Finance minister directs all public entities to embrace e-procyrement

By James Kandoya , The Guardian
Published at 10:54 AM Sep 30 2024
Finance  Minister Dr Mwigulu Nchemba
Photo: Guardian Correspondent
Finance Minister Dr Mwigulu Nchemba

FINANCE Minister Dr Mwigulu Nchemba has directed public institutions across the country to comply with procurement law by using the National e-Procurement System (NeST) to ensure value for money in government expenditure.

He issued the directive in Dar es Salaam at the weekend when receiving annual performance evaluation report from the Public Procurement Regulatory Authority (PPRA).

Dr Nchemba said that NeST system which began in July 2023 has significantly improved transparency and accountability within procuring entities.

 He said that the system aligns with the government directives to the Ministry of Finance to effectively oversee spending, especially in project implementation.

“We must embrace the system to enhance transparency and accountability, transforming internal control systems of our entities,” he said.

The minister called on PPRA to increase awareness efforts regarding NeST system to prevent misunderstanding among stakeholders, urging strict actions against those who resist its implementation.

Dr Nchemba  also instructed the authority to ensure compliance with regulations requiring procuring entities to allocate 30 percent of their budgets for special groups, including women, the elderly, youth, and people with disabilities.

He expressed the importance of leveraging opportunities provided by the new public procurement law to support local products, individuals, and companies, thereby strengthening the domestic economy and enhancing taxpayer capabilities.

Dr Leonada Mwagike, Chairperson of the PPRA Board of Directors, said  the submission of the report complies with the Public Procurement Act of 2023 which mandates submission within three months of the financial year’s end.

 She also outlined six achievements and challenges faced by the authority, noting that out of 999,671 public entities, only 53,886 have installed NeST system.

 She warned non compliant entities. saying that  the authority will take action against them as stipulated by the PPRA Act of 2023.

Mwagike said that some public entities have not allocated the required 30 percent of their budgets for special groups.

“We shall ensure that action against those opposing NeST system is enforced in their entities. We promise to work professionally.”

In the 2023/24 financial year, PPRA has trained 8,904 participants from 2,020 procuring entities on NeST system, including 643 participants from 420 entities, 393 members of parliament, 190 individuals from special groups, 26 regional administrative secretaries, and 166 through online training.

Other activities undertaken by PPRA include conducting investigations in 16 institutions, various project audits and ensuring compliance with procurement regulations.