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Procurement Glossary


Definition/ Description

Accounting Officer             

Accounting  Officer  means  any  official  empowered  to  approve  reports  of  the Tender Committee and sign the contract on behalf of the procuring entity. This official must be empowered by Law to act as a Chief Budget Manager within the public entity in which he is employed


means  money  or something of value  pursuant to or promised in order  to  influence the decision  or conduct  of staff  in the procurement process  or contract  execution;

Bid or tender

refers to an offer from a bidder

Bidding document              

Bidding document means the document containing information required for the preparation of bids, the award process and the tender execution


Bidder  means  any  potential  participant  or  participant  in  public  procurement proceedings

Bid security                         

Bid Security means any guarantee by a bank or other relevant institution to allow the prospective bidder to participate in tendering;

CIF (Cost, Insurance  and Freight)

Cost, Insurance and Freight (CIF) is an International commercial term (Incoterm) which means the seller delivers when the goods pass the ship’s rail in the port of shipment. The seller is responsible to pay for the insurance and freight of the goods to port of destination but the risk passes on delivery at the port of shipment

CIP (Carriage & Insurance Paid to a place of Destination)

Carriage and Insurance Paid (CIP) is an International commercial term(Incoterm) which means the seller delivers when  the goods are received by the carrier and he pays  the  carrier  for  the  delivery  of  goods  to  the  named  place  of  destination. Carrier is a person or institution which undertakes the transportation of goods by rail, road, sea, inland waterway or a combination of any of these modes.

Coercive practices

Any act intending to harm or threaten to harm directly or indirectly persons, their work or their property to influence their participation in the procurement process or affect its performance;  

Collusive practice

Arrangement between two or more parties designed to achieve an improper purpose, including influencing another party or the civil servant; 


means   the  requirement  to  keep   secret   and  not  to disclose   or  divulge   information  obtained   during  the  performance  of official duties until there  is a legal requirement to disclose;

Conflict of interest

A real,  obvious  or potential situation  in which  a public   agent     is  in  a  position   to  exploit  a  professional  or  official capacity in  some way  for his or her   personal  benefit and compromise his or her  independence  and impartiality  necessary for the  assumption of a public  agent duties;  it also refers to the occasion  whereby  a public agent  is  involved  in  multiple   interests,  one  of which  could  possibly corrupt  the  motivation for an act  in the  other  during  the  procurement process;

Corrupt practice

means offering, giving, receiving, or soliciting money or anything of value to make a public official partial in the tender award or contract execution process;  


An professional individual or a firm that has technical knowhow in a specialized area and is engaged to undertake an assignment described by some terms of reference

Consultant Services

Refers to activities of an intellectual or of immaterial nature.


It is a legal binding agreement between a purchaser or employer and the seller or consultant or contractor

Constructor/ supplier


means any physical or legal person under procurement contract with a procuring entity;


refers to every weekday including holidays unless stated otherwise

DDP (Delivered Duty Paid)


Delivered Duty Paid (DDP) is an International commercial term (incoterm) which means the seller delivers the goods to the buyer and cleared for importation. The seller bears all costs and risks of   transporting the goods including duties and taxes.

DDU (Delivery Duty Unpaid)


Delivered Duty Unpaid (DDU) is an International commercial term (incoterm) which means the seller delivers to the buyer without clearing for importation. The seller does not pay or bear any risks with regard to duties and taxes which will be the responsibility of the buyer.

Direct Contracting             

This is a procurement method where the purchaser buys goods from the Seller directly without any competition. This method is used when the value of item is very small, or there is only one seller due to the propriety nature of the goods.

Goods  or supplies

Means objects of every kind and description including raw materials, products, equipment be it in solid, liquid or gaseous form, electricity, as well as services that are linked to the supply of the goods if the value of those services does not exceed that of the goods themselves.  


means providing any kind of enjoyment but not limited to food, drink, games or convenience such     as transport, accommodation;


Means   moral   principles   or  values   which   guide   a  person's behavior  especially in all aspects  of his/her  work;

Ethical  behavior 

Encompasses the concepts  of  honesty, integrity, diligence, fairness, trust and respect;


means  the  intentional, false  representation or concealment of a material  fact  for the purpose  of inducing  or influencing  another  to act up on it to his/her  detriment;

Fraudulent Practices

refer to any act of lying, providing misinformation, including collusive practices among bidders aiming at influencing the procuring entity to making wrong  decisions or to giving room for poor execution of the contract;

Framework agreement

A contractual arrangement between a procuring entity and one or a bigger number of bidders which allows the procuring entity to procure works, services or supplies that are needed continuously or repeatedly at an agreed price over a period of  time, through the placement of a number of orders


means  anything   that  has  monetary value,   received   without   the need for compensation;


means  the  friendly   and  generous   treatment  of  guests  or strangers;


means  the  use  of funds,  resources,  assets,  and  authority, according  to  the  intended  official  purposes,  to  be  used  in  line with public interest. In principle, integrity imposes an obligation to be straightforward and honest  in professional  and business  relationships including fair dealing and truthfulness;

Invitation to bid( request for quotations)

Letters with instructions sent to the sellers/suppliers or service providers inviting them  to  submit  their  price  quotations  to  compete  for  the supply  of goods or services.


