The Commitment to Invest in the Algerian Public Procurement Code

Abstract

The Algerian legislator introduced the condition of commitment to invest for the first time under Article 24 of the canceled Public Procurement Code of 2010, and reintroduced it in Article 84 of the Public Procurement and Public Service Delegations Code of 2015. The investment commitment condition is directed to foreign bidders and excludes national ones, and obliges them to commit to establishing an investment within the framework of an Algerian partnership and in the same transaction activity.

The Algerian legislator aims, through this condition, to exercise control over foreign companies since their bid until the execution of the investment object of the commitment. In addition, the legislator aims to promoting the national economy by obliging foreign bidding companies to involve national companies in the implementation of investment object of commitment. This will lead to the promotion of the national tool for the production and promotion of national production.