Saudi Arabia’s new Government Tenders and Procurement Law is set to strengthen governance, transparency and fairness in government contracting while improving the efficiency of procurement procedures.
Minister of Finance Mohammed Al-Jadaan said the law represents an important step in developing the Kingdom’s government procurement framework, promoting greater clarity, equal opportunity and fair competition. The legislation also supports Saudi Vision 2030 objectives, including encouraging investment and enhancing the efficiency and sustainability of public finances.
Streamlining Government Procurement
The new law introduces several measures aimed at simplifying procedures and accelerating government projects.
Key changes include merging bid-opening and bid-evaluation committees into a single committee, enhancing direct procurement and raising its financial threshold. Limited tendering will also be expanded to include practitioners of liberal professions.
In addition, heads of government entities will have broader authority to decide on procurement procedures and sign contracts, helping accelerate decision-making and project implementation.
Supporting Private Sector Participation
The law also places greater emphasis on supporting private sector companies involved in government contracting.
Private sector dues must be processed within prescribed timeframes before government entities can enter into new contractual commitments. The measure is expected to encourage timely payments and strengthen business confidence in government contracts.
Advancing Localisation and Innovation
The legislation also enables government procurement to play a greater role in achieving Saudi Arabia’s economic and development objectives.
It establishes a framework supporting research, development and innovation, while strengthening provisions for industrial localisation and knowledge transfer.
The new procurement framework is expected to help government entities improve efficiency while supporting local capabilities, private-sector growth and the Kingdom’s broader economic transformation under Saudi Vision 2030.
Source: https://saudigazette.com.sa/article/663632/saudi-arabia/thunderstorms-forecast-across-parts-of-kingdom-as-temperatures-reach-47c