With a view to strengthening governance and ensuring transparency, efficiency and competition in public procurement practices, the Public Procurement Rules (PPR), 2025 became effective from 28 September 2025, following the effectiveness of the Public Procurement (Amendment) Ordinance, 2025 on 28 September 2025.

The 16 No. Ordinance of 2025 has brought major changes to the Public Procurement Act, 2006. To align the corresponding rules with the amended PPA, 2006, the new PPR, 2025 was framed and made effective on 28 September 2025, the same day.

Now both the amended PPA, 2006 and the newly- framed PPR, 2025 are effective simultaneously for conducting public procurement in the country. The new PPR, 2025 consists of 154 Rules and 21 Schedules. Major changes to both the law and the rules include:

• Removal of the 10% (plus-minus) price cap in national works procurement;
• Mandatory use of e-GP for all public procurement;
• Mandatory disclosure of the actual beneficial owner of contract awards;
• Formal introduction of Sustainable Public Procurement (SPP);
• Requirement for a procurement strategy;
• Recognition of physical services as a distinct procurement category;
• Expansion of framework agreements and negotiations;
• Establishment of a Debarment Board;
• Clear provisions on asset disposal.

The formulation of the new PPR, 2025 followed the effectiveness of the Public Procurement (Amendment) Ordinance, 2025, which was gazetted on 4 May 2025. Immediately after these amendments, the Bangladesh Public Procurement Authority (BPPA) initiated the task of drafting the new Rules, replacing the PPR, 2008.

To ensure inclusiveness and technical soundness, BPPA’s Governing Board formed a Technical Working Group (TWG) comprising representatives from ministries, major procuring agencies, BPPA officials, and national procurement trainers. The TWG held more than nine meetings to deliberate on the revisions. In parallel, BPPA organized 12 extensive consultations with stakeholders, including procuring agencies, tenderers, journalists, high-ranked policy-level officials, women entrepreneurs and development partners (DPs), and dialogues with procuring entities and tenderers at district and upazilla level.

In almost all consultations, participants unanimously recommended drafting an entirely new set of Rules rather than amending the PPR, 2008, given the breadth and significance of the changes required. Acting on this collective advice, BPPA prepared the draft of the PPR, 2025 and placed it before the Finance Division, and the Legislative and Parliamentary Affairs Division for vetting.

On the occasion, the Secretary of the Implementation Monitoring and Evaluation Division (IMED), Mr. Md. Kamal Uddin, said, “This is a great step forward in the efforts to ensure competition and fairness in public procurement process”

The Chief Executive Officer (CEO) of BPPA and Secretary, Mr. S. M. Moin Uddin Ahmed, remarked: “The new Rules is a landmark in the history of public procurement reforms in the country.”