The report shows that during quarter 1 of this financial year a total of £16,334,575 of council procurement spend has been spent with local businesses which operate across Dumfries and Galloway.
This was the equivalent of 33 per cent of all council procurement spend.
The report also highlights that 78 per cent of all suppliers who were awarded a contract by the council during quarter 1 have committed to paying the Living Wage.
The council can not legally take salary and wages in to account when awarding contracts, but can ask for such information for recording purposes as part of its own commitment as a Living Wage Employer.
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Committee chairman Councillor Adam Wilson said: “We know that spending public money locally helps support our local economy and communities to thrive.
"Our Council has made significant progress in working with local businesses to support their involvement in procurement processes which in turn supports and creates local jobs.”
Councillor Katie Hagmann, vice-chair, said: “I’m delighted that our council is positively influencing local employers to pay the Living Wage.
"This is key to ensuring people’s financial wellbeing following the impact of the Covid pandemic.”