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TERRA ECONOMICUS

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  • 2017
  • No 4
  • Developing the public procurement system in the post-soviet and modern Russia: challenges and opportunities

DEVELOPING THE PUBLIC PROCUREMENT SYSTEM IN THE POST-SOVIET AND MODERN RUSSIA: CHALLENGES AND OPPORTUNITIES

TERRA ECONOMICUS, , Vol. 15 (no. 4),

The paper analyses transformation of Russian public procurement system in the past 25 years. The focus is given to building up the new institutional environment and the main tools and mechanisms of interaction on the emerging quasi-markets. The impact of the international procurement experience, the heritage of Soviet administrative control system as well as macroeconomic and regional factors and social-and-political interests upon procurement regulation are evaluated. The stages of concept evolution and modernization of the regulatory framework in this field are presented from the prospective of the economic policy. Some controversial aspects of regulating the public procurement system and the effect upon conduct of public and municipal customers and suppliers are highlighted. The ideological rationale of the market reforms is identified as aimed at preventing corruption and enhancing the public spending efficiency. It drives a regulatory transition from the industrial policy measures to the policy of competition protection and stimulation, and determines adopting new public procurement technologies to fit the evolving approaches. The authors conclude that the controversies in public procurement are rooted in the basic legal concepts and frameworks that hardly meet the needs of economic agents. Evolution of the institutional environment of the public procurement market proves a low self-control level by the state in the modern Russia.


Keywords: public procurement; government regulation; economic policy; effectiveness of the contractual system

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Publisher: Southern Federal University
Founder: Southern Federal University
ISSN: 2073-6606