Refers  to the fact of facilitating  by whatever  means,  the justification   of the  source  of property  and  revenue  as well  as profit obtained by  the  author  of an  offence  provided  for by  laws.  Equally constituting   "laundering"   is  the   fact   of  lending   support   by   safe guarding,  concealing   or  converting   by  direct  or  indirect  means,  a product that is a result of an offence provided for by this code;

LCS (Least Cost Selection)

Least Cost Selection is a consultant selection method where you establish a minimum qualifying mark for quality and the consultant offering the lowest price amongst the consultants scoring the quality’s minimum qualifying mark and above is selected.


Minister in charge of Public procurement


A mis-procurement occurs   when   procurement procedures   have not been followed by the procuring entity or its project component and expenses are incurred.

National Competitive Bidding (NCB)


National Competitive Bidding   is a procurement   method where the purchaser advertises locally in a newspaper with a wide circulation, can ask bids to be in local currency only and bid document can be in national language. The method is suitable when interest from foreign bidders is unlikely and when there is adequate local capacity

National Shopping Method

In this method, the purchaser sends written invitations for quotations for goods or services to at least three bidders and based on the prices quoted and quality of the goods, awards a contract to the bidder with the lowest evaluated quotation from at least three quotations offering the goods or services requested.

Obstructive practices

Destroying, falsifying, altering or concealing of evidence material to the investigation or making false statements to investigators deliberately in order to materially impede investigations into allegations of a corrupt, coercive or collusive practice; and/or threatening, harassing or intimidating any party to prevent him/her from disclosing his/her knowledge of matters relevant to the investigation or from pursuing the investigations

Performance security         

“Performance security” means any guarantee by  a  bank or  any  other relevant institution established to

guarantee the procuring entity that in case the contract is not performed, be it technically or at the level of deadlines, the procuring entity would receive the amount provided for such a guarantee;

Procurement audit              

In  a  procurement  audit,  the  procuring  entity  records  are  checked  to  see  if appropriate procurement procedures have been followed. In this audit, the procuring entity will need to produce all documents related to procurement and these documents may include advertisement copies, invitations to bid, bidding documents, bid evaluations, bids, contracts, delivery notes, shipping documents, progress certificates, completion certificates, receipts, cashbook and payment vouchers.

Professional Secrecy  

refers   to   a   confidentiality    obligation    of becoming  the  depositary  of a secret  or facts of which  someone   has personal knowledge  or which came to his/her   knowledge  by virtue of his/her duties;

Public Procurement

Refers to the supplies or goods, works, consultant services and other services as they may be needed by a procuring entity;

Public Agent

is  a person  who  is  authorized  to act  on behalf of the procuring entity in procurement process;

Procuring entity                 

Procuring   entity   means   Central   Government   authority,   Local   Government authority, public institution, commission, Government project, parastatal, agency, or any specialized institution engaged in procurement process and entering in contract with the successful bidder.


The Procuring Entity is a purchaser of goods, works and consultant services

QBS(Quality Based Selection)


This is a consultant selection method where you   invite and receive technical proposals from consultants and only quality is considered in selecting the consultant to provide the services. The cost is negotiated with the selected consultant.

QCBS(Quality and Cost Based Selection)

This is a consultant selection method where you invite and receive technical and financial proposals from consultants and both quality and cost are considered in selecting the consultant to provide the services.

Seller or bidder                    

The supplier of goods or the service provider of services is a seller or a bidder


Refers to any services other than consultant services


SBCQ(Selection Based on Consultant’s Qualifications)

This is a consultant selection method where the consultant firm is selected based on the consultant’s qualifications and experience.

SSS(Single Source Selection)

This is a consultant selection method where you approach or select one consultant to undertake an assignment without any competition.

Successful bidder               

Successful  bidder  means  a  bidder  whose  offer  has  been  accepted  after  being considered the most competitive both technically and financially. It also refers to one who has concluded a procurement contract with a procuring entity without having been subject to tendering proceedings

Technical Specifications    

Technical specifications mean the detailed description of technical characteristics of goods or works or non-consultant services.

Tender committee              

Tender Committee means a committee established by the procuring entity to assist the Procurement Unit, in the bid opening, evaluation and recommend for award

Of procurement contracts.

Terms of reference             

Terms of reference means the document prepared by the procuring entity defining the requirements for an assignment and means to be made available, concerns to be taken into account as well as the expected results.


Mean all activities related to the realization of building or engineering works upon the request by the client.