Paraguay: How open data has transformed Paraguay’s public procurement
A years-long campaign to provide access to government information resulted in open data across the full procurement cycle, enabling journalists and CSOs to monitor government spending. The country’s procurement agency DNCP modernized its system including tools such as a policy on buying frequently purchased goods and a red flags dashboard. The agency’s open and data-driven approach continues to underpin its digitization efforts and has set them up to respond quickly to needs for example during the pandemic.
Key open contracting strategies
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| A central open contracting e-procurement platform | Timely open data including enables procurement agency can monitor and maintain efficiency and value for money even during a crisis | SMEs awareness campaigns | Civil society and journalists are empowered for monitoring public procurement | Students are enabled to track budgets and contracts to increase spending to most needed schools |
Summary
Challenge
Inefficiency and corruption plague Paraguay’s public spending, with inflated contracts for basic goods at the Ministry of Education triggering widespread protests.
Open contracting approach
A years-long campaign to provide access to government information resulted in open data across the full procurement cycle, enabling journalists and CSOs to monitor government spending. The country’s procurement agency DNCP modernized its system including tools such as a policy on buying frequently purchased goods and a red flags dashboard. Building on its existing open contracting ecosystem, Paraguay made publicly available information and dashboards on emergency procurement within weeks of the pandemic starting as well as offering new guidance and coordination for all procuring agencies. The government implemented more controls in COVID-19 purchases and included COVID-19-related items in their virtual catalog for faster and better emergency purchasing. Buying fast, and transparently, is possible with open contracting.
Results:
- Prices for protective equipment became 10x cheaper & tendering 10x faster than at the beginning of the pandemic.
- Early open contracting reforms increased savings and value for money, as well as reduced failed tenders. Amendments to contracting processes dropped from 19% to just 3% after the 2015 open procurement reforms.
- More than 80% of the schools most in need now receive funding, compared to fewer than 20% in 2015.
At a glance
Key stats
| Efficiency | |
| DNCP’s open and data-driven approach underpins procurement modernization and digitization, setting them up for an agile response during the pandemic. | Prices for protective equipment became 10x cheaper and tendering 10x faster than normal. |
| Amendments to contracting processes dropped from 19% to just 3% after the 2015 open procurement reforms. | |
| Citizen monitoring | |
| A dramatic improvement in how funds for school facilities are allocated in Ciudad del Este over the last three years. | More than 80% of the schools most in need now receive funding, compared to fewer than 20% in 2015. |
“Everyone was suddenly looking at public contracts. Although this generated a lot of pressure, it also put us in a position to become more efficient, speed up processes, and enhance the integrity of the entire system.”
“Open data has made the process quicker, but public pressure from the community is the main reason the municipality is paying attention to the Fonacide fund. The data becomes a tool for translating that situation into something that can be backed by evidence from the open contracting portal and sending that to the public to harness the movement behind it.”