Corruption in public procurement . .

While surfing the internet on my leisure time, I came across this Handbook on Curbing Corruption in Public Procurement, a publication of Transparency International.

Fiscal administration practitioners and government procurement officials may find this publication interesting. Here's an excerpt:

"An avoidable misuse and abuse of public funds results from corruption. Corruption in public contracting leads to a distortion of fair competition, the waste of scare resources and the neglect of basic needs, perpetuating poverty. Massive market inefficiencies can also arise from corruption and, in the extreme, lead to the destruction of development opportunities. If corruption in public contracting is not contained, it will grow. It is estimated that systemic corruption can add 20-25% to the costs of government procurement, and frequently results in inferior quality goods and services and unnecessary purchases."

Zeroing on the Philippines, Jose Luis Syquia, formerly Executive Director of the GPPB Support Office, cited an SWS survey in 2003 that 30%-50% of government funds are wasted due to corrupt practices in procurement of books, vehicles and equipment, and infrastructure projects. By his conservative estimate, this translates to roughly Php 21 B potential leakage in government funds.