The effects of the Public Procurement Law numbered 4734 on the public expenditures

The function of meeting the public needs arising from the people's desire to live together is one of the main reasons for the existence of the state. In order to meet these needs, the State makes expenditures by purchasing goods and services. The public procurement by the State, corresponding to approximately one-third of public expenditure includes the procurement of the goods and services and the construction works carried out within the framework of the procedures stipulated by the procurement law in force for the fulfillment of the concerned needs. The area covered by the public procurement in public expenditure requires that the State, which is the largest buyer of goods and services in the economy, have a procurement legislation that will ensure the efficient and effective use of the resources while carrying out such purchases. In our country, the purchases made by the public administrations between 1984 and 2002 have been realized by being subject to the State Procurement Law numbered 2886 The inability of the State Procurement Law to comply with the developing conditions and to ensure effectively the transparency and competitive environment has caused the ineffectiveness in the public expenditures. As a result of this situation, the Public Procurement Law Numbered 4734 ensuring the effective and efficient use of the public resources through the principles and procedures that it possesses and complying with other international public procurement regulations, in particular the regulations of the European Union, has entered into force as of 01.01.2003. In this study, the efficiency and productivity increase in public expenditure experienced with the entry into force of the Public Procurement Law will be deliberated. Keywords: Public Procurement Law, Public Expenditures, Procurement, Public Procurement, State Procurement Law, Effectiveness, Efficiency, Competition, Transparency.