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Instituto Tecnológico de Santo Domingo

Despite advances, delays persist in payments to MSMEs

During the IV Business Forum of INTEC, experts from the public and private sector analyzed the participation of micro, small and medium enterprises in public purchases

Despite advances, delays persist in payments to MSMEs

SANTO DOMINGO. The payment delays bureaucracy tax requirement in advance and additional documentation are some of the main obstacles that prevent micro, small and medium enterprises (MIPYMES) participate in public tenders on equal terms with respect to the big ones.

So they affirmed Issaachart Burgos, president of the Dominican Confederation of Small and Medium Enterprises (Codopyme) Y Adrián Guzman, member of the Board of Directors of the Dominican Microfinance Network (Redomif) and vice president of Microfinance Segment of Banco BHD-León, by participating in the IV Business Forum of the Instituto Tecnológico de Santo Domingo (INTEC).

During the panel of experts, which was also made up of the Director of Public Procurement, Yokasta Guzman, and by the researcher and director of the Fund for the Financing of Microenterprises (Fondomicro), Marina ortiz, the president of Codopyme said that other recesses that face MIPYMES in the calls are the requirement for advanced payments from ITBIS and advance, which affirmed the decapitalizes, and the request documents “that are simply for make it difficult"He said.

In this sense, Burgos gave as an example that recently a State institution requested economic qualification and financial certificates from the companies participating in an open tender for the purchase of 500 boots.

When exposing on the subject, Adrián Guzman of the REDOMIF Board of Directors, insisted that model of payment to suppliers lacks certainty "The companies that participate in government purchases what they need is to be offered security and a certain payment date." He indicated that there are private companies that make payments later than the State, but offer an exact date to make them effective, which they comply with. 

In response, the Director of Public Procurement attributed the retrasos in payments to suppliers of the State to the strong pressure What do i consider affects public administration because the Purchasing, Planning and Public Investment and Budget subsystems have been developing simultaneously.

Franklin Vásquez Jaime Aristy Escuder Yokasta Guzmán Mrina Ortiz Issaachart Burgos and Adrián GuzmánHe anticipated that the proposal being evaluated is the one used by the United States public administration, which consists of set a payment date to suppliers what about if He State does not comply, then it is done responsible for the corresponding interest. That measure would allow quantify the bureaucracy of public administration  in the country, and at the same time prestrain the system to find a solution to make payments without delays.

When participating in the panel, which was held in the Julio Ravelo Room of the INTEC Library Fountain, the researcher Marina ortiz expressed that one of the great tasks of MSMEs is absence of a culture of associativity, which prevents MSMEs from attending to large-scale demands, and therefore, have access to a greater amount of resources.

The Business Forum is an initiative of the INTEC Business Area that constitutes an open space for the discussion of issues of economic, social content or of interest to academia, entrepreneurs, non-governmental organizations and politicians. Its objective is to analyze current issues that impact the national economy.

Study Analysis of public purchasing policies in MSMEs

The panelists' discussions revolved around the results of the study "Analysis of the public procurement policy in the MSMEs of the Dominican Republic" of the economist and research professor of INTEC, Jaime Aristy Escuder, who made a presentation prior to the start of the discussions. 

Some of the main research advances indicate that public purchases increased the efficiency and productivity of the beneficiaries by 12.9%, and that the initiatives applied in the last four years have favored the participation of women in the calls, since the average Monthly hiring of women owners of MIPYMES rose from 287 in 2013 to 551 in 2015. 


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