Windhoek | As part of its commitment to improving public procurement service delivery and enhancing the timely implementation of procurement projects, the CPBN has embarked on a series of stakeholder engagements with financial institutions to better understand the procedures, requirements, and the administration processes involved for successful bidders to obtain performance guarantees.

 

In terms of Section 55(6) of the Public Procurement Act No. 15 of 2015 (as amended), successful bidders are required to provide performance guarantee before procurement contracts can be signed. These guarantees play a critical role in mitigating risks associated with non-performance and safeguarding public resources.

 

Today, CPBN management, led by Chief Executive Officer Mr. Idi Itope, engaged with FNB Namibia. The CPBN delegation was received by Mr. Leonard Hamunyela, Head of Enterprise Banking, and Ms. Priscilla Akudhenga, Manager: Public Sector.

 

The engagement provided valuable insights into FNB’s performance guarantee offerings, including application requirements, credit assessment considerations, and factors that contribute to successful acquisitions of performance guarantees. The discussions also explored opportunities for collaboration between the two institutions to facilitate smoother access to performance guarantee instruments for successful bidders.

 

CPBN will continue engaging with other financial institutions that provide performance guarantees. These consultations are aimed at identifying practical solutions to challenges that may delay the issuance of performance guarantees, as such delays can negatively affect the implementation of critical public procurement projects and ultimately impact national development objectives.