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 Verkhovna Rada adopts anti-corruption law on public procurement

Tuesday, Sept. 15, the Verkhovna Rada adopted in the second reading and in general the draft law on amendments to some legislative acts on public procurement, improving the mechanism of public procurement in Ukraine close to UAH 300 billion (about $13.6 billion) per year.

This is reported by Censor.NET citing UNIAN.

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The bill was supported by 251 MPs at the required minimum of 226 votes.

While introducing the bill, deputy head of the Verkhovna Rada Committee on Economic Policy Yurii Solovei said that 64 amendments had been proposed to the bill before the second reading, most of them having been consequently introduced.

"By the first reading, the bill provided for reducing corruption risks, namely verification of information about the final beneficiary, demonstration of price proposals and other documents, publication of assessment protocols, inability to block tenders through litigation. In addition, the bill stipulated for simplifying tender procedure and raising the threshold for procurement. In the second reading, the committee requested not to exclude the monitoring system of public procurement from the procurement system, but transfer it from the Ministry of Economic Development and Trade under supervision of a line authority - the State Financial Inspection. The committee also proposed to increase the threshold for procurement from UAH 1.2 million (about $54,660) to UAH 1.5 million (about $68,330) due to the rise in prices, including construction and installation works," Solovei said.

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Minister of Economic Development and Trade of Ukraine Aivaras Abromavicius, who attended the voting, said that the document is extremely important, and it is included in an overall package of procurement sector reforms which will be continued in October.

"This is a very important law, it is a real opportunity to save UAH 50 billion (about $2.27 billion) a year," said Abromavicius. "The reform of public procurement is based on two bills. One has been passed, another one will be submitted in October. It will seek to make all public procurement electronic," the minister said.

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As previously reported, the bill was adopted in the first reading on June 30, 2015. At the same time, the Ministry of Economic Development and Trade announced its intention to make all government procurement, except for specific and defense products, electronic by the end of 2016.
 
 
 
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