Chapter One

Definitions, Objectives, and Applicability
Section One: Definitions
Article (1)​
In the application of the provisions of this regulation, and without prejudice to the definitions stated in the financial and accounting system of the General Secretariat of the Gulf Cooperation Council (GCC), the following words and phrases shall have the meanings indicated next to each, unless the context otherwise requires:
General Secretariat: The General Secretariat of the Gulf Cooperation Council and its affiliated agencies, missions, and offices.
Secretary-General: The Secretary-General of the Gulf Cooperation Council.
Tender Committee: A committee established by a decision of the Secretary-General of the Gulf Cooperation Council, responsible for conducting tenders according to the rules outlined in this regulation.
Requesting Entity: Any agency, sector, department, office, or section in the General Secretariat concerned with the tender.
Construction: Works related to building, reconstructing, demolishing, or renovating buildings, structures, or facilities, such as site preparation, excavation, equipment or materials installation, finishing, as well as related services like soil testing, engineering and geological surveys, aerial mapping, etc. It also includes roads, pathways, tunnels, sidewalks, parking lots, electricity, water, and sewage networks and stations.
Services: Items that are not goods or construction, including engineering, administrative, financial, and economic consulting, studies, and research.
Supplier or Contractor: Companies, institutions, contractors, consulting offices, or other commercial entities, and individuals who submit bids to meet the General Secretariat’s requirements for goods, construction, or services.
Public Tender: A set of procedures followed by the General Secretariat according to this regulation to conduct procurement or obtain services or other required works, providing an opportunity for all contractors/consultants to submit bids for the supply of materials or services, or for the design and execution of construction and engineering projects, etc.
Limited Tender: A set of procedures followed by the General Secretariat according to this regulation to conduct procurement or obtain services or other required works by inviting a limited number of pre-selected contractors/consultants/suppliers to submit their bids.
Bank Guarantee: An unconditional bank guarantee of 10% of the bid value to ensure the seriousness of participation in the tender.
Financial and Accounting System: The system issued by Ministerial Council Decision No. (1982) 2/33 in its fourth session dated 21 Ramadan 1402H (12 July 1982) and any amendments thereto.
Tender Documents: The specifications booklet including documents issued by the requesting entity, based on which tenders are submitted according to this regulation. It includes, as applicable, instructions to bidders, technical specifications, maps, designs, terms of reference, work schedules, quantity schedules, contract terms, guarantee letter templates, and evaluation criteria.
Bid: An offer issued by a supplier, contractor, or vendor in response to a request from the Tender Committee or its announcement, containing a technical, temporal, and financial statement for the items to be contracted (goods, construction, regular services) in accordance with the tender documents, regardless of its method.
Section Two: Objectives
Article (2)
The rules outlined in this regulation aim to:
  1. Organize tender procedures, prevent personal interests from affecting them, and protect public funds.
  2. Achieve maximum economic efficiency by procuring goods, services, and works at fair competitive prices.
  3. Enhance integrity and competition, and ensure fair treatment of contractors, achieving the principles of transparency, publicity, and equal opportunities.
Section Three: Applicability
Article (3)
The provisions of this regulation apply to the organization of public tender procedures referred by the Secretary-General.
Chapter Two
Contracting Methods
Article (4)
Contracting for procurement, construction, and services is done through either public or limited tenders.
Section One: Public Tender
Article (5)
The public tender can be either local or international. The local tender is limited to companies and institutions registered in the country where the service is to be provided, while the international tender allows participation from both local and international companies and institutions, whether registered or not in the country, provided that the non-registered international companies complete their registration in accordance with the applicable regulations within thirty days from the award date.
Companies from GCC countries are treated as national companies after applying the relevant laws and agreements between GCC countries in the country where the service is provided.
The criteria for distinguishing between local and international tenders are based on the nature of the goods, construction, or services required, their size, complexity, and the required standards. The committee may decide on the reasons for choosing an international tender based on these criteria.
