Question

Discuss the purchase procedures of government and public undertakings

Answer 1

Government procurement or public procurement is the procurement of goods, services and construction on behalf of a public authority, such as a governmentagency. With 10 to 20% of GDP, government procurement accounts for a substantial part of the global economy.[1]

To prevent fraud, waste, corruption, or local protectionism, the laws of most countries regulate government procurement to some extent. Laws usually require the procuring authority to issue public tenders if the value of the procurement exceeds a certain threshold.

Government procurement is also the subject of the Agreement on Government Procurement (GPA), a plurilateral international treaty under the auspices of the WTO.