Development and Simulation of Blockchain-Based Smart Contracts for Decentralized E-Government Procurement: A Focus on Corruption Mitigation

Gideon Adjorlolo^1,2,3*Zhiwei Tang^3,4Gladys Wauk^3,4Alhassan Baako Braimah⁵Belinda Bonney⁶Edem Koffi Amouzou^3,7Priscilla Agbefu^3,4

• ¹Directorate of ICT, University for Development Studies, Tamale, Ghana
• ²School of Economics and Management, University of Electronic Science and Technology of China School of Electronic Science and Engineering, Chengdu, China
• ³University of Electronic Science and Technology of China, Center for West Africa Studies, Chengdu, China
• ⁴School of Management and Economics, University of Electronic Science and Technology of China School of Electronic Science and Engineering, Chengdu, China
• ⁵Directorate of Procurement, University for Development Studies, Tamale, Ghana
• ⁶School of Government, University of International Business and Economics, Beijing, China
• ⁷University of Electronic Science and Technology of China School of Electronic Science and Engineering, Chengdu, China

Public procurement in Ghana faces persistent challenges, including a lack of transparency, regulatory non-compliance, information asymmetry, and abuse of discretionary powers, which contribute to inefficiency and corruption in public procurement in developing countries. We developed a blockchain-based model that addressed the aforementioned public procurement challenges through simulations. We used Solidity version 0.8.0 to deploy contracts on the Ethereum network through the Sepolia testnet. The research designs smart contracts that encapsulate key procurement stages, planning, sourcing, tender evaluation, and contract management. Simulations conducted across entities such as the Auditor General's Office, Ghana Revenue Authority, and Public Procurement Authority evaluate contract performance using indicators like time to completion, audit transparency, and non-compliance instances. The results demonstrate significant reductions in manual oversight, enhanced transparency, and mitigated corruption risks. This research advances theoretical and practical insights into blockchain's role in policy governance. It provides a replicable framework for other developing nations.