Public Procurement - 2010 PRINT E-mail

Legal framework

Public procurement law in Russia is regulated by the Federal Law N 94-Φ3 On Procurement of Goods, Works and Services for State and Municipal Needs, adopted on July 5th 2005 (PPL). In the EBRD 2010 Assessment PPL scored medium to high compliance in the region.

Regulatory institutions

In Russia different central authorities deal with public procurement function, including:

• Ministry of Economic Development
• Ministry of Finance
• Federal Antimonopoly Service (FAS)
• Federal Bureau of Defence Procurement

Their functions include monitoring and enforcement of the PPL as well as initiating and amending legislation related to PP but they are not clearly delineated.

General assessment

In the 2010 assessment Russia achieved medium compliance with the benchmark in quality of legal PP framework (73 per cent). National PP policy making is reasonably responsive to local market challenges and several integrity safeguards have been adopted in local PP legislation. However, not all efficiency instruments recommended by international standards gave been incorporated.

Some regulatory gaps were identified in several key benchmark indicators. In addition, Russian PPL is not stable; frequent amendments and complex enforcement mechanisms result in the general perception that PP laws and practice is unpredictable.

In the assessment of local practice Russia scored medium to high compliance (average 79 per cent compliance rate). A general conclusion is that the development of local PP capacity is progressing; still some substantial gaps in implementation of laws and institutional framework capacities were identified.

Finally, local PP practice in Russia scored a 37 per cent compliance rate in the PP sustainability survey.

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