Three-Week Training Course on Procurement of Goods, Works, and Services

Mr. Secretary, IMED; Chairman of the session Prof. Engr. M.A. Hannan, Rector, ESCB; DG, CPTU; Dean, Faculty of Procurement, ESCB; and Distinguished Participants, Ladies and Gentlemen:

Assalamoalaikoom & a very good morning!  I am delighted to speak at this important event where representatives of the government and business communities have gathered in the context of public procurement reform in Bangladesh and associated knowledge sharing process. 

This initiative is a key ingredient of improving procurement management practices in the public sector, utilizing the professional skills of concerned officials, practicing public procurement.  On behalf of the World Bank, I express my deep appreciation to the Government of Bangladesh, in particular to the Implementation Monitoring and Evaluation Division (IMED) of the Ministry of Planning and its Central Procurement Technical Unit (CPTU), four target agencies (i.e., RHD, LGED, BWDB, and REB), and the team of consultants comprising FINEUROP-SOFRECO and Engineering Staff College Bangladesh.

Improved investment climate is core to economic growth.  And to promote economic growth, the Government spends large part of its annual budgetary resources through public procurement for the implementation of projects and development works, large part of which goes to infrastructure, power, and water resources.  Let me comment on the much-needed initiative to improve governance and procurement practices to ensure that funds are used for the intended purpose.  It is now well-documented that misuse of public resources through inappropriate bidding practices or corruption not only affects economic growth, but also has a significant negative effect on the investment climate. When international companies bid in good faith on concessions or infrastructure contracts, and find that the system works in perverse and unpredictable ways, the news spread quickly that the investment climate is hostile and the cost of doing business is high.   In this context, we appreciate the Government’s initiatives to take action against those seemingly responsible for misuse of public resources.

Like any other reforms, the path in procurement reform is extremely arduous, but is critical and worth travelling considering its pay-off in the long run to the economy.  And Bangladesh has distinctively positioned itself in this effort.  We note that the recently closed Public Procurement Reform Project is considered as a “flagship” project, offering “good local fit” of international procurement practices, not only in the region but also within the Bank-funded other countries.  The country has its own procurement law/ rules/ procedures, with most features of international good procurement practices.  Its reform efforts have been recognized in a number of international fora including the OECD/DAC harmonization conferences.   As a part of the capacity development effort under the program, the Government created a critical mass of procurement professionals and provided training to over 1800 officials of about 300 organizations.  All of these have contributed to better transparency and accountability of the system, and for that, credit goes to you who contributed to this arduous task, be it policy makers or implementing agency officials.  Please accept our deep appreciation for such outstanding achievement as a developing country of the world.

The potential gains from this task are enormous but the path to fully implementing the reform is not an easy one.  Still major challenges are ahead with regard to its full implementation and monitoring.   It is heartening to note that despite enormous challenges, Bangladesh has been continuing its effort to make the reform sustainable.  As part of that effort, the Government started its implementation of a second public procurement reform, largely focusing on the implementation and monitoring of laws/ rules in key sectoral agencies. 

To use public resources efficiently, Bangladesh must focus in institutionalizing procurement management capacity.  And as part of the program, it has rightly undertaken an extensive capacity development effort.  I understand there are several courses starting with three-week intensive residential course for public procurement officials of key four target agencies and other agencies to short courses for bidding community, auditors, policy-makers, and other relevant stakeholders including overview for the members of parliament.  Today’s event to start the first three-week course thus is seen as a milestone and starting point that will continue for over four years.  I understand that the program has been designed to train public procurement officials of largely the four target agencies, along with other agencies, in a way that each procuring entity will have at least one trained staff; thus rotation or transfer of staff will not affect the quality of procurement work at entity level.  I have also been informed that for top performers in the course, there is an incentive mechanism for recognition, including scope for foreign training and higher studies and procurement accreditation program.  I expect that such incentives will encourage the participants to contribute more. 

We are indeed pleased to see that to institutionalize the capacity development program, with CPTU’s guidance, the Engineering Staff College Bangladesh in collaboration with FINEUROP has already started the process of developing a procurement faculty of its own, and put in place the key staff including the Dean of Faculty and Senior Trainer.  Certainly, it demonstrates Government’s commitment to develop capacity.  We are eager to see that in this front as well, Bangladesh will soon position itself as a  country with leading procurement capacity development institution to attract not only local participants but also will be an important venue for international participants to receive procurement training.  It all depends on your initiative and commitment. 

The World Bank will remain by the side of the country to support its development effort clearly putting the Government on the driving seat.  Our other development partners will support as well the Government in all appropriate ways in order that the country and all its citizens benefit from the reform in the procurement process as well as in other areas of governance reform. This event has been an important milestone in that direction, and I thank the organizers and wish the participants all success as they carry forward this important learning process.

Thank you very much.