FG Mandates 14-Day Procurement Standstill: A New Safeguard for Contract Integrity
The Federal Government has instituted a mandatory 14-calendar-day standstill period before the execution of public procurement contracts, a move designed to bolster transparency, accountability, and fairness in government contracting. This directive, issued by the Secretary to the Government of the Federation, George Akume, mandates that Ministries, Departments, and Agencies (MDAs) provide unsuccessful bidders with a crucial window to challenge or seek clarification on procurement decisions before contracts are finalised.
The circular, effective immediately, requires all procuring entities to notify all participating bidders of an intended contract award after the relevant authority approves the award recommendation. A strict 14-day waiting period must then be observed before the contract agreement is executed or the Letter of Award becomes effective. This interval is specifically intended to allow unsuccessful bidders to raise objections, thereby preventing contracts from proceeding immediately after the announcement of a preferred bidder. The standstill period is defined as the “mandatory interval between the communication of the Notice of Intended Award and the formal execution of the contract,” aimed at providing an opportunity for clarification or complaint filing.
Crucially, the directive states that “No contract agreement shall be executed, and no Letter of Award shall become effective until the expiration of the prescribed Standstill Period of fourteen (14) calendar days.” Procuring entities are further instructed to promptly address any complaints or protests submitted during this waiting period, in accordance with the administrative review procedures established under the Public Procurement Act, 2007, and relevant guidelines from the Bureau of Public Procurement (BPP). Where a complaint is received, further procurement actions relating to contract execution are to be suspended pending its resolution. Procurement Officers are required to maintain comprehensive records of compliance, including notices issued, complaints received, and actions taken. Failure to comply will result in administrative sanctions.
This measure is particularly significant for lawyers, compliance officers, and corporate executives involved in government contracting, as it introduces a procedural safeguard against potential irregularities. It underscores the government’s commitment to strengthening the public procurement system, which governs the expenditure of public funds. The directive reinforces that speed in procurement cannot supersede established procedures for bidder notification and complaint resolution. MDAs must now integrate this waiting period into their contract award schedules and meticulously document all related processes. This requirement applies to both ongoing and future procurement activities and must be read in conjunction with existing procurement laws, regulations, and BPP guidelines.
