By Alois Vinga
VICE President Constantine Chiwenga Friday issued new regulations which prioritise the awarding of tenders to locals, a move that will likely see those well-connected politically benefiting.
Chiwenga under Statutory Instrument 219 of 2020, Procurement Management Units (PMUs) (departments which undertake purchasing on behalf of government departments) instructed to allocate tenders under specific thresholds to Zimbabweans only.
“The Honorable Vice President responsible for Procurement, in consultation with the Finance Minister (Mthuli Ncube) and in terms of section 101 of the Public Procurement and Disposal of Public Assets Act [Chapter 22:23] and after consulting with the Procurement Regulatory Authority of Zimbabwe, has amended the regulations,” said Chiwenga in the SI.
The policy will be applicable for contracts worth an equivalent of US$20 000 up to US$5 million dollar for construction works.
In the case of goods only those with a value between US$10 000 but not exceeding US$300 000 can also be set aside for locals.
The same privilege also applies in the case of consultancy services and non- consultancy services of a value between US$ 5 000 and US$1 million dollars.
Chiwenga also moved to set new US$ equivalent limits which the PMU’s are allowed to manage their own purchasing in a development which will see them controlling a maximum threshold of US$200 000 for construction projects.
PMUs will also be allowed to freely manage US$100 000 on goods and US$50 000 or its equivalent for payment of consultancy services.