy, Industry and Trade (MOEIT), limiting its independence.
• The CPAR recommends that the SPA should be placed under the Cabinet of Ministers to ensure autonomy and effective implementation of procurement reforms.

6. Need for Proper Funding

• There is a chronic shortage of funds for implementing procurement reforms.
• The CPAR recommends that the SPA be properly funded from the state budget to perform its functions effectively.

7. Need to Put Teeth into the Law

• The limited application of the LSP is due to lack of awareness, enforcement, and a culture of corruption.
• The CPAR recommends introducing enforcement mechanisms into the LSP, amending the Criminal Code, and establishing internal audit systems within procuring entities.

Key Recommendations

• Legal and Regulatory Reforms:
  • Introduce enforcement mechanisms into the LSP and amend the Criminal Code to make procurement fraud a punishable crime.
  • Define the SPA's authority to report non-compliance and wrongdoing to relevant authorities.
• Budgetary and Financial Reforms:
  • Establish checks and balances with budget information at the Ministry of Finance.
  • Develop a rolling multi-year budget allocation plan to support long-term contracts.
• Training and Dissemination:
  • Launch a procurement website with comprehensive information and documentation.
  • Develop a national training strategy for public procurement and auditing, including certificate and degree programs.
• Audit and Anti-Corruption Measures:
  • Implement an effective internal audit system coordinated by the Ministry of Finance.
  • Publish procurement blacklists and audit findings, and integrate procurement stories and hotlines into broader anti-corruption initiatives.

Public Sector Management Performance

• The LSP has improved the integration of international standards and best practices.
• However, only 12% of public procurement was conducted competitively two years after the law's enactment, indicating slow implementation.
• The procurement process is affected by budgetary constraints and a lack of awareness of legal provisions.

Private Sector

• The private sector is influenced by laws such as the Law on Entrepreneurs, Law on Supporting Small Enterprises, and the Law on Promoting Investments and Guarantees.
• The country is working towards aligning its legislation with EU standards and has joined the WTO.

Strategic Measures and Action Plan

• A strategic workshop was held in June 2002 to develop an action plan based on the CPAR findings.
• The report recommends a comprehensive approach to reform, including legal, regulatory, budgetary, training, and audit reforms.
• The World Bank is encouraged to support the development of a national training strategy and the implementation of audit reforms.

Conclusion

The CPAR highlights the need for a more robust and independent procurement system in Georgia, with emphasis on legal enforcement, transparency, and the promotion of competitive practices. It outlines a clear action plan to address these issues and align Georgia's procurement practices with international standards.