|Year of assessment: 2018
|Procurement value: EUR 17.3 billion (2017)
Principal organisation: The Ministry of Finance
The World Bank,Organization for Economic Cooperation and Development (OECD), European Bank for Reconstruction and Development (EBRD), Islamic Development Bank (IsDB), Asian Development Bank (ADB)
The Kazakhstan public procurement system is dual. There are separate systems for the government procurement conducted by the general public administration, governed by the 2015 Public Procurement Law (PPL), and procurement conducted by Sovereign Wealth Fund Samruk-Kazyna, which accounts for the majority of public procurement spending and is covered by a different set of laws and regulations. This MAPS assessment covers both parts of the system.
The system for the general public administration is highly decentralized with about 23,200 procuring entities. The number of procuring entities and degree of centralization in the structure of the procurement system of the Samruk-Kazyna is not fully clear.
Prior to the assessment, the GoK achieved significant results in transferring the public procurement system from a manual to a full-fledged electronic system. The legal and institutional framework allows for all procurement to be conducted effectively through the Procurement Web Portal, an e-Procurement system, launched by Ministry of Finance in January 2016.
Following a request of the Government of Kazakhstan (GoK) to assess both its general public procurement system (PPS) and the procurement system of the Sovereign Wealth Fund Samruk-Kazyna, using MAPS, GoK and a coalition of international partners, led by the World Bank, the Organisation for Economic Cooperation and Development (OECD) with the European Bank for Reconstruction and Development (EBRD), Islamic Development Bank (IsDB), and Asian Development Bank (ADB) launched the assessment in 2018.
The assessment started in January 2018 and the first draft was issued in September 2019. The final report received the MAPS Seal of Approval and was published in April 2023.
The assessment included an analysis based on reviewed procurement files, procurement data collected from e-Procurement systems, several government agencies and SOEs, interviews from various Regulatory Public Bodies, as well as online survey responses from private sector actors and NGOs. In addition, a stakeholders validation workshop was held in September 2019 with participation from the public sector, SOE and private sector, audit authorities, training institutions, NGOs, and media.
While Samruk-Kazyna’s leadership supported the MAPS assessment through interviews and the provision of information, Samruk-Kazyna representatives did not provide access to procurement data or sample cases, despite repeated requests by the assessment team. The concept note for this MAPS assessment anticipated the risk that the assessment team would not have access to necessary data and information. The report presents conclusions based on a review of secondary data sources, as well as interviews.
“Effective spending of public finances is critical as countries spend about 15-20% of GDP on the purchase of goods, works and services for the implementation of government programs and investment projects. Thus, this joint work is a timely opportunity to accelerate the implementation of modern, efficient, sustainable and inclusive public procurement systems in Kazakhstan”
Jean Francois Mathieu
World Bank Resident Representative in Kazakhstan