Hungary

Corrupt Contracting: Partisan Favouritism in Public Procurement

Ágnes Czibik

David-Barrett, L and Fazekas, M (2016). Corrupt Contracting: Partisan Favouritism in Public Procurement. GTI-WP/2016:02, Budapest: Government Transparency Institute.

For politicians seeking to use a clientelist approach to achieve political and private gain, i.e., to prolong their hold on power and maximize personal profit, control of government contracting is a key tool. We theorise that politicians wishing to exploit government contracting for such ends will seek to increase their influence over three stages of public procurement – policy formation, implementation and monitoring – but that their efforts can be constrained by institutional controls and checks. We examine these influence strategies and …

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From Corruption to State Capture. A New Analytical Framework with Empirical Applications from Hungary

Ágnes Czibik

Fazekas, M. – Tóth, I. J. (2016): From Corruption to State Capture. A New Analytical Framework with Empirical Applications from Hungary. Political Research Quarterly, published online before print on March 24, 2016 

http://prq.sagepub.com/content/early/2016/03/18/1065912916639137.abstract

State capture and corruption are widespread phenomena across the globe, but their empirical study still lacks sufficient analytical tools. This paper develops a new conceptual and analytical framework for gauging state capture based on microlevel contractual networks in public procurement. To this end, it establishes a novel measure of corruption risk in government contracting focusing on the behavior of individual organizations. Then, it identifies clusters of high-corruption-risk …

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Toolkit for detecting collusive bidding in public procurement – With examples from Hungary

Ágnes Czibik

Tóth, B, Fazekas, M, Czibik, Á, Tóth, I. J. (2014). Toolkit for detecting collusive bidding in public procurement – With examples from Hungary. GTI-WP/2014:02, Budapest: Government Transparency Institute.

Based on a synthesis of literature to-date, this paper provides a flexible indicator set deployable as a toolkit across many countries for detecting collusive bidding in public procurement. While no one-size-fits-all approach exists in detecting collusion, robust elementary indicators and analytical tools for adapting them to local contexts can be developed. The paper delivers a conceptual definition and theoretical discussion for each indicator as well as a complex empirical assessment using data …

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The Political Economy of Grand Corruption in Public Procurement in the Construction Sector of Hungary

Ágnes Czibik

Fazekas, M. – Lukács, P. A. – Tóth, I. J.: The Political Economy of Grand Corruption in Public Procurement in the Construction Sector of Hungary. In: Alina Mungiu-Pippidi (ed.): Government Favouritism in Europe. The Anticorruption Report Vol. 3., Barbara Budrich Publishers. Opladen – Berlin – Toronto. 2015. pp. 53-68.

Bidding companies linked to political officeholders are more likely to win in procurement tenders overall in Hungary. The share of companies that are openly connected politically winning public procurement tenders in 2005-2012 was between 5% and 31% depending on how narrowly connections are defined. This significant association is stronger in the …

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Hidden Depths. The Case of Hungary

Ágnes Czibik

Fazekas, M. – King, L. P. – Tóth, I. J.: Hidden Depths. The Case of Hungary. In: Alina Mungiu-Pippidi (ed.): Controlling Corruption in Europe. The Anticorruption Report Vol. 1., Barbara Budrich Publishers. Opladen – Berlin – Toronto. 2013. pp. 74-85.

This report investigates corruption risk of EU funds spending in Hungary within the framework of the Public Procurement Law. Its finding is that in spite of what is a tight regulatory framework EU funds are likely to fuel the abuse of public spending. Even though public procurement using EU funds faces considerably more stringent regulation, their use poses much greater …

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