The indicator tells if the procuring entity - as part of technical and professional capacity - prescribes the certification of references of a higher total value than 75% of the estimated value of the procurement. This redflag is built upon relevant Hungarian legal provisions.
This redflag indicates risk if there is a suspicious bid pattern that consists of unreasonably high bid prices submitted by losing bidders for which there is no legitimate explanation and which cannot be attributed to an error. The World Bank does not indicate accurate ratio for suspiciously high amount.
This redflag indicates risk if bid prices of all bidding companies are very close for items where some variation is expected (e.g., civil works, customized goods, and consulting services) AND/OR submitted bids include unit prices which are almost identical AND/OR the bid prices are a fixed percentage apart (e.g., 3 percent, 4 percent, 5 percent and 6 percent above that of the lowest bidder) AND/OR sequential bid securities, indicating that the same person picked up the securities at the same bank, same branch, and on the same day AND/OR bids have commn formal attributes
According to the developers of CRI, contract value increase suggests that the issuer corruptly favour a well-connected company, potentially repeatedly. This indicator also contains a relative figure that shows relative contract price increase (change in contract value/original, contracted contract value). CRCB provides no further clarifications on the indicator, besides statistical data on validation.
Relatively expensive tender documentation makes bidding more expensive and hence deters bidders from bidding except for the wellconnected company which is close to certain of its succes. This is a ratio-indicator calculated between the price of tender documentation/contract value.