Section Two: Limited Tender
Article (6)
A limited tender may be used in any of the following cases:
  1. If the goods, construction, or services are specialized and available from a limited number of suppliers, contractors, consultants, technicians, or experts, either within the country or abroad.
  2. If the goods, construction, or services are of low value, making it impractical to evaluate a large number of bids.
  3. If procurement from a limited number of suppliers, contractors, consultants, technicians, or experts is necessary to promote joint GCC work.
Article (7)
Bids for a limited tender should be sent to all suppliers or contractors engaged in the specific activity related to the tender and registered with the General Secretariat, via registered mail with return receipt, including all relevant details. The invitation may also be delivered in any other appropriate manner, ensuring proof of delivery to the concerned parties.
Chapter Three
Tender Committee Formation and Responsibilities
Section One: Formation of the Committee
Article (8)​
The Tender Committee is formed according to the internal committee regulations of the General Secretariat of the GCC, ensuring that it includes individuals from financial and administrative affairs and others with relevant expertise suitable for committee membership.
Section Two: Committee Responsibilities
Article (9)
The committee is responsible for all tenders within entities subject to this regulation, and specifically:
  1. Issuing and overseeing the tender process.
  2. Approving technical specifications provided by the requesting entities and reviewing tender documents.
  3. Receiving and opening tender bids, verifying compliance with required documents, and deciding whether to accept or reject bids.
  4. Evaluating and approving tender evaluations and adopting recommendations for awarding contracts.
  5. Extending the period for accepting bids and postponing the opening of envelopes.
  6. Interviewing bidders, addressing their inquiries, and negotiating as necessary.
  7. Cancelling and re-announcing the tender.
  8. Forming a team to review bids and defining its members, powers, and working period.
  9. Reviewing and using approved supplier and contractor lists in GCC countries.
  10. Setting the price for tender documents in accordance with the financial and accounting system and this regulation.
  11. Applying penalties outlined in this regulation for suppliers and contractors.
Chapter Four​
Tender Document Preparation, Issuance, and Cancellation
Section One: Tender Document Preparation Requirements​
Requesting Entity
Article (10)
The requesting entity must:
  1. Prepare detailed, precise specifications for the required works within the allocated financial budget, avoiding references to specific types, products, or brands.
  2. Conduct testing and preparatory sessions for projects requiring such before finalizing designs and drawings.
  3. Update project information and review specifications before submitting for tender.
  4. Involve technicians who helped prepare the specifications in setting indicative prices for works based on current market rates before tendering.
Article (11)
The supply may be based on a sample specified by the requesting entity or proposed by the bidder, provided it complies with the conditions and specifications set by the requesting entity.
Tender Committee
Article (12)
The Tender Committee must:
  1. Maintain an updated price guide for recurring materials and services in collaboration with the General Administration of Financial and Administrative Affairs and the General Administration of Information and Planning.
  2. Be accurate in setting tender document prices, ensuring they are in line with preparation costs without being excessively high.
  3. General Administration of Financial and Administrative Affairs
Article (13)
The General Directorate of Financial and Administrative Affairs shall consider the following:
  1. Ensure the availability of the necessary financial allocations for the tender.
  2. Provide sufficient copies of the tender documents to meet the requests of those wishing to purchase them, and the sale of these documents cannot be refused or withheld except for a legal reason, as long as the period for accepting offers is still valid.
  3. The copies containing the tender documents must be numbered and sealed with the General Secretariat’s seal.
Section Two
Preference Rules
Article (14)
Preference will be given to Gulf-origin products and services, as well as products and services from Gulf small and medium-sized enterprises, and similarly, products and services from other countries will be treated according to the national product preference rules, which will be stated in the terms and specifications of the required work.
Section Three
Tender Execution Segmentation
Article (15)
The tender conditions may include a provision allowing the segmentation of its execution at the time of award, whenever such segmentation serves the interests of the General Secretariat.
