Procurement Authority Seek To Shorten The Tender Bidding Process To Stay Ahead Of Inflation

The Procurement Regulatory Authority of Zimbabwe has lamented the effects of inflation on tenders and is advocating for tenders to be indexed to a more stable currency Sunday Mail reports.

This was revealed by the PRAZ president who spoke to the publication and said:

We need inflation adjusted models. We need to explore the development of a framework of indexing tender prices to a more stable currency on the date of tender, thereby allowing easier contract management.

Hyperinflationary environments erode budgets. As such, Government projects are facing challenges as they require additional funding from Treasury.

The government banned the multi-currency system in June 2019. Inflation has also soared to 300% since August according to the IMF.

More: Sunday Mail