Kukhta: Ukraine saved UAH 100 bln over 4 years thanks to Prozorro system

First Deputy Minister of Economic Development, Trade and Agriculture Pavlo Kukhta said starting from February 2015 that the electronic procurement system Prozorro saved UAH 100 billion for the state.

“Prozorro system has saved for the state about UAH 100 billion. The system was first used then for the procurement of the Ministry of Defense and the Ministry of Energy. Over the past 2 years, savings have reached UAH 27 billion annually. This is almost EUR 1 billion annually,” the First Deputy Minister said.

Kukhta explained that the amount of savings is considered as follows: the amount of planned expenses of state customers is taken and the amount of funds actually paid as a result is deducted. Thus, the savings indicator illustrates how much the state would lose on the procurement of goods and services if there were no competition between suppliers and if such a system did not exist.

“We will professionalize and fully electronize the system, transfer purchases to centralized procurement organizations; we expect a decision on mandatory procurement through the purchasing system for central authorities this week,” the official stressed.