Government of Islamic Republic of Afghanistan Administrative Office of the President National Procurement Authority

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1 Government of Islamic Republic of Afghanistan Administrative Office of the President National Procurement Authority Afghanistan s Electronic Government Procurement The Current Status and Challenges Yama Yari B.Eng. M.Sc. D.I.C. Director General-NPA Feb, 2017

2 Afghanistan at a Glance Capital Kabul Area 652,864 km2 (41 st ) Population (2015 Estimate) Population Density Total GDP (Nominal) 32,564,342 [3] (40th) 43.5/km 2 (150th) $ B Per Capita GDP $659 Administrative Divisions 34 Provinces

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4 National Procurement Authority-NPA Vision & Mission Politicalwell Equipped with E-GP Procurement system Effective, Efficient Transparent, Fair & Accountable Resources Strategy Compliant with International standards Mission Strengthen Public Procurement System

5 E-GP Readiness Assessment and Roadmap 4 In House Development of Systems Customized Off the Shelf-COTS acquisition of the System 1 With WB support hired of International Consultant E-GP Readiness Assessment Report 3 E-GP Implementation Roadmap Afghanistan is 70 % ready for implementation of E-GP

6 Readiness Status 2007 Vs No. Component Government Leadership Human Resource Planning Planning & Management Policy Legislation & Regulation Infrastructure & Web Services Technological Capability Private Sector Integration Existing e-gp Developments 2 3 *Assessment based on World Bank and Asian Development Bank e-gp Survey Instrument Afghanistan Readiness has improved in all areas over last 10 years

7 Afghanistan Scores High in Critical Areas Program should not commence without high scores for the following The government has nominate a minister or top-level authority to be responsible for procurement modernization and change Lead agency for procurement has high level policy, legislative, technical and management expertise, authority and knowledge Avg. by respondents Avg. by agencies The agency oversights the whole procurement cycle The agency responsible for implementation is the lead procurement agency The government has the capacity to implement procurement governance and procedural reform Summary 82% 75.7%

8 Internet Costs Are Relatively High by Falling Rapidly

9 Internet Usage Has Been Increasing Rapidly

10 Existing System A web based unitary system is currently operating Information on all procurement opportunities is advertised online No proprietary hardware or software is required by suppliers Buyers and suppliers can register for business online There is open access to bidding and other process documents Electronic download of bidding documents is available Government procurement web services are routinely accessed by the private sector

11 Current Developments Afghanistan is currently evaluating its options for a more sophisticated online interactive and management system Preferred options include Customize Off The Shelf-COTS and in-house development with OCDS standards Other e-gov developments also underway in Afghanistan such as customs, tax, treasury, etc, to be interoperable

12 Issues - SWOT Analysis Strengths Significant political commitment Effective lead agency - NPA The government has capacity to implement procurement reform Standardized bidding documents Departments commonly online Computer use common Positive business attitudes Opportunities Stronger procurement performance Costs to participate in government procurement will fall Procurement cycle time reduced Enhancing budgetary control Improved confidence in procurement Strengthened industry policy Weaknesses Undeveloped data security, storage, data centres Many suppliers unfamiliar with technology or keyboard use Legislation has not been enacted for e- procurement. Telecommunications infrastructure has weaknesses Threats Flawed system selection Implementation funding Loss of political / government support Key personnel weaknesses Resistance to standardisation / BPR

13 Issues and Challenges E-legislation drafted but not yet operational Funding availability dependent on donors Limited professional capacity within civil service The communications and power infrastructures are fragile Corruption some opposition to greater transparency Culture for integrity to be strengthened E-GP project will need active risk management

14 Thank You Questions? National Procurement National Procurement Authority