PPR 2025 Free Download

The government of Bangladesh has released a draft Public Procurement Rules 2025 (PPR 2025) that updates and replaces large parts of PPR 2008 to align with international practice and strengthen procurement governance.

Key changes in the draft PPR 2025

• Removal of fixed local price cap and replacement with a weighted bid-evaluation formula that uses average acceptable bids (50%), the official estimate (20%), and recent e-GP market prices (30%) to set acceptable price thresholds.

• Weighted bid evaluation system introduced to make award decisions more market-sensitive and transparent.

• Revised limited tendering and quotation rules with clarified procedures for when and how those methods may be used.

• New provisions on temporary suspension and debarment, including a 42-day limit for resolving temporary suspensions and an appeal process through a Debarment Review Board.

• Domestic-foreign joint venture rules added, making JVs mandatory in specified sectors (for example certain IT procurements under international bidding).

• Extensive amendments: many rules amended, several new rules added, and some rules/sub-rules repealed as part of the draft overhaul.

Practical implications

• Bidders should expect more market-reflective price assessment and clearer rules on abnormally low or high bids, reducing arbitrary disqualifications.

• Contracting authorities will need to adopt the new weighted-evaluation calculations, update tender documents and internal processes, and follow stricter suspension/debarment timelines.

• Procurement transparency is likely to improve where e-GP price data and formulaic thresholds replace rigid percentage caps.

• Sectors requiring JVs will need earlier planning and partner identification for international procurement opportunities.

Where to read the draft and supporting commentary

• Government and public procurement commentary pages have copies and explanations in Bengali and English describing the draft and its background.

• News coverage summarising the major reforms and workshop presentation by BPPA is available in national outlets.

Next steps and what to watch

• Finalisation of PPR 2025 after stakeholder consultations and any legal vetting before formal adoption.

• Implementation guidance, training for procuring entities, and e-GP system updates to reflect formulaic thresholds and new debarment procedures.

Practical implications for bidders

PPR 2025 will make price evaluation more market‑sensitive, tighten suspension and debarment rules, require clearer documentation, and introduce mandatory joint ventures in specified cases. Bidders must adapt pricing, compliance, partner selection, and bid preparation to avoid disqualification and reduce legal and commercial risk.

Pricing and bid strategy

• New weighted evaluation affects award: bids will be judged against a composite benchmark made from average acceptable bids, the official estimate, and recent e‑GP market prices; adjust price offers accordingly.

• Avoid extreme pricing: abnormally low or high bids will attract scrutiny and possible elimination; build defensible cost breakdowns that justify deviations.

• Prepare detailed cost schedules: include unit rates, labor, materials, overheads, and contingencies to support price realism.

• Use market data: collect and document recent e‑GP prices and comparable contract data to justify your bid and to benchmark internal pricing.

• Strategic bid shading: when margins are tight, model outcomes under the weighted formula to find the minimum competitive but realistic price.

Qualification, JV and eligibility

• Check mandatory JV rules early: identify if the tender requires a domestic‑foreign joint venture and secure partners and JV agreements before bidding.

• Prequalify key personnel and equipment: ensure CVs, licenses, and equipment lists meet revised minimums and are current.

• Certification and local content: confirm any new domestic participation or local content thresholds and prepare supporting proof.

Documentation and submission

• Stronger evidence requirements: attach verifiable supporting documents for technical claims, financial capacity, and price justifications.

• Standardize bid templates: use clear, auditor‑friendly formats for cost breakdowns, warranties, and compliance statements.

• e‑GP compliance: ensure bids are uploaded and priced exactly as required by the e‑GP system; avoid last‑minute format errors.

• Tender validity and alternatives: follow new rules on bid validity periods and alternatives; explicitly state if alternatives or options are submitted.

Compliance, suspension and debarment risk

• Faster temporary suspension timelines: respond immediately to notices since the draft limits suspension resolution windows; have a rapid legal/compliance response plan.

• Debarment exposure: maintain robust contract performance records and dispute logs; establish procedures to contest or mitigate debarment actions quickly.

• Anti‑fraud and conflict of interest controls: implement clear internal policies, disclosures, and firewalls to prevent causes of debarment.

• Record retention: keep complete procurement records for longer than before to support defenses and audits.

Bid evaluation, protests and remedies

• Anticipate formulaic rejections: prepare formal written explanations for any bid elements that might be considered abnormally priced.

• Administrative remedies: learn the timeline and documentation required to file procurement complaints or appeals under the new rules.

• Evidence package for protests: assemble contemporaneous correspondence, calculation workpapers, and market data to support any challenge.

Commercial and contract management

• Performance security and liquidated damages: confirm any changes to guarantees and penalty calculations and plan cash/guarantee arrangements.

• Clause review: review draft contracts for new termination, variation, and price adjustment clauses introduced with PPR 2025.

• Risk pricing: factor new compliance and debarment risks into contract margins and insurance decisions.

One‑page checklist for bidders

• Review tender for JV requirement and prequal criteria.

• Model pricing under the weighted evaluation formula and prepare cost backup.

• Compile e‑GP price evidence and comparable contracts.

• Prepare full technical and financial documentation in standard templates.

• Ensure valid licenses, CVs, equipment lists, and local content proofs.

• Set up rapid response team for suspension/debarment notices.

• Confirm bid validity, alternatives rules, and submission formatting.

• Arrange performance securities and verify contract clause changes.

• Store complete records for disputes and audits.

Final action steps

Update internal bid checklist and pricing models now, identify any tenders where JV formation will be required, train proposal teams on the new documentation and e‑GP evidence expectations, and implement a fast escalation path for any suspension or debarment notice.

Download PPR 2025