Section Four
Re-tendering
Article (16)
A tender shall be re-issued if only one offer is received, even if it meets the conditions.
The offer is considered solitary even if other offers are submitted but do not meet the tender's conditions and specifications.
If the tender is re-issued and only one offer is submitted, the committee may accept it if requested by the relevant department. The committee may also shorten the time for submitting offers to a period not exceeding half of the original time in the case of re-tendering.
Section Five
Tender Cancellation
Article (17)
The tender will be canceled by a justified decision from the committee after being announced and before it is decided if it is abandoned permanently or if public interest necessitates it. The committee may also cancel the tender based on a recommendation from the requesting department in the following cases:
  1. If only one offer is submitted or if only one offer remains after excluding others.
  2. If most or all offers are accompanied by substantial reservations.
  3. If the lowest offer exceeds the market value.
  4. If the lowest offer exceeds the approved amount for the tender.
Article (18)
In the event of tender cancellation before the deadline for opening the envelopes, the price of the tender documents will be refunded to the purchaser, provided that the full copy of the documents is returned to the committee.
If the tender is canceled after the aforementioned date, the price will only be refunded to those who submitted an offer for the tender.
Section Six
Tender Announcement
Article (19)
Tenders shall be announced as follows:
  1. Through the General Secretariat’s website.
  2. In two newspapers in the countries where the service related to the tender is provided, in Arabic or any other language as appropriate.
  3. Coordination with the General Secretariat’s missions and offices abroad may occur if necessary.
Article (20)
The tender announcement must include clear and comprehensive information about the announced work, at a minimum including the following details:
  1. The name of the announcing entity.
  2. The tender number, description, and purpose.
  3. Classification field.
  4. The price of the documents and where they can be purchased.
  5. The time and place for submitting offers and opening the envelopes.
The bank guarantee.
Article (21)
The announcement or sale of the tender documents may not specify a certain classification or require pre-qualification of the tender applicants unless financial or technical necessity dictates this. In such cases, this must be clarified in the tender announcement.
Article (22)
A minimum period of forty days must be specified for submitting offers, starting from the date of the first publication of the tender announcement. The committee may, at the request of the requesting entity, shorten this period to no less than fifteen days according to the cases specified in the rules, but this does not apply to tenders related to annual supplies except in the case of re-tendering.
The committee may, at the request of the requesting entity, set a shorter period for submitting offers, provided that it is enough to allow participants to prepare and submit their offers. In all cases, the period should not be less than fifteen days in the following situations:
  1. If the requesting entity has previously announced within twelve months its intention to issue the tender.
  2. If applying the forty-day deadline could cause harm to the tender, in cases where the entity proves that the situation is urgent and caused by unforeseen events.
Chapter Five
Submission of Offers
Article (23)
Tenderers must have the necessary documents and licenses in accordance with the laws and regulations in both the country where the service is to be provided and the country of nationality of the tenderer. All documents and licenses must be valid.
A tender box will be placed at the General Secretariat for the submission of tender envelopes, designed so that nothing can be removed from it. The box will have two locks: one key will be held by the committee chairperson or their delegate, and the second key will be held by the Procurement and Contracts Department of the General Directorate of Financial and Administrative Affairs.
The tender box will close at 10:00 AM on the date specified for envelope opening, and the envelopes will be opened at 11:00 AM on the same day.
The tender remains valid from the date it is submitted to the General Secretariat until the end of the offer validity period, with any reductions in prices included in the offer if received before the scheduled envelope-opening time.
Article (24)
Tenderers must adhere to the following procedures:
  1. Submit the offers via an official letter specifying the total value.
  2. The offer must be signed by the tenderer. If submitted by a company or institution, it must be signed by an authorized representative, and proof of this authorization must be attached.
