DBM SAYS NEW PROCUREMENT LAW CLOSES LOOPHOLES, TARGETS CORRUPTION IN BIDDING

The Department of Budget and Management (DBM) has announced that the newly enacted Republic Act No. 12009, or the New Government Procurement Act (NGPA), will significantly reduce corruption and collusion in public bidding. A key feature of the law is the mandatory disclosure of beneficial ownership, which requires companies bidding for government contracts to reveal the actual individuals controlling them, thereby preventing the use of dummy entities and fraudulent schemes. Budget Secretary Amenah Pangandaman emphasized that tactics like “palit-pangalan” and “palit-ulo” will no longer be effective. The NGPA introduces 11 new procurement modalities, offering agencies more flexibility while ensuring transparency and accountability. It also allows the Government Procurement Policy Board (GPPB) to adopt new technologies, keeping the system responsive and efficient.