eProcurement system ProZorro is innovation in public sector:
- is first fully online public procurement system that fights with corruption
- a leader in openness of government data about public procurement
- in two years of operation of ProZorro saved $1.9 billion of budget funds
- using artificial intelligence in its work to predict number of bidders
- first experience in the world of migrating ProZorro data (50 terabytes + over 30 million files) from Amazon Web Services to the data center in Ukraine
- conducted first marketing campaign for attracting business with work with government and tenders
- organized first Data Science Hackathon based on public procurement data

Since 2016 ProZorro became a fully digital public procurement platform. Considered as one of the major democratic achievements in terms of fighting against corruption. And we are ready to share our philosophy with other countries.
At the same time, we are improving eProcurement system. For example, development of online portal for controlling bodies to make monitoring and control of public procurement online and transparent; development of risk indicators for tenders with violations; further integrations with state registers.

eProcurement system ProZorro launched by the “golden triangle” of partnership –government, business and society.
The government (Ministry of economic development and trade) developed the legal framework. State-owned enterprise ProZorro is an administrator of the central electronic tenders database (IT part). The business environment provides part of the e-procurement infrastructure through the marketplaces. Civil society is responsible for anticorruption activities and control on procurement.

Government officials (Ministry of economic development and trade, SEO Prozorro) made transparent and innovative public procurement system that saving budget money.
The business environment - renewed his belief in working with the state as an example of innovation marketplaces in ProZorro system.
Civil society organisations can conrol how effectively money of taxpayers are spent on public procurement by goverment authourities.

ProZorro from a start up transformed into self-sustainable government eProcurement system. It has made unprecedented migration of data from Amazon Web Services to Ukrainian data center which makes system complies with the legislation.
In two years of operation of ProZorro, all the government authorities in Ukraine make purchases through eProcurement system and saved $1.9 billion of budget funds. E-system Prozorro with its Business Intelligent module is a single point of access to machine-readable data, which is built on the Open Contracting Data Standards providing one of the most advanced and effective analytical tools for procurement data in the world. ProZorro is able to control procurement and track whether public agencies are using taxpayer money efficiently and transparently through the openness of government data.

In the beginning of 2015, the main challenge was whether a functionality of eProcurement system would be effective and supported by government authorities that purchase. Deputy head of the presidential administration offered to test the software on so-called ‘below-the-threshold’ procedures – procurement(s) for small amounts and opinion leaders in the government pushed for the reform in this period.
Another issue is lack of financing from the State Budget. The problem was solved by involving private commercial marketplaces that already provided e-procurement services for commercial sector and supported first financing - 35 000 $. The biggest financial support was made by international organizations (WNISEF, GIZ, IBRD).
Since 2017, ProZorro became self-sustainable, according to the Ukrainian legislation all the government data must be in Ukrainian data centers. With a help of highly qualified experts and donor ProZorro moved from Amazon to Ukrainian data center.

Conditions:

• readiness and motivation of civil society to fight with corruption and to create reforms in the country. We chose to do a “bottom-up” approach that entails a group of activists taking the lead on developing an eProcurement system for below-the-threshold purchases.
• Support of the government made the start-up on public procurement become legal. New employees come from leading IT companies and business to Ministry of economic development and trade and to SOE ProZorro to continue development of eProcurement system. Openness of government data on public procurement gave rise to numerous projects.
• Also, important part is international organizations (donors) belief and support in eProcurement system development and effectiveness.

What is the best policy around public procurement is frequently raised question -civil society is always dissatisfied with the quality of public services. Businesses complained about the complexity of procedures and the number of references for tenders. The government suffers from the bureaucracy and trying to "improve" the process with the latter. Historically, public procurement sphere is related to corruption. Our approach is based on the close cooperation of business, government and civil society.

In 2017 Moldova started piloting system of public e-procurement M-Tender, which is established on the basis of the Ukrainian system ProZorro. But a model like ProZorro has the potential to be adopted by any country struggling with a lack of openness in its public spending. We offer a qualitative leap in building ecosystems of public procurement in another country.

The main lessons learned from public procurement reform in Ukraine:
- public interests are more important than than the interests of those who govern;
- digitalization of government is a key factor of change;
- the principles of openness will increase transparency, justice and professionalism, and trust in the ecosystem;
- results of public procurement reform can be shared with the world.