  3. Provide the original letter of the bank guarantee with the offer. Offers that do not include this will be rejected.
  4. Submit a copy of all necessary documents as per Articles (1) and (2) of Article (23).
  5. Submit the offer in two sealed envelopes: one for the technical offer and one for the financial offer, with original models and two sealed copies.
Article (25)
The tenderer may withdraw their offer before the deadline for submitting offers without refunding the cost of purchasing the tender documents.
Article (26)
The General Secretariat must provide the competitors with the necessary clarifications about the work to be performed before the offer submission date, and upon request, allow competitors to review the project's scope and some general information about it, enabling them to submit their offers after purchasing the tender documents.
Article (27)
Multiple competitors may submit a joint offer according to the laws and regulations of the country where the project will be executed, subject to the following conditions:
  1. The joint submission must occur before the offer is submitted, based on an agreement between the partners, notarized by an authorized entity.
  2. The agreement must include the commitment of the joint participants to perform all the works and services included in the tender.
  3. The agreement must specify the legal representative of the joint participants for completing the contracting procedures, signing the contract, and handling signatures and correspondence.
  4. The tender documents must be signed and sealed by all participants, and the original agreement must be attached with the offer.
  5. No participant may submit an individual offer or form a joint offer with another competitor for the same project.
  6. The joint agreement cannot be modified after submission without the General Secretariat’s approval.
Article (28)
It is essential to avoid contracting with individuals or entities prohibited from dealing with member countries.
Chapter Six
Opening Envelopes
Article (29)
The Tender Committee will open the envelopes at the specified hour and day, and the General Secretariat will ensure the receipt of daily mail by the final submission time.
The envelope-opening time cannot exceed the day after the final deadline for submitting offers. The committee must complete the opening of all envelopes in the same session.
Article (30)
Without prejudice to other procedures, the deadline for submitting offers and the envelope-opening may be extended in the following cases:
  1. If the statutory period for submitting offers is incomplete, the General Secretariat must announce the extension of the deadline and postpone the envelope-opening to complete the period.
  2. If there are valid reasons to extend the offer submission period, such as discovering substantial errors in the quantity tables, tender terms, or based on a justified request from most of the tender document purchasers, the General Secretariat may accept it. An announcement will be made about the extension, following the general tender announcement procedures.
Article (31)
The Tender Committee shall consider the following:
  1. Ensuring the integrity of the envelopes and their compliance with the provisions of Article (24) of these regulations, and documenting in its minutes the number of submitted bids, assigning each bid a serial number.
  2. Announcing the attendees from the bidders or their representatives by the name of the bidder and the total price.
  3. Listing the samples, specifications of the devices and materials provided with the bid, ensuring the presence of the bank guarantee letter, signing the original bid letter, quantity tables, and the certificates attached to the bid, along with the minutes documenting the committee's procedures.
  4. Documenting the contents of the envelopes, including any modifications, corrections, or obliterations in the prices, whether unit or total, and identifying any unpriced items or those without individual or total prices, in both numbers and writing.
  5. Not excluding any bid upon opening the envelopes or requesting bidders to correct mistakes or address observations in their bids, and not receiving any bids, envelopes, or letters submitted by the bidders during the opening session.
  6. After completing the opening of the envelopes, the Tender Committee shall review the bids, and it may form one or more teams of specialists for this purpose if needed, within a period not exceeding seven days.
Chapter 7: Bid Examination
Article (32)
The Tender Committee shall examine the bids, study them, and recommend the award to the best prices, most suitable terms, and best types, ensuring that the bid complies with the conditions and specifications set by the requesting entity. It shall exclude any bids that do not comply with the conditions and specifications, considering the previous performance of the best bidder, if any, and submit the recommendation to the Secretary-General.
Article (33)
The teams for examining the bids as stated in paragraph 6 of Article 31 of these regulations shall be formed with the following considerations:
  1. The team shall be headed by a chairman and include a sufficient number of members, including an employee from the requesting entity, an employee from the internal audit department, an employee from the procurement and contracts department, and a secretary with expertise from the General Secretariat staff.
