PPRA Overhauls Legal Framework to Align with Global Best Practices

The Public Procurement Regulatory Authority (PPRA) has launched a comprehensive overhaul of its legal framework, including the Public Procurement Rules, 2004, with the goal of aligning them with international best practices, sources have confirmed.

In line with Prime Minister Shehbaz Sharif’s directives, the PPRA has hired an international consultant to review the existing legal framework. This includes a thorough revision of the Public Procurement Rules, 2004. The consultant has already shared the initial draft of the proposed new rules, known as the Public Procurement Rules, 2025, which have been reviewed by the PPRA team and a local consultant to ensure compliance with Pakistan’s laws.

The process of redrafting the regulatory framework has involved extensive consultations. Feedback from various stakeholders, including procuring agencies, bidders, suppliers, and the general public, has been carefully considered and integrated into the updated draft. The proposed rules were presented in multiple meetings of the PPRA Board (88th, 89th, 90th, and 91st meetings), where several amendments were suggested and incorporated into the revised draft.

After finalizing the internal review process and taking into account the Board’s feedback, the updated draft was sent to the international consultant for expert evaluation. The consultant’s feedback has now been forwarded to local consultant Osama Siddiqui, who is working on aligning the rules with international best practices and ensuring precision and clarity.

In November 2024, Prime Minister Shehbaz Sharif issued key instructions to the PPRA to improve procurement practices. These included removing underperforming or incompetent staff and placing them in a surplus pool, as well as ensuring that no procuring agency can split tenders to avoid mandatory third-party evaluations for contracts exceeding Rs 70 million.

The Prime Minister also emphasized the need for the Complaint Redressal Committee, Grievance Committee, and Inspection Committee to remain independent of influence from the Procuring Agency and Procurement Committee. Additionally, he called for the implementation of pre-shipment inspections for significant or international procurements, to be carried out by independent assessors at the procuring agency’s expense.

The PPRA Board has also been tasked with ensuring that the Authority operates with a vertically independent HR structure. The HR committee has been instructed to expedite the recruitment of qualified staff based on merit, ensuring transparency in the hiring process. The first batch of recruited personnel will undergo high-quality training abroad in various procurement disciplines and will return to serve as Master Trainers.

The Prime Minister further directed that all ministries and procuring agencies must make procurements exclusively through the e-Procurement system (e-PADS). Additionally, dedicated procurement units will be established in all ministries and organizations, staffed by trained personnel. The Controller General of Accounts (CGA) will handle procurement-related payments solely through the e-PADS system.

This overhaul of PPRA’s legal and operational framework is expected to enhance the efficiency, transparency, and global competitiveness of Pakistan’s public procurement processes.

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