Reed Smith lauds Saudi Arabia's procurement, tender law reforms
EXCLUSIVE: Head of Middle East at Reed Smith, Sachin Kerur, tells CW that the updates could benefit contractors in Saudi Arabia
American law firm Reed Smith's head of the Middle East, Sachin Kerur, has welcomed reforms to procurement and tender laws in Saudi Arabia, which will take effect in November 2019, telling Construction Week during the Leaders in KSA Roundtable 2019 – held ahead of Construction Week's Leaders in KSA Awards 2019 in Riyadh on 30 September – that the updates should be welcomed by construction contractors in Saudi Arabia.
He explained: “Every process needs improving, and this is not a criticism, because [the reforms] should be welcomed.
“Any move to implement best practice should be welcomed. Saudi Arabia has a procurement regime and Saudi Aramco probably has a world-leading procurement regime that has been in place for years,” Kerur said, adding that the world's largest oil and gas company was an example of how procurement could be managed in the kingdom.
Saudi Arabia’s Council of Ministers approved a fresh tendering and procurement law in July 2019, designed to help overcome the shortfalls of the existing regulation.
The move was implemented to make bidding processes fairer, drive cost efficiencies on upcoming and under-construction projects, and enhance local bidder participation.