World Bank: Over 2 Years, 10% of Budget Funds Saved in Kyrgyzstan Due to Government Procurement

Юлия Воробьева Economy
VK X OK WhatsApp Telegram
The Regional Manager of the World Bank for Procurement in Europe and Central Asia, Felipe Goya, noted that the competitive procurement system in Kyrgyzstan has already proven its effectiveness.

Currently, the electronic public procurement platform unites over 3,700 buyers and more than 40,000 suppliers, and also includes centralized procurement, creating an efficient system.

“According to available data, in 2024 and 2025, Kyrgyzstan managed to save about 10% of budget funds thanks to competitive procurement. Centralized procurement, implemented with the support of the World Bank, has allowed this figure to increase to 11-13% in certain categories of goods,” Goya added.

The savings generated from these procurements could allow the country to build 100 new schools each year or finance other social needs, he emphasized.

However, he also pointed out that the competitive procurement process can take from 3 to 6 months or even longer, depending on complexity. Nevertheless, experience shows that such procurements are extremely important for budget savings, combating corruption, and increasing transparency, which brings significant long-term benefits.

Felipe Goya added that the World Bank has over 60 years of experience in procurement in more than 100 countries and is ready to support Kyrgyzstan by leveraging its global knowledge to improve the public procurement system.

The expert also noted that public procurement represents a mechanism for spending tax funds, and the efficiency of their use is critically important. Competitive procurement is one of the most effective approaches, allowing for savings of up to 19-20%. The experience of countries in Latin America and Europe confirms the success of applying such mechanisms in public procurement.

“For example, in Brazil, competitive procurement has achieved savings of up to 19%, and in Romania, nearly 2 billion euros per year. This is not only savings but also transparency, which prevents corruption. Direct contracts can lead to collusion, resulting in decisions being made in the interest of certain individuals, distorting the quality of public governance,” Goya explained.

He also noted that Central Asian countries are demonstrating positive changes. Across the region, there is progress in competitive public procurement and electronic marketplaces, which are becoming the standard. The use of digital tools contributes to the fight against corruption and enhances competitiveness, which is a result of the implementation of competitive procedures.
VK X OK WhatsApp Telegram

Read also: