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Azerbaijan saves $267M via e-procurement in eight months

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BAKU, Azerbaijan, October 22. Savings of 453.7 million manat ($266.88 million) were achieved in Azerbaijan through electronic public (e-public) procurement during the first eight months of 2026, and the total savings rate amounted to 14.4%, Orkhan Mammadov, Deputy Head of the Staff of the State Agency for Antimonopoly and Consumer Market Control under the President of Azerbaijan, said during a conference on the digital transformation of public finance held in Baku on Thursday, Trend’s correspondent reports from the event.

Mammadov remarked that the growth in the volume of e-procurement indicates the expansion of digitization in public procurement, increased accessibility of processes, and positive developments in the promotion of a competitive environment.

"The number of electronic procurements conducted from January through July 2026 increased by 0.3%, and their amount increased by 10.5% compared to the same period last year. The average number of participants in the competitions opened during that period was 1.5," he explained.

According to Mammadov, the mentioned savings of 453.7 million manat were calculated based on the ratio of the difference between the approved price and the probable price for electronic purchases.

"These results are important in terms of the application of competition mechanisms in public procurement, price optimization, and the efficient use of public financial resources," the agency representative stressed.

He noted that one of the main goals of public procurement is to create equal opportunities for all participants, promote competition, and save budget funds. In this regard, the "E-tender" platform, which is a single internet portal for electronic purchases, is regularly improved.

"The main goals of the portal are to increase the efficiency of public procurement, ensure the economical use of budget funds, expand access to procurement, and develop competition mechanisms. Integration with state institutions creates additional convenience for entrepreneurs, speeds up processes, and reduces obstacles related to obtaining documents," Mammadov also said.

He pointed out that, within the framework of cooperation with the Ministry of Finance, integration between the electronic procurement portal and the electronic contract subsystem was implemented. This integration allows the automated exchange of information at different stages of the procurement process.

"The set of conditions is fully electronic on the portal, and suppliers can submit their offers electronically. Since the data is in a machine-readable format, after the procurement process is completed, the relevant data is transferred to the electronic contract subsystem. After the contract is signed, transferring its data back to the portal for analytical purposes is part of the planned mutual information exchange," he stressed.

The agency representative further noted that the application of artificial intelligence has also been initiated on the portal. Currently, this technology provides recommendations to procuring organizations as they prepare tender documentation and assists in identifying potentially restrictive conditions.

"In this context, artificial intelligence serves an advisory role. When preparing tender documentation, a procuring organization can receive alerts regarding potential flaws, along with an analysis report generated by the system. This creates an opportunity to rectify such issues before they are evaluated by the oversight body or a commission. However, the final decision-making rests with the relevant oversight authorities," Mammadov noted.

According to him, this approach can help detect potential issues in advance and reduce the number of complaints.

Mammadov added that the portal also facilitates the automatic transmission of complaints to the oversight body. This mechanism enables suppliers to track the status of their submissions and link their complaints to the specific procurement process in question.

"The digital submission and tracking of complaints serve as essential tools for us. Complaints regarding procurement are taken into account during the evaluation process and may influence the final decision. There have even been instances where previously issued decisions were overturned based on such complaints. Therefore, we encourage entrepreneurs to share the challenges they encounter with us," he clarified.

The agency representative also highlighted that the electronic signature capabilities on the portal have been expanded. According to him, in addition to 'Asan Imza' and 'SIMA Token,' it is now also possible to sign documents using 'SIMA Imza.' This update simplifies the use of the platform for entrepreneurs and provides them with a wider range of options.

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