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“Armenia’s ‘One Person’ Role in Implementing Effective Systems to Decrease by 6% by 2023, Says Minister of Finance”

The Minister of Finance, Vache Hovhannisyan, stated during his presentation of the annual government budget report for 2023 on June 12 that the role of “one person” in implementing effective systems in Armenia is projected to decrease by approximately 6% by 2023. He mentioned that in 2023, the role of “one person” is expected to decrease by about 6%, compared to the 10% decrease in 2022. Hovhannisyan highlighted that without the impact of the global economic crisis, this indicator could have decreased by an additional 5%. Additionally, the overall participation rate of public systems has increased from 83% in 2022 to 87.6%, with further growth to 94.2% in the first four months of 2024, compared to 88.3% in the same period of 2023.

The Minister also raised concerns about participants who have won competitions but are unable to provide the goods and services they committed to. He mentioned significant delays and failure to meet the required quality and technical specifications. Hovhannisyan emphasized that improving procurement systems involves not only enhancing regulations but also creating opportunities for participants. He discussed how finance institutions have actively contributed to simplifying and expediting public systems, providing support to over 1800 organizations. As a result, the average participation rate in competitions has increased from 1.9% in 2022 to 2.2% in 2023, with a target of reaching 3% in the future.

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