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Impact of Public Procurement Rules Amendment in Saghan Sahari (Integrated Urban Development) Construction Projects of DUDBC.

Impact of Public Procurement Rules Amendment in Saghan Sahari (Integrated Urban Development) Construction Projects of DUDBC.

Student: Arjun Mahato Kushwaha

Supervisor: Er. Abinash Srivastav

Submitted Date: August, 2026

Abstract

Nepal's public procurement system applies to the acquisition of goods, works as well as services by public entities. The total of eleven number of amendments has been made in the public procurement rules in past decade with ten of them being made in last six years. This research focuses on analysing the impact of amendment in procurement rules of Nepal. The data for this study were collected from DUDBC, along with the engineers and contractors working on the Prioritized three stages i.e. 20 Municipalities, 51 municipalities and 33 municipalties of Saghan Sahari projects implemented under DUDBC. The data regarding the study was collected through questionnaire survey from 103 repondants representing government officials of DUDBC and contractors involved in construction and procurement of Saghan Sahari Project. For data analysis purpose, “Relative Importance Index (RII)” and “Statistical Package for the Social Sciences (SPSS)” were used. The response obtained from Key Informant Interview (KII) were analysed which provided base for the final recommendations to incorporate in procurement related legislations. The findings from this research identified Provision of digital entry of procurement documents in online system as well as increment in threshold of approval of procuring documents as the factors affecting positively on procurement efficiency while the frequent amendments regarding time extension with varying provisions as the factor that has not been able to impact positively on procurement efficiency. The absence of guiding documents for contract termination and blacklisting has been identified as the major factor affecting contract termination. From Kendall’s Tau-b test, a significant relation between client and contractor was found regarding impact of amendment of rules in procurement efficiency. Based on the thematic analysis, this research recommends, procurement laws and regulations should be updated on a regular basis under professional guidance focussing on value for money along with formulation of guidelines regarding contract termination and blacklisting.

Keywords

Amendment, Procurement, Regulations, Transparency, Efficiency, Blacklisting