The first Country Procurement AssessmentReport (CPAR) was completed in June 2002 and published inMarch 2003. This CPAR has served as an analytical tool tohelp assess the public procurement system in thePhilippines, and in the process, helped to generate adialogue with the Government to improve procurementpractices, and to help civil society and the private sectorbetter understand the current processes, and procedures inplace. The CPAR Update reviewes the status of the reforms,and finds that over 50 percent of the recommendations fromthe first CPAR have been completed, and another 26 percentare in progress. The key accomplishments include the passageand promulgation of the Government Procurement Reform Act,and implementing rules and regulations, the establishmentand immediate functioning of a powerful GovernmentProcurement Policy Board (GPPB) and its Technical ServicesOffice, mandatory implementation of electronic procurementsystems, a well-defined complaint mechanism and blacklistingprocedures, provision for civil society monitoring,reasonable procurement audit provisions, numerousdissemination and training activities, and near-completionof harmonized bid documents and manuals. It is worthparticularly noting that the new procurement policy hasinstitutionalized the participation of civil societyorganizations in all bids, and awards committees, thusenhancing the integrity of the bidding process. There isstill much to be done however. This Update identifiesseveral emerging priorities, including the perception ofhigh cost of some works and goods, and the eligibility ofPhilippine firms to compete for internationally financed contracts.