The government has said that the tendency of government tenders to be inflated is not a big problem to the state because of the expected earnings the government gets in terms of VAT. To the shock of many, the National Treasury said that they are now getting more taxes as a result of the inflated tenders, and they expect the trend to continue.
The revelation by the government explains why the cost of goods supplied to the government is 12 times more than the cost of the same goods and services in the markets. Citizens have complained that a lot of government resources are wasted through overpriced tenders, but the government seems not to be buying the idea.
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