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The need for further improvement of the public procurement system and possible ways for reform were the focus of the international conference "Public Procurement Reform in Ukraine – on the Way to the EU," held in Kyiv on May 16. The Chairwoman of the Accounting Chamber of Ukraine, Olha Pishchanska, participated in the event online.
The event was organized by the EU4PFM Component “Public Procurement”, with which the Accounting Chamber actively cooperates. Representatives of Supreme Audit Institutions (SAIs) of other countries, experts from the EU's SIGMA Program, Transparency International Ukraine, members of Parliament, representatives of executive authorities involved in oversight of public procurement in Ukraine, and members of civil society also took part in the discussions.
“Public procurement is a litmus test of the effectiveness of public administration. During wartime, when Ukraine’s own resources are limited, transparency, timeliness, and efficiency of procurement directly affect our defense capability and social resilience. Therefore, we must strengthen efforts to minimize risks, primarily through a robust control system,” emphasized Olha Pishchanska in her speech.
Last year, four audits conducted by the Accounting Chamber were directly focused on public procurement, and the overall state of compliance with legal regulations in the use of budget funds for procurement was assessed during other control activities.
“In 2024, the Accounting Chamber conducted a series of control measures, revealing violations of public procurement legislation totaling UAH 531.8 million. Significant violations and shortcomings were found in such key areas as defense, healthcare, and infrastructure reconstruction,” the Chairwoman reported.
According to her speech, systemic problems requiring resolution were identified during these control measures. For example, analysis of the Ministry of Economy’s 2023 report on the functioning of the public procurement system showed that over 92% of all procurements were conducted without competitive procedures, posing significant risks.
“The 2024 audit results demonstrate both positive developments and the persistence of systemic problems, such as ineffective management and poor planning of procurements, particularly at the level of local communities. In this context, the new and strengthened institutional powers of the Accounting Chamber enable us to enhance the effectiveness of our audits and ensure systematic implementation of our recommendations,” the Chairwoman concluded.
Olha Pishchanska expressed her gratitude to the EU and the EU4PFM project team for supporting the Accounting Chamber in conducting audits in the field of public procurement.
Conference sessions also addressed the role of other government institutions in public procurement oversight, reform of the procurement system, and alignment of national legislation with EU legislation during the negotiation process for EU membership.
Eriks Mezalis, Head of the EU4PFM expert group, thanked the Accounting Chamber and other oversight bodies for supporting reforms in this area.
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