Establishment of Public Procurement System in Georgia

Abstract

The government procurement market is a macroeconomic system that includes interacting structural elements within a single system that are an integral part of a country's economic system. The state, as the owner of significant financial resources, acts as the largest subject of market relations in placing budget orders. State procurement (goods, construction works, services) is carried out to meet the most important state needs. Modern market relations have confirmed the need to regulate the process of procurement of goods, services and construction works in country by the state, at the level of an independent institution of executive power/government. In the modern economy, public institutions face the need to regulate the flow of financial resources in order to make procurements for state and social needs, which spending entities must implement efficiently and effectively. In this regard, certain areas of market research are discussed and some conclusions are presented.