GOVERNANCE OF PUBLIC CONTRACTS IN THE AMAZON: AN ANALYSIS IN THE LIGHT OF THE NEW BRAZILIAN LEGISLATION

Objective: The objective of this study is to diagnose the need for aligning a state finance body in the Amazon with the provisions of Law No. 14,133/2021 regarding procurement governance, identifying existing practices, gaps, and proposing solutions consistent with national and international best practices. Theoretical Framework: Agency Theory is adopted to understand how information asymmetry, moral hazard, and adverse selection affect efficiency and transparency in public procurement, and how leadership, strategic alignment, and internal control mechanisms can mitigate these issues. This is complemented by procurement governance frameworks from the Brazilian Federal Court of Accounts and the Organisation for Economic Co-operation and Development, which emphasise the integration of planning, risk management, integrity, and transparency. Method: Applied research, with a mixed-methods and exploratory-descriptive approach, based on bibliographic and documentary review, in addition to the analysis of institutional practices considering legal parameters and those established by oversight bodies. Results and Discussion: The results indicate partial adherence to public procurement governance practices. Advances have been made in risk management and integrity; however, weaknesses remain in the articulation between strategic planning, budgetary instruments, and procurement, as well as in active transparency. There is potential for improvement in integrating procurement processes, the Annual Procurement Plan, and the Sustainable Logistics Plan. Research Implications: The study contributes to enhancing decision-making processes and organisational management, with potential application in other public bodies. Theoretically, it broadens the understanding of institutional compliance with recent legal frameworks. Socially, it strengthens transparency, public trust, and the value generated by the State. It aligns with the United Nations Sustainable Development Goal 16, which concerns effective, accountable, and transparent institutions. Originality/Value: The study contributes to improving decision-making processes and organisational management, with potential applicability to other public bodies. Theoretically, it expands the understanding of institutional compliance with recent legal frameworks. Socially, it strengthens transparency, public trust, and the value generated by the State. It is aligned with the United Nations Sustainable Development Goal 16, which focuses on effective, accountable, and transparent institutions.