ADB, EBRD sign alternative procurement arrangement for cofinanced projects
The Asian Development Bank has signed an agreement with the European Bank for Reconstruction and Development on alternative procurement arrangements, allowing cofinanced projects to follow a single procurement framework.
Under ADB’s procurement framework, the alternative procurement arrangements allows one bank to be the lead cofinancier on a project, and the procurement of all, or a portion of, the contracts under the project to follow the lead cofinancier’s procurement policies and procedures.
ADB signed a similar agreement with the World Bank last year.
The arrangement allows cofinanced projects to be implemented more efficiently by applying a single framework to the whole project, thereby reducing the end-to-end procurement time and transaction costs for ADB’s clients. ADB is negotiating with other multilateral agencies the opportunity to use similar arrangements under cofinanced projects.