Kuwait: Consultation on Draft Procurement Law

Kuwait: Consultation on Draft Procurement Law News developments

Kuwait: Consultation on Draft Procurement Law

Argaam, 30 April 2024: The Ministry of Justice has circulated a draft “Public Procurement” law to government agencies for review.

The Ministry wishes to get their opinions, observations, and recommendations before drafting the new law in its final form, referring it to the Council of Ministers and then presenting it to the National Assembly.

The draft, law which has seven articles, stipulates the repeal of Kuwait Law No. 49/2016 On Public Tenders. As a result employees at the Central Agency for Tenders will be redeployed to other public entities at the same grades, and with the same salary and benefits.

Article 2 of the new law in Chapter One, specifies its scope of application and exceptions which include regulating the purchase of items, contracting and services, carried out on behalf of public entities, and contracts for import services for radio and television programmes.

Bodies including Defense Affairs, the National Guard, the Interior Ministry, Central Bank, the Kuwait Petroleum Corporation and its companies, and the Public Authority for Housing Welfare would be exempt from the new legislation.

Contracting in accordance with the provisions of the law will be through public tenders, but as an exception and by a reasoned decision from the competent minister, will will be possible to contract via limited tender, practice, competition, and direct order.

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Tanya Jain