A transformative 2.5-day training on the PEFA assessment framework was held at the Asian Development Bank (ADB) headquarters in Manila from November 8-10, 2023. The program focused on the intricate relationship between Public Financial Management (PFM) and public procurement reform, shedding light on a key issue often overlooked in sustainability efforts.
The training underscored the realization that siloed public procurement reforms—particularly in the pursuit of ‘value for money’ and sustainability—often fail to deliver the desired outcomes. Sustainable/Green Public Procurement (S/GPP) objectives can only be accelerated through simultaneous PFM reforms, highlighting the essential yet frequently neglected interconnection between the two systems.
A key takeaway from the sessions was that without comprehensive PFM reform, efforts to drive sustainability through public procurement will likely fall short. Issues such as the perceived higher cost of sustainable products and services cannot be addressed solely at the procurement level. Rather, they require better alignment between budget planning and execution, emphasizing the need for a ‘whole of government’ approach to successful S/GPP implementation.
These insights will be applied to the ongoing SWITCH-Asia GPP project across Bangladesh, Cambodia, Malaysia, Uzbekistan, and Vietnam, aiming to elevate S/GPP to a strategic level aligned with national priorities for “Resilient, Sustainable, and Inclusive Development.” The training highlighted the importance of addressing the PFM and S/GPP nexus for achieving lasting sustainability, paving the way for a brighter and more sustainable future.
