Zimbabwe's US$2.3bn procurement system flagged as high corruption risk

Public procurement has emerged as one of Zimbabwe's biggest fiscal vulnerabilities after a new assessment found that contracts worth more than US$2.3 billion are being processed through a system weakened by poor planning, weak expenditure controls, inadequate record-keeping and significant corruption risks.

The findings are contained in the 2026 Assessment of the Republic of Zimbabwe Public Procurement System, commissioned by the Procurement Regulatory Authority of Zimbabwe (Praz) with support from the African Development Bank.

The assessment reviewed procurement practices across 372 public entities and found widespread weaknesses throughout the procurement cycle despite the existence of modern procurement legislation and an electronic government procurement (eGP) platform.

According to the report, public procurement reached US$8.3 billion in 2024—equivalent to about 20% of gross domestic product—highlighting the scale of public resources flowing through a system the assessment says remains vulnerable to abuse.

"With public procurement rising from US$8.3 billion (20% of GDP) in 2024, and consistently exceeding reported government expenditure, this signals the absence of a clear feedback loop where insights are monitored and used to continuously strengthen the system," the report states.

"This trend highlights the growing importance of public procurement and underscores the need for effective monitoring, transparency, and alignment with budget reporting."

The report noted that procurement activity increased significantly between 2022 and 2024, largely driven by major construction and infrastructure projects, before slowing thereafter.

It said that by 2025, Praz had registered 372 procuring entities, comprising 29 ministries, 92 local authorities, 237 parastatals and state-owned enterprises, and 14 commissions.

According to data compiled by the authority, 206,445 procurement contracts worth US$2.3 billion were awarded during 2025.

The assessment identified weaknesses at every stage of the procurement process, from planning and budgeting to contract implementation.

"The planning process is often superficial," the report said.

"Decisions within these plans are frequently disconnected from crucial factors such as market capacity, current pricing trends, and genuine operational needs.

"Furthermore, the integrity of the approved plans is routinely undermined by the frequent urgent and unplanned procurements, which override scheduled activities.

"This pattern is a clear signal of weak internal controls and limited accountability within the system."

The report also highlighted major shortcomings in procurement record management.

An assessment of 108 procurement files found that only 1% contained complete and accurate records covering the entire procurement process, while almost 80% were missing up to a quarter of the required documentation.

"The lack of information in many of the files poses potential risks to accountability and transparency, warranting immediate attention and action for enhancement," the assessment said.

Although Zimbabwe has introduced an electronic government procurement system, the report found that it still relies heavily on manual data entry and document uploads.

"The eGP system relies heavily on manual text entry and document uploads, creating redundancy and increasing the risk of errors."

It added that the absence of automated validation and advanced data analytics limits the system's effectiveness, leaving Praz largely dependent on procurement information submitted manually by public entities.

The assessment also raised concerns about delayed payments to suppliers, noting weaknesses in financial management and Treasury processes.

"In practice, however, financial procedures and Treasury management processes do not function to ensure payment of invoices in a timely manner and in accordance with contractual provisions," it said.

According to a private sector survey cited in the report, 46% of suppliers said government invoices were only "sometimes" paid on time, while 32% indicated they were never paid within contractual deadlines.

The assessment also referenced a February 2025 World Bank finding that suppliers reported waiting between nine months and one-and-a-half years to receive payment from government.

The report identified corruption as a major systemic risk throughout the procurement process.

"Opportunities for corruption arise at all stages of the procurement cycle: at the policy formulation stage, project planning and selection phase, through the bidding process and during contract implementation," it said.

It noted that both the Office of the Auditor-General of Zimbabwe and the Zimbabwe Anti-Corruption Commission continue to identify procurement-related non-compliance and weaknesses during their investigations.

Among its recommendations, the assessment calls for integrating the electronic procurement platform with the Public Finance Management System, strengthening procurement planning, improving record management, enhancing procurement data analytics, tightening oversight and professionalising the procurement function.

The report concludes that procurement reforms alone will not eliminate leakages unless they are accompanied by broader improvements in public financial management, expenditure controls and inter-agency coordination.