The public procurement system of the Kyrgyz Republic: current state and development prospects

Abstract

An important instrument of public policy in the development of sectoral and regional economies is undoubtedly the use of the public procurement system to ensure the uninterrupted functioning of state and municipal bodies, as well as enterprises and organizations that generate gross value added in the national economy. In addition, modern public procurement systems contribute to the efficient use of public budget funds by stimulating economic development and supporting competition in the market for goods and services. At the same time, current global economic trends are constantly changing, giving rise to new conditions, rules, requirements, and constraints on the methods and instruments of state economic regulation. In this context, the public procurement system of the Kyrgyz Republic does not always meet the demands and requirements of a modern market economy. Therefore, the main objective of this study is to identify the problems of the public procurement system and ways to improve it. To achieve this objective, the article analyzes the development processes of the public procurement system and the formation of its regulatory framework; examines the dynamics of public procurement volumes for 2021–2025 and the methods used, in terms of both quantitative and value indicators. The study produced the following results: the stages of formation of the public procurement system were specified; the evolutionary development of the regulatory framework in this area was outlined; the impact of public procurement on the business environment was identified; the factors determining the dynamics of procurement volumes were revealed; the most in-demand electronic procurement methods and the reasons for their frequent use were determined; the key problems of the public procurement system of the Kyrgyz Republic were formulated; and recommendations for its improvement were proposed.