Technical Capabilities before Prices

The importance of technical assessment in evaluating tenders for EDCF project feasibility studies will be adjusted from 80% to 90%.
The importance of technical assessment in evaluating tenders for EDCF project feasibility studies will be adjusted from 80% to 90%.

The Export-Import Bank of Korea is planning to place more importance on technical assessment in screening tenders for feasibility studies on projects to be financed by the Economic Development Cooperation Fund (EDCF).

The bank said on May 31 that it would increase the importance of technical assessment from 80% to 90% in evaluating tenders of feasibility studies. As a result, the importance of price assessment will be lowered from 20% to 10%. This change is intended to curb dumping in submitting tenders.

The EDCF was established by the South Korean government in 1987 and the bank has since managed it. The purpose of the fund is to assist in the industrial development and economic stabilization of developing countries and promote economic cooperation between South Korea and them by means of long-term and low-interest international aid loans.

The bank carries out feasibility studies before selecting projects that would be financed by the EDCF. It receives tenders for feasibility studies from domestic engineering companies.
 

The bank expects the reduced importance of bidding prices in the evaluation process will help prevent dumping and improve the quality of the chosen feasibility studies.

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