Vice-President Constantino Chiwenga recently reinforced Zimbabwe’s commitment to modernizing its procurement process. He emphasized that Treasury will no longer release procurement funds for any transactions conducted outside the newly implemented electronic Government Procurement (eGP) system.
The eGP system, overseen by the Procurement Regulatory Authority of Zimbabwe (PRAZ), aims to revolutionize public procurement. It’s designed to digitize the process, making it more efficient, transparent, and competitive, a move Chiwenga believes will reduce opportunities for corruption.
Since its launch, the eGP system has garnered significant participation. Over 21,000 suppliers are already registered, demonstrating that the government is serious about reforming procurement procedures. Chiwenga urged all ministries, departments, and agencies to ensure their procurement plans are uploaded and compliant with the system.
This shift to e-procurement is a significant step forward. Historically, Zimbabwe’s public procurement process has been marred by inefficiency and accusations of corruption. By moving these processes online, the government is aiming for better oversight, ultimately cutting down opportunities for misuse of funds.
Treasury’s strict stance on non-compliance ensures that funds will only be released for projects within the eGP framework. Early adopters of this system are already seeing the benefits of a more streamlined process that promises both efficiency and transparency.
Zimbabwe’s adoption of the eGP system aligns with broader global trends in procurement modernization. Digitizing public procurement can increase competitiveness, reduce delays, and improve trust in government processes, according to numerous studies on procurement reform globally.
Chiwenga also highlighted Zimbabwe’s strategic positioning in southern Africa, noting how it offers the country a vital link between northern and southern trade corridors. This geographic advantage places Zimbabwe in a strong position to benefit from the African Continental Free Trade Area (AfCFTA), a trading bloc with over 1.3 billion people and a combined GDP of more than $3 trillion.
AfCFTA is projected to be a critical driver for economic growth across Africa. Chiwenga called on public procurement to play a transformative role in Zimbabwe’s integration into this continental market. Public procurement, when aligned with broader economic goals, has the power to elevate local industries and stimulate economic growth.
Modernizing procurement, Chiwenga noted, not only tackles corruption but opens the door for Zimbabwe to play a larger role in regional trade. The eGP system is part of this broader strategy to position Zimbabwe as a regional procurement hub, a move that could attract significant investment into the country.
The Vice-President also stressed the importance of rehabilitating Zimbabwe’s infrastructure. Enhancing roads and railways will be crucial in supporting increased trade activity, making the country more accessible for regional and international commerce.
Aligning procurement strategies with the goals of AfCFTA will be key. The potential of AfCFTA to lift millions out of poverty through expanded market access makes it an essential tool for Africa’s economic future. Zimbabwe must embrace this platform and strategically position itself within the trade bloc to maximize benefits for local industries.
Chiwenga’s call to embrace the African Continental Free Trade Area ties back to Zimbabwe’s larger vision of becoming a critical player in Africa’s economic landscape. By integrating more fully with AfCFTA and continuing to modernize public procurement, Zimbabwe could strengthen its position both regionally and globally.
The shift towards a digitized procurement process represents a crucial evolution for Zimbabwe. It signals the country’s readiness to engage in transparent, efficient, and corruption-free processes while embracing the potential of Africa’s massive market through AfCFTA.