A new bill seeking to amend the Public Procurement Act, 2007 does not only represent a policy somersault, but will also hamper government’s capacity to provide basic services to the citizenry if passed into law, the World Bank has said.
In a letter to the House of Representatives suggesting amendments to the provisions of the bill, the World Bank said the provision for the payment of 50 per cent mobilisation fees to contractors contradicted the government’s policies on Treasury Single Account and zero budgeting.
According to the bank, paying 50 per cent mobilisation fees to contactors for huge projects that cannot be completed within one year will mean transferring government’s funds to private entities to trade with, while the government will be left with nothing to cater for the needs of the people.
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