Public procurement is often seen as one of the most opaque and corrupt government areas. This lack of transparency allows for corruption and misuse of public funds and undermines confidence in the government. Public procurement accounts for a large portion of government spending, so the process must be open and transparent to ensure that money is being spent wisely.

Transparency also helps to ensure accountability. By disclosing procurement data, agencies and companies are held accountable to the public for how they spend taxpayer money. This helps to deter corruption and ensure that contracts are awarded fairly.

Ultimately, transparency in public procurement leads to better governance and more effective use of public resources. Data disclosed throughout the procurement process, from planning to contract, allows for better oversight and ensures that money is spent wisely. The government can also improve disclosure rates by making disclosure mandatory or offering incentives for agencies that disclose data.

Disclosure levels in Uganda

The Government Procurement Portal (GPP) is the online platform where entities registered with the Public Procurement and Disposal of Public Assets Authority (PPDA) must disclose procurement information. The GPP data shows that disclosure rates have declined over the last three financial years, with fewer entities disclosing information.

In the 2019/20 financial year, we had 86% of the 231 registered public procuring entities published their procuring plans on the portal. However, in 2020/21, that number dropped to just 66%. Even fewer entities are disclosing information throughout the entire procurement process. For example, in the 2019/20 financial year, only 65% of entities declared their contract awards. In 2020/21, that number declined to just 53%.

The decrease in disclosure rates could be due to entities migrating to the E-GP.

What this means

The decline in disclosure rates is a concerning trend for procurement experts and government watchdogs alike. When agencies are less transparent about spending, it is difficult to ensure that taxpayer money is used appropriately. This lack of transparency can allow corruption and mismanagement to flourish, as there will be no practical way for the public to hold agencies accountable. In addition, this trend could have a chilling effect on government contracting, as businesses may be reluctant to work with agencies that do not have a good record of disclosure.

Ultimately, the decline in disclosure rates is troubling and could have far-reaching consequences for government accountability and effectiveness.

What can be done?

The government could improve disclosure rates and make public procurement more transparent by making disclosure mandatory for all entities registered with the PPDA. This would ensure that all agencies are disclosing information, help to increase transparency, and give the public greater access to information about how their tax money is being spent.

Another measure that could be taken is to make the procurement process more user-friendly and accessible. This would include simplifying the language used in procurement documents and making them available online in open, searchable formats like the Open Contracting Data Standards. This would help ensure interested parties understand the process and make it easier for them to follow the progress of procurements.

The government could improve transparency and accountability in public procurement by taking these measures. This would benefit the public and businesses alike, as it would help ensure that contracts are awarded fairly and that taxpayer money is spent wisely.