In the first half of 2024, public procurement procedures in Montenegro amounted to EUR 333.28 million, a notable increase compared to the same period last year, when the value of contracts stood at EUR 309.97 million. The Ministry of Finance explains that this growth can be partially attributed to rising global market prices and a higher number of procurement procedures.
Currently, 693 entities are active in the electronic public procurement system. Of these, 130 are state authorities (18.76%), 41 are local governments (5.92%), 501 are public services and enterprises (72.29%) and 20 are sectoral procurers (2.89%).
Public services and enterprises make up the largest share, highlighting their critical role in procurement procedures.
According to the Ministry’s report, the majority of contracts were for the procurement of goods, representing 53.2% of the total value. Procurement of services accounted for 34.47%, and works made up 12.32%.
Of the total contracts awarded, 78.51% were through open procedures, ensuring the highest level of transparency and competition. Restricted and negotiated procedures were used in specific circumstances.
The largest number of contracts was awarded through open procedures, which included 2,982 procedures worth over EUR 330 million.
Open procedures are used for procurements that require the highest level of transparency. Negotiated procedures without prior notice are only used in exceptional cases, such as emergencies or when there is a unique market offer.
In the period under review, 48 framework agreements were concluded, offering flexibility in procurement with multiple offers over the course of the contract. The majority of these agreements were realized through open procedures, with a total value of over EUR 28 million.
Simple procurements, which involve lower-value contracts (up to EUR 8,000), amounted to EUR 54.83 million, or about 16.45% of the total contracted value. These allow for easier execution of smaller procurements and services through direct agreements with suppliers.
A total of 30 negotiated procedures without prior notice were conducted, worth EUR 34.4 million, with 83.33% of these procedures initiated due to urgent, unforeseen circumstances.
The highest number of contracts with a single bid were for the procurement of goods, totaling 688 contracts worth EUR 42.7 million. The data also shows that 91% of the bidders were domestic, compared to 8.68% foreign bidders, emphasizing the importance of domestic companies in public procurement, while foreign participation remains limited.
The first half of 2024 showed significant growth in public procurement, driven by market trends and the need for efficient execution of public needs.