August 8, 2020

PPRA Rules Query on Procurement Procedures

Client Query 052:- Hello, hope everything is well at your end. Wanted a clarification over one thing from the expertise of your firm. We are under a holding company who owns our 100% shares. Now we intent to buy product from our holding company. The PPRA rules are applicable on both of us, i.e. on our company as well as our holding company. So wanted to confirm that in order to purchase a product from our holding can we buy it directly without going under any tendering process. Your early response in this regard would be appreciated.


Haroon Rashid, New York


Answer:- Thank you very much for writing to us. As per your query the answer to it is as per Section 2 (j, k & l) of PPRA Ordinance, 2002 which provides that:-

(j) “procuring agency” means:-

i. any Ministry, Division, Department or any Office of the Federal Government;

ii. any authority, corporation, body or organization established by or under a Federal law or which is owned or controlled by the Federal Government;

(k) “Public Fund” means the Federal Consolidated Fund and the Public Account of the Federation and includes funds of enterprises which are owned or controlled by the Federal Government;

(l) “public procurement” means acquisition of goods, services or construction of any works financed wholly or partly out of the Public Fund, unless excluded otherwise by the Federal Government;

If you wish to inquire anything else you may set up an appointment with our extremely competent team of lawyers and visit our office which is located at GF-13, Tower A, The Centaurus, Islamabad, Pakistan.

You can also reach us at 0092-300-5075993

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