Head of Gov’t Administration: new electronic market research module virtually eliminates corruption risks in procurement

A new electronic market research module, developed through cooperation between the State Procurement Agency and the Government Administration, will virtually eliminate any corruption risks at the market research stage of public procurement in Georgia, Head of the Administration Levan Zhorzholiani announced on Friday.

He added accurate market research was a key prerequisite for conducting cost-effective and transparent state procurement processes.

“Market research plays a crucial role in procurement procedures. If the research is done incorrectly, the entire procurement may be flawed, resulting in paying two or three times more for goods or services than their actual market value”, Zhorzholiani said.

He explained that the new electronic module ensured full transparency by sending market research requests to all registered suppliers simultaneously.

“Once a contracting authority announces a market study, it is sent to every supplier, eliminating any possibility of cartel or insider agreements between suppliers or with the contracting authority. If there are 100 suppliers, all 100 will receive the request. Moreover, contracting authorities cannot see the offers until the submission deadline expires, leaving no room for manipulation”, Zhorzholiani noted.

The Government Administration chief also emphasised that the electronic market research system was a unique Georgian innovation, not yet adopted in any European Union or candidate country.

“We plan to integrate an online Q&A function into the system to further enhance transparency. No EU member or candidate country has such a system, it is entirely a Georgian know-how”, he said.

Zhorzholiani also announced that starting June 2026, a Centralised Procurement Agency would begin operations, responsible for consolidated purchases worth over ₾2 billion ($0.74bln) annually for the state.

“This Agency will procure goods and services in bulk for the Government, ensuring cost efficiency and accountability. It will be staffed with highly qualified professionals selected based on integrity and competence, who will oversee procurement and monitor contract performance. This will further minimise corruption risks”, Zhorzholiani stated.

He concluded by underscoring that efficient budget spending and anti-corruption efforts remain among the Government’s top priorities.