The Beijing Municipal government has completed government procurement contracts worth 160 million yuan (19.3 million US dollars) this year and 40 million yuan (4.82 million US dollars) was saved, according to a government report released December 8.

Wang Xiaoming, deputy director of the Beijing Municipal Finance Bureau, said that the government has purchased office equipment, computers, fire extinguishing appliances, and many other items through the use of open bidding.

He described open bidding as an efficient method for government purchases because it cuts expenses and prevents corruption.

This form of government procurement has proved suitable for the socialist market economy, and the Beijing government had established an office to deal with these types of transactions, Wang noted.

This form of government procurement began in Beijing in early 1998, and various city departments are involved in drawing up regulations for it, as well as seeking other methods for government purchases.