A new procurement framework for the World Bank was approved by its board of executive directors yesterday.
The bank said the framework, which comes into effect in 2016, would allow it to “better respond to the needs of client countries, while preserving robust procurement standards throughout bank-supported projects”.
The framework replaces the previous “one-size-fits-all” procurement policy with one that is tailored to the needs of individual projects.
The changes will:
• Allow contract award decisions to be based on criteria other than cost, such as quality and sustainability, for the first time.
• Increase support to help countries develop their own procurement systems.
• Allow the use of procurement systems from development partners or national agencies in certain circumstances.
• Speed up the process as reviews of contracts will be limited to those with the highest risk and biggest value.
The bank said it would “allocate resources to provide hands-on help to fragile countries, small states or others in the greatest need to assist them in procurements financed by the bank”.
Christopher Browne, CPO at the World Bank, said: “The new procurement framework is central to the bank’s development mission because it protects our investments and at the same time helps our clients deliver results in their development projects.”
The bank’s procurement system covers a portfolio worth around $42 billion (£26.9 billion), comprising more than 1,800 projects in 172 countries.
Hartwig Schafer, vice president for operations policy and country services at the World Bank, said: “A portfolio this size needs a modern and nimble procurement approach that gives our clients the best value for each dollar that we invest.”