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2007 Assessment

Egypt: Integrity Indicators Scorecard

Egypt: Integrity Scorecard Report > Sub-Category: Procurement
Indicators   Score
48 Is the public procurement process effective? 88
49 Can citizens access the public procurement process? 100

Indicator and sub-Indicator Details

48 Is the public procurement process effective?
 
  48a: In law, there are regulations addressing conflicts of interest for public procurement officials.
 
Score: YES  NO score
  Comments: In law, there are regulations addressing conflicts of interest for public procurement officials.

References: Article 39 of law no. 89/1998 for organizing bids and auctions.

  48b: In law, there is mandatory professional training for public procurement officials.
 
Score: YES  NO score
  Comments: In law, there is no mandatory professional training for public procurement officials.

References: Law no. 89/1998 for organizing bids and auctions.

  48c: In practice, the conflicts of interest regulations for public procurement officials are enforced.
 
Score: 100  75  50  25  0  score
  Comments: In practice, and in accordance with the law, the conflicts of interest regulations for public procurement officials are always enforced. But these regulations are suspended for several exceptions. Among these exceptions are: limited bids in which certain or nominated suppliers are imposed; local bids to which local suppliers only are eligible (articles 3-5 of law no. 89/1998). Article 7 of this same law permits direct contract by permission from the head of the agency, the governor or the minister. Article 7 also allows the head of the Council of Ministers, if necessary, to develop rules and conditions for all kinds of contracts.

References: Articles 3, 4, 5, 7 of law no. 89 / 1998 for organizing bids and auctions.

  48d: In law, there is a mechanism that monitors the assets, incomes and spending habits of public procurement officials.
 
Score: YES  NO score
  Comments: In law, there is a mechanism that monitors the assets, incomes and spending habits of public procurement officials.

References: Article 28 of law no. 89/1998 for organizing bids and auctions.

  48e: In law, major procurements require competitive bidding.
 
Score: YES  NO score
  Comments: In law, major procurements require competitive bidding.

References: Article 28 (clause a) of law no. 89/1998 for organizing bids and auctions.

  48f: In law, strict formal requirements limit the extent of sole sourcing.
 
Score: YES  NO score
  Comments: In law, strict formal requirements limit the extent of sole sourcing with the exceptions cited in the answer to question 48c.

References: Articles 9, 10, 11, 12, 13 and 15 of law no. 89/1998 for organizing bids and auctions.

  48g: In law, unsuccessful bidders can instigate an official review of procurement decisions.
 
Score: YES  NO score
  Comments: According to article 40 of law no. 89/1998 for organizing bids and auctions, unsuccessful bidders can require an official review of procurement decisions.

References: Article 40 of law no. 89/1998 for organizing bids and auctions.

  48h: In law, unsuccessful bidders can challenge procurement decisions in a court of law.
 
Score: YES  NO score
  Comments: According to article 40 of law no. 89/1998 for organizing bids and auctions, unsuccessful bidders can challenge procurement decisions in a court of law. There is also an office in the Ministry of Finance dedicated to investigating challenges raised by unsuccessful bidders against procurement decisions.

References: Article 41 of law no. 89/1998 for organizing bids and auctions.

  48i: In law, companies guilty of major violations of procurement regulations (i.e. bribery) are prohibited from participating in future procurement bids.
 
Score: YES  NO score
  Comments: According to article 40 of law no. 89/1998 for organizing bids and auctions, companies guilty of major violations of procurement regulations (i.e. bribery) are prohibited from participating in future procurement bids.

References: Article 40 of law no. 89/1998 for organizing bids and auctions.

  48j: In practice, companies guilty of major violations of procurement regulations (i.e. bribery) are prohibited from participating in future procurement bids.
 
Score: 100  75  50  25  0  score
  Comments: In practice, companies guilty of major violations of procurement regulations (i.e. bribery) are prohibited from participating in future procurement bids. After proven to be guilty, the company is crossed out of register of suppliers and contractors, and the general authority of governmental services is notified to release the crossing out of this company through its writings. In case the company appeals to court and it is found not guilty, the company can ask for participating in governmental bids in the future.

References: Law no. 89/1998 for organizing bids and auctions.

49 Can citizens access the public procurement process?
 
  49a: In law, citizens can access public procurement regulations.
 
Score: YES  NO score
  Comments: In law, citizens can access public procurement regulations. Article 2 of law no. 89/1998 for organizing bids and auctions states that "since all public bids and auctions follow the principles of rationality, equal opportunity and free competition, they must be declared in daily papers and other widespread information media".

References: Article 2 of law no. 89/1998 for organizing bids and auctions.

  49b: In law, the government is required to publicly announce the results of procurement decisions.
 
Score: YES  NO score
  Comments: In accordance with article 40 of law no. 89/1998 for organizing bids and auctions, the government is required to publicly announce the results of procurement decisions for general or limited bids, auctions, or the canceling of the tender as a whole. As stated in the above article, announcement is made on a specified information board within a week. Registered letters are also sent to the bidders to the addresses mentioned in the bids.

References: Article 40 of law no. 89/1998 for organizing bids and auctions.

  49c: In practice, citizens can access public procurement regulations within a reasonable time period.
 
Score: 100  75  50  25  0  score
  Comments: In practice, citizens can access public procurement regulations within a reasonable time period- a week as stated in article 40 of law no. 89/1998.

References: Article 40 of law no. 89/1998 for organizing bids and auctions.

  49d: In practice, citizens can access public procurement regulations at a reasonable cost.
 
Score: 100  75  50  25  0  score
  Comments: In practice, citizens can access public procurement regulations at a reasonable cost. According to article 17 of law no. 89/1998 for organizing bids and auctions, this cost is determined by the administrative agency, but cannot exceed 2 percent of the estimated amount of the bid, and only as temporary insurance.

References: Article 17 of law no. 89/1998 for organizing bids and auctions.

  49e: In practice, major public procurements are effectively advertised.
 
Score: 100  75  50  25  0  score
  Comments: In accordance with article 2 of law no. 89/1998 for organizing bids and auctions, major public procurements are effectively advertised in daily papers and other widespread information media.

References: Article 2 of law no. 89/1998 for organizing bids and auctions.

  49f: In practice, citizens can access the results of major public procurement bids.
 
Score: 100  75  50  25  0  score
  Comments: In practice, citizens can access the results of major public procurement bids on the web-sites of the procurement bidders themselves or the companies taking part in them. The agency which has authority is required to announce the reasons for bids procurement, omitting certain bids or canceling the bid as a whole in a specified information board within a week. Registered letters are also sent to the bidders to the addresses mentioned in the bids.

References: Article 40 of law no. 89/1998 for organizing bids and auctions.

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