MANILA, PHILIPPINES (17 April 2017) — The Asian Development Bank (ADB) has approved a new procurement framework that will cut down on procurement processing times and improve quality.
“The new framework, coming after extensive consultations with a range of stakeholders, sees ADB transition from a ‘one size fits all’ to a ‘fit for purpose’ approach to procurement in ADB-financed projects,” said Deborah Stokes, ADB Vice-President for Administration and Corporate Management. “With focus on quality and value for money, growth aspirations of developing member countries such as use of high level technology solutions will be supported more effectively.”
ADB saw the value of contracts awarded in its projects rise by almost 40% from $6.8 billion in 2013 to $9.5 billion in 2016.
Besides reducing the overall procurement time and improving the quality of procurement in ADB-financed projects, the new framework will address the need to bring advanced and cleaner technologies to ADB clients. Among other measures, it will allow deeper focus on project design and planning. The new approach permits more flexibility and dynamism in the bidding process allowing multiple stage bidding for complex procurement. Its provisions will enable ADB to help countries in fragile and conflict-affected situations better. The use of agency procurement systems will also help pave way for greater use of country systems.
Procurement procedures will be based on more in-depth market assessments, with ADB deepening the focus on high value, complex transactions using a risk-based approach. A new complaints handling mechanism will foster greater accountability. ADB will also place more procurement specialists in its field offices.
ADB’s new procurement framework will be rolled out in phases for new projects starting in July 2017.
ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, ADB is celebrating 50 years of development partnership in the region. It is owned by 67 members—48 from the region.