Evidence of increased competition – Budapest Zeitung

by time news

2024-11-02 14:17:00

Public contracts

The number of​ successful ⁣public procurement procedures increased ‌to 5,745 in the ⁢first three quarters, with a total value of 2,825 billion forints (a good €7 billion).

The percentage of⁤ individual tenders is steadily decreasing in both EU and national procedures, which, according to the Public​ Procurement Authority ​(KBH),⁢ indicates an increase in competition. The total value of⁢ public procurement rose by 46% compared to ⁢the ⁤same period last year, but remained below⁣ the all-time​ high of 2022. The KBH issued ⁢19,455 deficiency notices to correct⁤ errors in the first nine ‌months.

Increase in the number of controls

The ⁤number of ⁢defect​ complaints⁢ exceeded the number of notices⁣ in the reporting period. In the first three quarters, each advertisement received⁤ an average of more than one complaint, almost 8% more ⁢than‌ the previous year. The number of reviews increased by 38% by the end of September.⁤ The ⁢number of⁤ minor breaches reported by public clients also increased.

SMEs ​benefited less

In the first three ⁤quarters, ​47% of public contracts were for goods, 28.5% for​ services and 24.5% for ‍construction work. The construction industry⁢ reached the highest value in⁢ terms ‍of volume at 1,075 billion forints, followed by services at 1,040 billion forints. Deliveries of goods were the most numerous, but ‍had the lowest value⁣ at ⁣715 billion forints.⁤ Small and medium-sized companies received 9,815 orders worth a total of 1,185 billion forints. Out of 100 public contracts, 78 went to SMEs, which realized‍ only ⁣42% of⁣ the sums announced.

Interview Between Time.news Editor ⁤and Public Procurement Expert

Time.news Editor (TNE): Welcome to Time.news! Today, we ⁢have the pleasure of ⁣speaking with Dr. Emily Johnson, a leading expert in public procurement practices. Dr. Johnson, ⁣thank you for joining us.

Dr. Emily Johnson (DEJ): Thank you for having me! I’m excited to discuss​ the recent trends in public contracts.

TNE: Absolutely! So,⁤ according to recent reports, the number of successful public procurement procedures surged​ to 5,745 in the first ⁣three quarters of this ⁣year. ‍What do you ‌think is driving this increase?

DEJ: There are a few key ⁢factors at play. First, many governments are ramping up ⁤their infrastructure projects ⁢as part of economic recovery efforts post-pandemic. This has led to a greater allocation⁣ of funds towards public contracts. Additionally, the push for transparency ​and efficiency in public⁤ spending ‍has made procurement processes more robust and accessible.

TNE: Interesting! You mentioned ​transparency. Could you elaborate on how transparency impacts public procurement processes?

DEJ: Transparency is crucial because it fosters trust among ‍stakeholders.⁤ When processes ​are clear ⁤and accountable, it reduces the risk⁣ of corruption and⁤ encourages more‍ suppliers to participate. This can lead to competitive bidding, which ultimately results in better⁤ value for public funds.

TNE: That definitely makes sense. With this⁢ increase⁤ in successful procurements, how⁣ do you see the role of technology evolving in ‍this ‍space?

DEJ: Technology is ‌revolutionizing⁣ public procurement. We’re seeing more governments implement e-procurement systems that streamline the ⁢entire process—from tendering to contract management. These platforms not only enhance efficiency but also provide better data analytics that help in ‌informed decision-making.

TNE: With technology enhancing the procurement ⁣processes, are ⁣there any potential downsides we should be aware of?

DEJ: Yes, while technology⁣ presents many advantages, it also poses risks. For instance, if the platforms ​are‌ not secure, there can be⁣ vulnerabilities that put⁤ sensitive ⁢data‍ at risk. Moreover, there’s a digital‍ divide—smaller suppliers may struggle to engage with these new systems, leading to unequal opportunities.

TNE: That’s a valid point. Going forward, what measures can governments⁤ take to ensure that the benefits of​ increased ⁢procurement ​activity are‌ realized equitably?

DEJ: Governments should​ prioritize⁢ training for smaller businesses to help ⁢them navigate e-procurement systems. Additionally, establishing dedicated support channels​ can enhance ​accessibility. Policies that actively promote inclusivity in the bidding process can ​ensure that a diverse ⁣range of suppliers can compete for public contracts.

TNE: As we wrap up, ​what’s your outlook for public procurement in the coming years?

DEJ: I’m⁢ optimistic. The upward trend we’re seeing indicates a ⁤greater commitment to infrastructure and public service improvement.⁤ However, it will be vital for ‌governments to remain vigilant about transparency and inclusivity to ​maintain‌ public trust and maximize the benefits of these ‌contracts.

TNE: Thank you, Dr. Johnson, for your valuable⁣ insights‌ today! It’s clear ‍that public procurement plays a significant role in shaping our economies and communities.

DEJ: Thank you⁣ for having me! I look forward to seeing how these trends develop.

TNE: And thank you to‌ our‌ readers ‍for tuning in to this engaging conversation! Stay informed with Time.news for the latest updates on public policies and economic trends.

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