Public Sector Procurement
Procurement by the Kuwaiti Government and its agencies is governed
by Law No. 37 of 1964 as modified by Law Nos. 13 and 31 of 1970 and
1977, respectively concerning Public Tenders (hereinafter, the
“Tenders Law”). The Tenders Law provides that any procurement
made by the Kuwait Government with a value in
excess of 5,000 KD must be conducted through the Central Tenders
Committee procedures in order to ensure competitive pricing.
Article 5 of the Tenders Law provides that a bid for a government
contract may be made by a Kuwaiti merchant, individual or company
which is registered in the Register of Commerce in the Chamber of
Commerce and Industry of Kuwait. A foreign entity may act as a
government contractor only through a Kuwaiti entity in which it has an
ownership interest or by acting directly but with the assistance and
support of a Kuwaiti agent or commercial representative. The tenderer
must be registered in the Classification List of Contractors and
Suppliers.
The two exceptions to the application of the Tenders Law are Ministry
of Defense procurements and other specialized procurements by the
approval of the Central Tenders Committee.
by Law No. 37 of 1964 as modified by Law Nos. 13 and 31 of 1970 and
1977, respectively concerning Public Tenders (hereinafter, the
“Tenders Law”). The Tenders Law provides that any procurement
made by the Kuwait Government with a value in
excess of 5,000 KD must be conducted through the Central Tenders
Committee procedures in order to ensure competitive pricing.
Article 5 of the Tenders Law provides that a bid for a government
contract may be made by a Kuwaiti merchant, individual or company
which is registered in the Register of Commerce in the Chamber of
Commerce and Industry of Kuwait. A foreign entity may act as a
government contractor only through a Kuwaiti entity in which it has an
ownership interest or by acting directly but with the assistance and
support of a Kuwaiti agent or commercial representative. The tenderer
must be registered in the Classification List of Contractors and
Suppliers.
The two exceptions to the application of the Tenders Law are Ministry
of Defense procurements and other specialized procurements by the
approval of the Central Tenders Committee.