Armenia’s National Assembly is discussing in its first reading a legislative package aimed at improving procurement processes and creating a more efficient, transparent and competitive environment. The package includes amendments to the Law on Procurement and additions to the Law on the Budgetary System of the Republic of Armenia.

Presenting the proposal, Deputy Finance Minister Avag Avanesyan said the package introduces substantial changes to the procurement system, according to 1lurer.am .

“Let me remind you that the procurement system has always moved from one extreme to another. Either our regulations are excessively strict, and through that we try to ensure the efficient spending of taxpayers’ money, or they are excessively flexible, with the same goal of ensuring effective use of tax revenues. With this initiative, however, we are trying to find a balance,” Avanesyan said while presenting the proposed reforms.

According to him, although the Law on Procurement has undergone several amendments in recent years, it has retained its original structure and implementation logic.

It was noted that the current regulations no longer adequately correspond to the present stage of procurement system development, international best practices, or modern technological capabilities.

As a result, procurement procedures do not provide sufficient efficiency and are characterized by administrative burdens, limited flexibility and accountability, as well as restricted levels of transparency and digitalization. Therefore, legislative amendments have been deemed necessary to promote modernization of the system, simplify administration and improve efficiency, creating a more transparent, competitive and technologically advanced environment.

The proposed regulations are intended to improve and modernize procurement processes by ensuring greater efficiency, transparency, accountability and competition. They are also designed to create a foundation for the application of innovative approaches and technological solutions.

The reforms envisaged by the bill are aimed at increasing the effectiveness, transparency and accountability of procurement, encouraging competition and enabling the testing of new mechanisms.