Tender fees to be pegged in forex

by | Nov 4, 2022 | Business, Local News | 0 comments

Tender fees to be pegged in forex

Nevanji Munyaradzi Chiondegwa

 

Zimbabwe will peg fees for tender bidding in foreign currency for both local and international bidders, with local bidders being allowed to pay in local currency at the prevailing official exchange rate, should they elect to do so, a cabinet Minister has revealed.

 

This comes as government has in an endeavour to curb wastefulness, mismanagement and to move with the trends has o adopted the Public Procurement and Disposal of Public Assets (Compliance, Monitoring and Evaluation) Regulations of 2022, and the the Public Procurement and Disposal of Public Assets (General) (Amendment) Regulations of 2022

 

The two new regulations were presented by Vice President and Minister of Health and Child Care, Honourable Dr. C.G.D.N. Chiwenga to cabinet today( yesterday) in Harare.

 

Speaking to the media at a post-media cabinet briefing in the capital today, Minsiter of Information, Pubblicity and Broadcasting Services Monica Mutsvangwa said, “Cabinet highlights that the Public Procurement and Disposal of Public Assets Regulations will institute administrative penalties against public entities and individuals who are abusing the relevant procurement processes. This will combat any breaches by public officials, especially corruption, malpractices and non-compliance with regulations.”

 

The Public Procurement and Disposal of Public Assets Regulations will ensure mandatory reports that need to be produced by procuring entities, their frequency and penalties for non-compliance. It will also have reviews of procurement operations by the Procurement and Regulatory Authority of Zimbabwe (PRAZ) to ensure that procuring entities comply with the provisions of the Procurement and Disposal of Public Assets Act, and the review process by the Special Procurement Oversight Committee and the penalties which the Committee may direct PRAZ to impose.

 

The Public Procurement and Disposal of Public Assets (General) (Amendment) Regulations of 2022, the new policy changes in the country’s currency regime to mitigate inflationary and exchange rate pressures have necessitated the review of procurement regulations. The amendments to the regulations will peg fees in foreign currency for both local and international bidders, with local bidders being allowed to pay in local currency at the prevailing official exchange rate, should they elect to do so.

 

Minister Mutsvangwa further said, “The proposed regulations will go a long way in enhancing the integrity of public procurement and ensure that public procurement is conducted in a transparent, fair, honest, cost-effective and competitive manner and in compliance with the Public Procurement and Disposal of Public Assets Act. “