Kathmandu. The government has made drastic changes by amending the Public Procurement Act through an ordinance.

Following the recommendation of the Council of Ministers, President Ram Chandra Poudel has amended the Public Procurement Act, 2063 through the Public Procurement (Second Amendment) certified on Thursday.

At the same time, it is expected that the delay in the public procurement process and corruption will be eradicated in the coming days. The tendency to take contracts at low rates has been tightened.

Now, the Public Procurement Monitoring Office will operate the government e-marketplace. Materials can be purchased directly from the listed suppliers.

Essentials will be purchased from the system within 24 hours.

As per the amendment to the Act, if the contractor terminates the contract, the performance guarantee will be forfeited and the remaining cost will be recovered from the concerned company.

According to the bill, companies taking contracts at a lower rate will have to provide 8 percent additional performance guarantee.

The Act has reduced the deadline for calling for contracts. The deadline for international bidding has been reduced from 45 days to 30 days.

Similarly, the deadline for the national tender has been increased from 30 days to 21 days. The minimum duration of the sealed quota has been reduced from 15 days to seven days.