15-25% of GDP in developing countries is spent each year buying goods and services for public projects. From schools and hospitals, to power plants and dams, this means big budgets and complex plans. It also means ideal opportunities for corruption.
This increases the cost of services to the public. But corruption in public procurement isn’t just about money. It also reduces the quality of work or services. And it can cost lives. People in many countries have paid a terrible personal price for collapsed buildings and counterfeit medicines.
To mitigate above risks, there is an urgent need to address various governance risk issues. In addition, professionalizing the procurement function will go a long way in building the highest standard of ethics during procurement or execution of such projects. Leveraging technology to make the system more transparent will also help in prevention of corruption.
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