When Everyone Sees Everything: Transparent Public Procurement Helped Save 10% of Town’s Annual Budget

Ukrayinka is a small town with a population of just over 15,000 located south of Kyiv, Ukraine’s capital. In 2019 the City Council announced a tender to renovate the local stadium. The tender requirements were clearly designed with a specific company in mind.

Local activist Olga Nos took note and sent a request to the municipal government to remove the unfair tender terms. The City Council ignored her, and the tender process went forward. Therefore, Olga analyzed the market using the analytical module Prozorro (bi.prozorro.org) and found a few companies that would nonetheless meet the requirements and invited them to participate in the tender. As a result of the bidding, the council’s favorite still won, but the auction helped to drop the price and the town saved 10% of its annual budget.

USAID and UK aid via the TAPAS project have provided the lion’s share of financial support to expand and develop the Prozorro e-procurement system, including the development and implementation of risk indicators with artificial intelligence algorithms, that thousands of public procurement watchdogs (activists, NGOs, state officials and business representatives) are using across Ukraine. Between October 2017 and June 2021, Prozorro helped the country to save almost $7 billion in public money.