  2. A decision by the Tender Committee shall form the teams, specifying their number, mandate, and duration of work, with each team being chaired by a member of the Tender Committee.
  3. The teams shall apply the internal committee regulations of the General Secretariat, especially regarding the organization of meetings and workflow, and adhere to the tasks assigned to them based on the powers of the Tender Committee as specified in these regulations.
  4. The team secretary shall maintain a record containing a summary of the team's session proceedings.
  5. The team leader shall submit reports and recommendations to the Tender Committee for appropriate action.
Article (34)
The Tender Committee shall consider the following:
  1. Adherence to the technical and regulatory standards specified in the conditions book when analyzing bids, ensuring the technical and financial capability of the applicant.
  2. Requesting clarifications from the competitors regarding any data or ambiguities in their bids, ensuring that this does not affect equality and fairness between bidders, and that it does not alter essential aspects such as price or convert a non-compliant bid into an acceptable one.
  3. Not excluding any bid on the grounds of being technically unsuitable as long as it complies with the set conditions and specifications.
  4. Reviewing the quantity tables and prices in the bid, both individually and in total, and making necessary corrections.
  5. If there is a discrepancy between the written price and the numerical price, the written price shall prevail. If there is a discrepancy between the unit price and the total price, the unit price shall prevail.
  6. If evidence indicates the price is incorrect according to the correction method outlined in paragraph (5) of this article, the Tender Committee may, after verifying the financial balance of the item prices and comparing the price with similar bids, other bids, market prices, and estimated prices, accept the price determined to be correct.
  7. Any bid may be excluded if the corrected price error exceeds 10% of the total bid value, whether an increase or decrease.
  8. Ensuring the suitability of the lowest bid price that complies with the conditions and specifications, and referencing previous prices, market prices, and estimated prices.
  9. If bid prices exceed the approved amounts, or the estimated and market prices, negotiations shall first be held with all bidders to reduce the offer to the prevailing price, followed by negotiations to cancel or reduce certain items.
Article (35)
The tender conditions may include a clause that allows for the cancellation, modification, or reduction of certain items to reach the approved project amounts, but not exceeding 20%.
Article (36)
If a bidder omits to provide prices for certain items, the Tender Committee may exclude the bid, considering that the unpriced items are included in the total bid value. The bidder is deemed to have agreed to this condition upon submitting the bid. In supply contracts, the bidder is considered to have not submitted an offer for unpriced items, and their bid shall be excluded.
Article (37)
A bid shall be excluded if it is based on a discount percentage or a specific amount from the lowest bid.
Article (38)
If two or more bids are found to be equal in terms of technical and financial aspects and meet the conditions and specifications of the tender, the committee shall negotiate with the bidders of the equal bids to obtain the best offers, which shall be submitted in sealed envelopes.
Article (39)
Before excluding a bid with significantly low prices that are unjustified compared to the estimated value of the approved tender budget, the Tender Committee shall consider the following:
  1. Verifying the appropriateness of the estimated prices for the work, ensuring they align with prevailing market prices when the bid is submitted.
  2. Verifying the bidder's technical experience and the similar projects they have completed.
  3. Reviewing the bidder's financial standing to ensure their financial capability.
  4. If the committee reaches a unanimous conclusion that the bidder’s capabilities are weak and the low prices affect their ability to fulfill their commitments, the bid shall be excluded. If the bidder demonstrates competence and ability to execute, even with low prices, the recommendation for award shall be made.
Article (40)
Before excluding a competitor's bid when the committee finds their contractual obligations excessive compared to their financial or technical capacities, the following shall be considered:
  1. Verifying the bidder’s existing contractual obligations with the General Secretariat or other entities and the execution status of these contracts, ensuring their ability to handle the project at hand alongside these existing contracts.
