Million-Dinar Tender Without Prior Approval

A decree-law numbered 94 of 2026, amending certain provisions of Law No. 49 of 2016 concerning public tenders, was officially published in the “Kuwait Today” newspaper. The amendment aims to streamline procedures, address difficulties and issues revealed by practical implementation, and enhance the flexibility of relevant authorities to ensure that procurement and tendering processes are carried out swiftly, efficiently, transparently, and fairly. The new decree-law reorganizes a number of provisions related to the powers of public authorities, procurement mechanisms in the oil sector, small and medium-sized enterprises (SMEs), priority for local products, and appeals.

Article 19, Item 1, was amended to raise the maximum contract value that public authorities may conclude without approval from the Authority to one million Kuwaiti dinars. The contract value will be subject to review by a Cabinet decision, allowing greater flexibility in adjusting this value, either upward or downward, based on a recommendation from the Authority’s Board of Directors. The reference to coordination with the National Fund for the Care and Development of Small and Medium-Sized Enterprises, which was included in this article, was deleted.

Article 31 prohibits the use of local agents or commission agents in all contracting procedures, in accordance with rules determined by the Cabinet upon the proposal of the competent Minister, after coordination with relevant authorities.

The amendment also revised Items 1 and 2 of Article 39, separating design work from construction work and permitting their combination on an exceptional basis when the nature of the work so requires. Additionally, the exemption for small and medium-sized enterprise owners from fees for obtaining tender documents was abolished.