Cui Bono? Scope, Rationales and Consequences of the Exemption for Development Procurement in the Revised Text of the GPA

Abstract

This article critically analyses the scope and coverage of the exemption for development procurement introduced in Art II of the revised text of the GPA. It considers the implications of this exemption in terms of coherence and consistency with the GPA negotiations’ objectives of encouraging developing countries’ accession to the agreement and of expanding the GPA coverage. The paper also reflects on the repercussions of the exemption in terms of aid effectiveness more generally, questioning in particular whether the exclusion of development procurement from the GPA coverage has been a missed opportunity to promote good governance and transparency in the public procurement process for aid-financed projects.