Delivering Procurement Performance: Success Stories
Bangladesh
Second South Asia Region
Public Procurement Conference

Outline of Presentation
 Public Procurement Reforms
 Legal Framework in Public Procurement
 Capacity Building and Institutionalization
 Procurement Performance Measurement (PROMIS)
 Modernization of Public Procurement(e-GP)
 Complaint Resolution Mechanism
 Civic Engagement in Procurement Monitoring

Bangladesh Profile
• 1971; ~ 144,000 sq-km; 64 districts
• 7 Divisions

64 Districts

486 sub-districts(Upazilla)

4,500 UPs

68,000 villages
• Annual national budget: ~ US$ 28 Billion
• Annual Development Program: ~ US$ 8 Billion
• Proc. expenditure: ~ 21% of national budget; ~ 70%-90% of ADP
• Implemented 6 medium term Plan
• Gradual shift: From planned
 market economy
• Progressive improvement of procurement regime

CPAR Findings & Recommendations
Findings
CPAR 2002
– Absence of legal framework
– Bureaucratic procedure
– Lack of competent staff
– Poor quality Bidding document
– Ineffective contract administration
Recommendations
– Establish policy unit
– Carry out reforms
– Improve proc. capacity

Central Procurement Technical Unit (CPTU)
Established : 4/2002
Procurement
Reforms through
PPRP (2002-2016)
PPRP ($5 M)
PPRP II ($24 M)
PPRP II AF ($35 M)

Legislatives Chronicles
PPA 2006
PPR 2003
GFR…, 2908 & 2911
PPR 2008 e-GP Guidelines
2011
PPA 2006

3-Week Proc. training :
1800+2950+ 2700
=7450
Short Proc training:
(15 different audiences)
3583+ 10500
Masters in Public
Procurement
IGS-BRACU: 35+ 100
ITC-ILO25
MCIPS
35+ 100

CIPS Selection Process
35 : Number of MCIPS (June 2013)
40
# of participants enrolled for CIPS levels 4-5-6
52
# of participants passing CIPS screening
~170 # of participants in CIPS screening test
~180 # of top performers from end course exam
1,450 # of participants from 52 courses

Institutionalization & Sustainability Framework
Establishment of procurement faculty:
Engineering Staff
College Bangladesh
(ESCB)
National Trainers Pool
CIPS Study
Centers:
IGS, BRACU &
ESCB
BRACU:
Conducting Masters
Program in PP
Institutionalizing shorttraining through existing public training institutes

Proc. Performance Measurement System (PROMIS)
45 KPIs - 4 Agencies
Performance Area Performance Indicator
Transparency
Efficiency
% of Invitation for Bid (IFB) published in newspaper
% of Contract awards published
% of cases contract award decision made within initial bid validity
% of Contracts completed within the original schedule
Baseline
(2007)
Less than
70%
Present Status
(up to 2012)
100%
Less than 15% More than 70%
10%
No record
More than65%
More than 50%
Competitiveness Average number of Bidders submitted Bids
Average number of responsive Bids
Less than 4 nos.
Less than 3 nos.
More than 6 nos.
More than 4 nos.

Modernization of Public Procurement
Electronic Government Procurement (e-GP)
2 June, 2011

e-GP: Key Features
Single uniform national web portal
Centralized registration system
Comprehensive system from proc. plan up to final payment
(e-Tendering + e-Contract Management)
Automatic proc. performance monitoring (e-PMIS)
Robust security features & back-up arrangement with full redundancy to ensure uninterrupted service.
Harmonized with MDB guidelines
Independent consultant reviewed for Bank’s use
Bank accepts the BD e-GP system for its financed projects
Self sustainable model – system is generating required fund

e-GP: Security Features
Encrypted tender information till opening
Integrity of submitted tenders
Audit log of all activity of all users
No password saving in database
Password complexity control
Last login time display

Tender Security
Performance Security
Registration fees
Tender
Document fees
Renewal fees
Online through
Banks
Payment
Gateway

e-GP: Tender Dropping
Tender
Box

e-GP: Online Helpdesk System

Total Reg. Users
13609
Government
Users
(22 Org.)
Reg. Tenderer /
Consultant
Reg. Bank user
(25 Banks)
1873

Period
June -2012
December -2012
June -2013
December-2013
# Registered
Bidders
294
525
1067
7459
# Bids invited
14
144
498
4548
Value of bids
(US$ M)
3
18
62
319
14 March-2014 8353 6558 506

e-GP: Progress

e-GP: Roll out Map
2011 2012 2013 2016
Time

Complaint Resolution Mechanism
Administrative Review
Independent Review

Civic Engagement in Procurement Monitoring
Public Private Stakeholder
Committee (PPSC)
Government
Agencies
Business
Apex Bodies
Think-tanks
Academic
Institutions
1. Help develop a framework for citizen engagement
2. Provide suggestion to develop implementation Strategy
3. Suggestion for any legal framework needed.
Strategy for Civic Engagement in Public Procurement
• Monitoring at implementation part and gradually at the
Process Part
• Citizen group formation with all stakeholders
• Advocacy Campaign to sensitize local people
• e-Tendering wherever possible
• Budgetary allocation
Civil Society
Procurement watch

 Single Uniform Legal System
(PPA/PPR , e-GP guidelines)
 Capable Public Procurement Staffs
 Procurement Performance Measurement
 Civic Engagement in Public Procurement
 Modern Procurement System (e-GP)
 Commitment of the Government
Public Procurement Awareness

Kazi Jahangir Alam
Akm Jashim Uddin
Md. Mosharraf Hussain