  2. Verifying the bidder's technical expertise and financial capacity.
  3. The exclusion must be based on sound, acceptable reasons that consider the interests of the General Secretariat, as per a report prepared by a specialized team assigned by the committee.
If the committee is convinced that the competitor’s capacity cannot bear additional tasks, which may affect their ability to fulfill their obligations, the bid may be excluded.
Chapter 8: Award and Finalization
Article (41)
The Tender Committee shall submit its recommendation for the award to one of the competitors to the Secretary-General for approval and to complete the contracting procedures. If a specialized team is formed to examine the bids, the Tender Committee shall decide, with justification, on the team’s report and recommendations.
Article (42)
The Tender Committee shall notify the bidder excluded from the tender, with reasons for their exclusion, through a registered letter with acknowledgment of receipt.
Chapter 9: Contract Execution
Article (43)
The contract becomes effective immediately upon the decision of award to the winning bidder. The contract must be drawn up in accordance with the model contracts approved by the General Secretariat whenever possible. The contract shall be signed between the General Secretariat and the awarded bidder within a maximum of thirty days from the date of the award decision. Execution of the contract shall commence from the date the award letter is sent or from another date specified in the letter.
Article (44)
If the supplier or contractor violates any provision of the financial and accounting regulations or these rules, the Committee may impose one of the following penalties:
  1. Rejecting the bid.
  2. Warning.
  3. Reducing the grade.
  4. Removing from the General Secretariat’s procurement records for a specified period or permanently.
  5. Suspending or canceling the purchase contract.
In all cases, the supplier, contractor, or service provider shall be notified of the decision through a registered letter with acknowledgment of receipt at the address provided in their bid or contract, as applicable.​
Chapter 10: Final Provisions
Section 1: Supplier and Contractor Qualification
Article (45)
Entities subject to the provisions of these regulations must deal with suppliers or contractors who possess the necessary qualifications, professional competence, financial capacity, and the required equipment and machinery to execute the purchase contract. Suppliers or contractors wishing to participate in procurement procedures must prove their eligibility and provide the documents requested by the General Secretariat. The General Secretariat shall classify and regularly update suppliers and contractors in a dedicated register and may request proof of their eligibility based on the criteria used in their qualification in the country where the service is to be provided, except for tenders related to delegations of the Gulf Cooperation Council outside member countries. Suppliers or contractors who fail to prove their eligibility within the specified time shall be removed from the register.
Section 2: Code of Conduct for Suppliers and Contractors
Article (46)
Suppliers or contractors are prohibited from engaging in the following:
  1. Influencing the tender results or award decisions to eliminate competition, such as offering bribes or incentives to any employee of the requesting entity, committee, or General Secretariat.
  2. Obtaining information about the tender through illegal means.
  3. Collusion with other contractors or suppliers participating in the tender.
  4. Engaging in practices that lead to monopolies.
  5. Engaging in any act of corruption or fraud.
Section 3: Conflict of Interest Prevention
Article (47)
Employees of the General Secretariat are prohibited from directly or indirectly submitting bids or proposals for tenders issued by the General Secretariat. Any committee member with a direct or indirect interest in a tender on the committee's agenda must recuse themselves from participating in the discussion of that tender. No entity within the General Secretariat shall communicate with bidders regarding any matter related to the tender during the bid examination period. A direct interest means the committee member, their spouse, or one of their close relatives holds a stake in the tender, is a member of the tendering entity’s board, an employee, an agent, or a sponsor of the bid. Indirect interest refers to a potential benefit or advantage, even if speculative.
Section 4: Amendment of Regulations
Article (48)
These regulations may be amended based on a proposal from the Tender Committee, Internal Audit Department, or General Administration of Financial and Administrative Affairs, after review by the Legislative Committee for internal regulations of the General Secretariat. The amendment becomes effective from the date it is approved by the Secretary-General.