Procurement and Operational Efficiency: An Analysis of How IDB-Financed Projects are Executed
Date issued
Dec 2013
An important challenge faced by the Multilateral Development Banks (MDB) is to mitigate delays in the implementation of its operations. To this end, the Inter-American Development Bank (IDB) sponsored a study to identify implementation procurement factors that cause implementation delays. The study found that 26 percent of the sovereign guaranteed investment lending portfolio financed by the IDB experienced procurement-related delays, primarily explained by nine factors. Among the factors related to a wide variety of procurement aspects of the procurement cycle, from design, planning and bidding process to contract's monitoring by the executing agency. This study identifies and evaluates the key procurement-related factors affecting project execution, based on surveys and information from internal and external Bank sources. The paper is divided into three sections: methodology, results and conclusions.
