Economics and management of national economy

Public procurement in Ukraine as a state governance instrument: evaluation, control, improvement

Economic Annals-XXI

Economic Annals-ХХI: Volume 179, Issue 9-10, Pages: 80-90

Citation information:
Kaletnik, H., & Zdyrko, N. (2019). Public procurement in Ukraine as a state governance instrument: evaluation, control, improvement. Economic Annals-XXI, 179(9-10), 80-90. doi: https://doi.org/10.21003/ea.V179-07

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Hryhorij Kaletnik
D.Sc. (Economics),
Professor, President,
Vinnytsia National Agrarian University;
Academician,
National Academy of Agrarian Sciences of Ukraine
3 Soniachna Str., Vinnytsia, 21008, Ukraine
rector@vsau.org
ORCID ID: https://orcid.org/0000-0002-4848-2796

Nataliya Zdyrko
PhD (Economics),
Associate Professor,
Dean, Faculty of Accounting and Audit,
Vinnytsia National Agrarian University
3 Soniachna Str., Vinnytsia, 21008, Ukraine
Zdyrko_ng@i.ua; Natashka26@i.ua
ORCID ID: https://orcid.org/0000-0001-5968-3502

Public procurement in Ukraine as a state governance instrument: evaluation, control, improvement

Abstract. The article examines public procurement in the state administration. Its decisive role in implementing the concept of sustainable development as an instrument of economic, social and environmental policy has been proved. Tactical and strategic goals of public procurement are detailed. Problematic aspects of public procurement (changing legislation, inconsistency of the concept apparatus and the lack of proper organization of supervisory bodies) are outlined. The authors of the article focus on the established components of public procurement in accordance with legal requirements, as well as the classification of procedures for their implementation. The peculiarities of implementation of procedures for different types of public procurement in terms of their value and the order of fulfillment are determined. The article deals with analytical evaluation of public procurement in Ukraine, including positive tendencies for the growth of quantitative and qualitative indicators. Examples of reasons for disqualifications and rejection of participants are given. Special attention is paid to the composition and subordination of the controlling bodies of public procurement. The present research deals with the main tendencies of the state financial control. The authors of the article study typical violations of control results. The necessity of reforming the control system in order to increase its effectiveness has been proved. Information on state control bodies and appeals in foreign countries is presented along with the need for elimination of duplication of functions and powers of the controlling bodies. The model of the organization of the state financial control through creation of a single controlling specialized body, the Public Procurement Inspectorate, which includes representatives of all state bodies and public organizations, is proposed to increase the efficiency and effectiveness of control.

Keywords: Public Procurement; Procurement; Open Bidding; Controlling Bodies; Tenders; Customers; Participants; Subject of Procurement

JEL Classification: H57; H76; L11

Acknowledgements and Funding: The authors received no direct funding for this research.

Contribution: The authors contributed equally to this work.

DOI: https://doi.org/10.21003/ea.V179-07

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Received 24.09.2019
Received in revised form 30.09.2019
Accepted 4.10.2019
Available online 11.11.2019

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