Samia urges integrity in regional procurement

Arusha. President Samia Suluhu Hassan has urged procurement and supply chain professionals from East African Community (EAC) countries to adhere to principles of integrity, transparency and accountability to ensure high-quality services for citizens and enhance the effectiveness of development projects.

In a speech delivered on her behalf by Deputy Prime Minister and Minister for Energy, Dr Doto Biteko, at the opening of the 16th East African Public Procurement Forum on September 9, 2024, President Hassan emphasised the importance of managing public funds properly to reduce corruption and its related impacts.

Dr Biteko noted that the significant funds used in EAC countries come from taxpayer revenues, making it crucial to manage these resources effectively to mitigate issues such as corruption. He underscored the need for adherence to ethical standards in order to provide excellent services and execute productive projects.

The Deputy Prime Minister also highlighted the ongoing efforts by EAC leaders to foster sustainable development across member states, focussing on improving political, legal, economic, and social conditions to alleviate poverty and create job opportunities, particularly for women and youth.

“When using public funds to purchase goods, services, or projects in our countries, we must recognise the need for sustainable development and cooperation among our nations to ensure long-term benefits for our citizens,” Dr Biteko said.

He stressed that public procurement, being heavily funded by taxpayers, should be conducted with the highest standards of ethics, transparency, and accountability. He urged participants to enhance regional procurement standards to promote social equity, economic development, and environmental sustainability.

Dr Biteko also addressed the disparity between EAC countries and more industrialised regions, noting the high volume of imported goods within the EAC. He urged the community to build local capacity to produce necessary goods domestically before considering imports, which would support the development of local industries.

In Tanzania, the Ministry of Finance and the Public Procurement Regulatory Authority (PPRA) have strengthened public procurement oversight through improvements in laws, regulations, and procedures. The government has tasked the ministry of finance with preparing national policies and strategies for supply chain management to ensure alignment with set policies and strategies.

Dr Biteko discussed the launch of the Electronic Public Procurement System (NeST), which follows the Tanzania National e-Procurement System (TANePS) introduced in 2019. NeST aims to reduce procurement costs, eliminate paper use, increase procurement speed, and minimise errors, thus improving service delivery to citizens.

The Chairperson of the PPRA Board, Dr Leonida Mwagike, reported that the NeST system, initiated on July 18, 2022, and operational since October 1, 2023, is still being developed. While two modules—registration and online bidding—are fully operational, others, including electronic contract management, are still under construction.

By August 32, 2024, 1,151 procuring entities had updated their information and begun using the system, with 1,048 entities announcing procurement plans worth Sh31.9 trillion. Additionally, 21,991 vendors, including 21,094 local vendors, are registered within the system, which integrates with 17 government agency systems.

PPRA Director Dennis Simba announced that the forum would feature discussions on the implementation of electronic procurement systems in member states, sharing experiences, and exploring how technology can transform the procurement sector.

The forum also saw participation from non-EAC countries, including South Africa, Senegal, Zambia, and Malawi.