Manila, Philippines—In a major step toward enhancing transparency and accountability in government spending, the Department of Budget and Management (DBM) Secretary Amenah “Mina” F. Pangandaman announced the official approval of the Implementing Rules and Regulations (IRR) for Republic Act No. 12009, also known as the New Government Procurement Act (NGPA).
The announcement was made on February 4, 2025, during a meeting with members of the Makati Business Club (MBC), the Center for International Private Enterprise (CIPE), and other business leaders, held alongside the Open Government Partnership (OGP) Asia and the Pacific Regional Meeting 2025.
“I am honored to share that the NGPA signed by President Ferdinand R. Marcos Jr. in July 2024 is now hailed as the biggest anti-corruption measure in the country’s recent history. And I am happy to share that the Implementing Rules and Regulations (IRR) of the NGPA has already been approved just yesterday,” Secretary Pangandaman stated.
The IRR provides detailed guidelines to modernize and enhance government procurement processes, emphasizing transparency, competitiveness, efficiency, accountability, sustainability, and professionalism. Key innovations include the adoption of emerging technologies, the establishment of integrated systems among government agencies, and the introduction of new procurement modalities to achieve value for money and quality public services.
Moreover, the NGPA aims to modernize the Philippine’s procurement system, replacing the two-decade-old Government Procurement Reform Act. According to Secretary Pangandaman, public procurement is among the most corruption-prone aspects of governance, not only in the Philippines but globally.
“A World Bank report even states that better procurement strategies and policies could save 26 to 29 percent of a government’s total procurement spending,” she emphasized, underscoring the need for reforms to ensure efficiency and integrity in governments contracts and spending.
The Budget Secretary also highlighted the broader implications of the reform, particularly in strengthening the Philippine’s commitment to open governance, stating, “By fostering dialogue between the government and the private sector on budget transparency, open governance, and policy reforms, you not only support our cause: you are our partners in our Agenda for Prosperity.”
The successful implementation of the NGPA is anticipated to foster a more transparent and efficient procurement environment, benefiting the government, private sector, and the public alike.
The French Chamber of Commerce and Industry in the Philippines looks forward to the implementation of the NGPA, emphasizing that an enhanced procurement transparency could make government contracts more accessible to foreign firms, including those from France.