Ukraine’s parliament has approved a major overhaul of public procurement rules, a move officials say will bring the system closer to European Union standards and help unlock billions of dollars in external financing.
The Verkhovna Rada backed draft law No. 11520 on 27 May, with 245 deputies voting in favour, according to parliament and the Ministry of Economy. The legislation modernises the rules governing state tenders, aligns them with EU directives and introduces new procu...
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rement tools, including innovation partnerships and dynamic purchasing systems.
Officials in Kyiv have framed the change as more than a technical update. The parliamentary leadership said the law is a key part of Ukraine’s EU accession process and an important element of wider legal harmonisation with the bloc. It is also intended to improve the way public funds are spent at a time when reconstruction needs remain immense after Russia’s full-scale invasion.
According to the Ministry of Economy, the new framework should make procurement more transparent, broaden competition and give small and medium-sized firms a better chance of winning public contracts. The ministry said the revisions are designed to reduce bureaucratic barriers, support domestic producers and make the system more workable for businesses created by war veterans.
The law also clarifies how large contracts can be split into lots, a change intended to prevent bigger firms from dominating all parts of major tenders. Businesses will, for the first time, be able to propose alternative solutions where the customer allows it, which the ministry said could encourage more efficient and technologically stronger offers.
Transparency International Ukraine said the final version of the law emerged after further technical changes and the removal of several problematic provisions. The anti-corruption group said the legislation includes updated thresholds, new procedures and an appeals mechanism within Prozorro Market, while also preserving wartime safeguards that had been developed for sensitive sectors such as construction.
The law is expected to take effect nine months after publication, leaving Cabinet Resolution No. 1178 in place until then.
Officials and lawmakers have also linked the vote to international funding. MPs including Olha Vasylevska-Smagliuk and Yaroslav Zheleznyak said on social media that the bill is tied to Ukraine’s World Bank and IMF commitments, while Interfax-Ukraine reported that the measure is part of the World Bank’s Development Policy Operations framework and could help unlock about $3.4 billion.
Source: Noah Wire Services