Panama: Backwards Step in Procurement Law


News from Panama / Monday, March 16th, 2015

procurement

An initiative in the Legislature is attempting to remove modifications made to the law during the Martinelli administration, which currently allows more flexible processes, such as abbreviated tenders.

Since 2009, Law 22 of 2006 on public procurement has been amended nine times, which is why an attempt is being made to go “back to basics” of the legislation by removing some of the changes. Changes made in recent years “… allow the discretion of public servants through a standard which until 2008 was a model for Latin America. ”

Ana Matilde Gómez, an independent MP, told Prensa.com that “… These changes brought reforms that created unnecessary procedures, such as the abbreviated tender, the best value tender with separate assessment, changes to the suspensive effect of legal challenge and increased to 15% the amount of the bond for a legal appeal. ”

“… Panama is a signatory to the Inter-American Convention against Corruption, Article 5 establishes the applicability of preventive measures to create, maintain and strengthen systems for procurement of goods and services by the State. “