Policy brief “Key Problems in Public Procurement in Bosnia and Herzegovina: Experiences of Private Companies” summarizes the key findings of research conducted with the aim of mapping the main obstacles to the participation of private companies in public procurement procedures in BiH.
Survey data indicate a range of problems in all phases of public procurement procedures, from preparation of tenders, evaluation of bids, to awarding of contracts. The majority of respondents rated qualification criteria as the most problematic, since they leave too much room for contracting authorities during the evaluation of bids or are disproportionate to the object of the contract. Respondents' answers indicate that prices of tender documents, as well as the charge for starting the appeal procedure, have limited effect on private companies that participate in public procurement procedures. A significant number of respondents believe that changes of conditions of public procurement contracts after signing is a widespread phenomenon in public procurement.
Corruption in the form of bribe or other abuses of public authority for personal gain, according to respondents' answers, is present in public procurement in BiH. Representatives of private companies have little confidence in the public procurement system, as well as the possibility that corruptive practices and irresponsible spending of public funds will be sanctioned.
Among the business community there is a widely held view that the political and personal ties are one of the decisive factors for obtaining contracts for public procurement. A significant number of private sector representatives noted that enterprises are forced to participate in corruptive practices in order to survive in the market, and that it is acceptable to pay a certain percentage in order to get a job in public procurement.
This Policy Brief is published within the project Open Public Procurement in Bosnia and Herzegovina jointly implemented by the Centre for Investigative Reporting (CIN), Analitika - Centre for Social Research, and the Public Interest Advocacy Centre (CPI). The Project is financed by the European Union and co-financed by the UK Government.
The publication in English is available HERE.
The publication in local languages is available HERE.