A review of public sector e-Procurement system of Bangladesh

Abstract

This study aims to review public sector e-Procurement that is in place in Bangladesh at present. In order to assess public sector e-Procurement system of Bangladesh this study also compares public sector electronic procurement of Bangladesh with that of a developed country and suggests some measures to achieve effective and efficient e-Procurement system in Bangladesh. The study is based on both primary and secondary data. Primary data were collected from discussion with CPTU officials, bidders and a concerned officer from a procuring entity. Both primary and secondary data were carefully examined and analyzed to find out current status and challenges of e-Procurement system of Bangladesh. Because of availability of information Australia was selected for the comparison. Findings of the study show that most of the government organizations have been registered to e-GP system because of various effort of CPTU. Even Upazilla Parishads and municipalities have embraced electronic procurement. There was a boost in registration to e-GP in the Financial Year 2017-18. It is because CPTU targeted to end registration for procuring entities. CPTU arranges training for procuring entities, bidders, banks, project directors and accounts officers. In the previous financial year more than eight thousand officials participated in e-GP training. This capacity building initiative boosted implementation of e-GP. This is further observed that due to e-GP competition and responsiveness on an average per tender almost tripled in 2017-18 than the past. Bangladesh is well advanced among south Asian countries with respect to implementing e-GP. Even Australia, one of the developed countries in the world has introduced electronic procurement for goods and services only in contrast to procuring goods, works and services electronically in Bangladesh. Around 30 percent government purchase in Australia is processed through electronic procurement. In contrast to Bangladesh, e-Procurement in Australia is decentralized. Both the countries want to ensure better value for money, more openness and competition. e-GP in Bangladesh is not free from limitations. Tenders having value more than 500 million BDT, international tenders and tenders for intellectual services cannot be processed through e-GP. Besides this, CPTU is largely dependent on outsourced IT consultants for maintaining its e-GP infrastructure. It is important for CPTU to overcome these challenges so that electronic government procurement can be implemented in Bangladesh completely.