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Local govt procurement processes suspended pending new rules

Local government suspends tenders for works, services and goods pending new procurement rules and a revised rate schedule

Update : 15 Oct 2026, 09:21 PM

The Local Government Division has ordered the suspension of all tendering and procurement processes for works, services and goods until rules are finalized under the amended public procurement ordinance and a new rate schedule is published.

The directive was issued on Thursday by the division’s Administration-1 branch. A letter signed by Senior Assistant Secretary ABM Ariful Islam was sent to officials of city corporations, municipalities, district councils and upazila parishads across the country.

According to the letter, all tenders and procurement processes involving works, services and the supply of goods must remain suspended until the rules under the Public Procurement (Amendment) Ordinance, 2026, are finalized and a new rate schedule is published.

The letter also instructed the authorities concerned to maintain the suspension until further directives are issued.

The directive was sent to chief executive officers of city corporations, municipal administrators, chief executive officers of district councils and administrators of upazila parishads.

Copies of the letter were also sent to the Local Government Engineering Department (LGED), the Department of Public Health Engineering and other relevant agencies.

The suspension is expected to affect new tenders and procurement processes for development works, services and goods undertaken by local government institutions.

However, the letter does not provide separate instructions for projects for which work orders have already been issued or those currently under implementation. It also does not specify a timeline for finalising the rules under the amended ordinance or publishing the new rate schedule.

As a result, the duration of the suspension and the measures applicable to ongoing procurement processes remain unclear.

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