Policy Brief - Corrective Action and Positive Discrimination in Government Tendering

author: Baker Shtayeh, Rand Taweel, Rabeh Morrar, Arwa Abu Hashhash
year: 2022

This policy brief was derived from a study prepared by the Palestine Economic Policy Research Institute (MAS) for the benefit of the Ministry of National Economy (MoNE) as part of the Transparency, Evidence, and Accountability (TEA) Program, implemented by the United Nations Development Program (UNDP) and funded by the Foreign, Commonwealth & Development Office (FCDO).

This study examines the regulatory environment for public procurement operations in the West Bank, identifying the most prominent legal and procedural obstacles that limit the ability of micro, and small enterprises to participate in public (governmental) procurement. The paper outlines the most prominent legal and procedural reforms that will raise the efficiency of public procurement procedures - and formulate required interventions - in order to grant smaller enterprises some preferential treatment in government procurement, while noting that public procurement accounts for 12.3% of GDP, distributed amongst the procurement of supplies, works, as well as consulting and non-consulting services. By the end of 2019, the total government public procurement expenditures arrears to the private sector amounted to USD 2.5 billion.

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