International Procurement Guideline
Chapter 1. Introduction
Article 1. Purpose
The purpose of this Guideline is to provide for the matters regarding the procurement and contracting
activities conducted by Korea International Cooperation Agency(hereinafter referred to as “KOICA”)
according to the Article 42 of KOICA regulations and implementing rules on procurement and
contracting in respect of the Foreign Grant Assistance Program, thereby carrying out its project in a
proper and efficient manner.
Article 2. Definition
In this Guideline, the following terms shall have the meaning set forth below:
1. The "International Bidding" means a bid to supply goods, construction of works or services in
which domestic residents or foreigners may participate, and shall include a Contract ad libitum.
2. The "Open Competitive Bidding" means a bid which any person with qualifications may submit.
3. The "Limited Competitive Bidding" means a bid in which such persons as designated by KOICA
may participate.
4. The "Contract ad libitum" means an agreement in which the counterparty is determined by KOICA
not by means of a competitive bid.
5. The “Headquarter Contracting” means the tender invited by KOICA Head Office.
6. The “Overseas Office Contracting” means the tender invited by any of KOICA Overseas Offices.
7. The “Host Country Contracting" means the direct execution of contracts by a Host Country, using
its own procurement system.
Article 3. Principle
KOICA shall select the counterparty on a fair and impartial basis to enter into the agreement under
this Guideline, and shall not provide any information regarding the procurement in a discriminating
manner.
Article 4. Sorts of Contract Subject and Selection of Contracting Methods
(1) The agreement governed by this Guideline shall be either a contract to be executed by KOICA or a
contract to be executed by an agency of the Host Country while a contract to be executed by KOICA
shall be either the Headquarter Contracting or the Overseas Office Contracting.
(2) The contract governed by this Guideline shall be, in principle, by means of the Headquarter
Contracting; provided, however, that the Overseas Office Contracting or the Host Country
Contracting method may apply if:
1. It is unlikely to attain the procurement objectives by means of the bidding conducted only by
domestic enterprises;
2. Since the tender period is too short, it is difficult to select the concessionaire within the given time
frame if the bidding is conducted domestically;
3. It is deemed that the cost of procurement through domestic enterprises are materially higher than
that through local enterprises in the Host Country;
4. It is deemed that the bidding conducted by domestic enterprises is almost impossible, owing to such
specific conditions of the Host Country as public security condition and applicable law;
5. Wars, disasters or other unusual circumstances require the experiences, etc. gained by enterprises
with a market presence in the Host Country; or
6. It is deemed efficient, in terms of the goal and nature of the contract regarding how to enhance the
master's consciousness in the Host Country, to procure by means of the Overseas Office Contracting
method or the Host Country Contracting method.
(3) In case of employing the Host Country Contracting method, it shall be evaluated whether the Host
Country has the procurement capability to carry out the contract in question properly.
Article 5. Sorts of Contracting Methods
The contracts by means of International Bidding shall be concluded on the basis of the Open
Competitive Bidding, Limited Competitive Bidding or ad libitum.
Article 6. Scope of Application of International Bidding
The following contracts shall be subject to International Bidding:
1. In case of projects for providing support to least developed countries(“LDCs”) and heavily
indebted poor countries(“HIPCs”), the contract in which the estimated tender price of the goods or
construction of infrastructure in question is SDR700,000(equivalent to US$ one million) or more, or
the estimated price of the service in question is SDR130,000(equivalent to US$ 180,000) or more; or
2. The contract in which it is otherwise deemed efficient, in terms of the goal and nature of the
contract in question, to procure by means of International Bidding.
Chapter 2. Headquarter Contracting
Section 1. Selection of Contracting Method
Article 7. Selection of Contracting Method
(1) The contracting method shall, in principle, be Open Competitive Bidding; provided, however, that
it may, if necessary in view of the goal, nature, size, etc. of the contract, be based upon the Limited
Competitive Bidding or by means of a Contract ad libitum.
(2) The Limited Competitive Bidding stated in Paragraph 1 shall apply if:
1. The purpose of the contract cannot be achieved with other counterparty than the person who is
capable of specific equipment, technology, materials, goods or working results in view of the nature
or goal of the contract, and the proposed participants in the bidding are less than 10 persons;
2. The estimated price of contract for manufacturing goods is 100,000,000 won or less, for
construction 300,000,000 won or less, and for construction of specialized works 100,000,000 won or
less; or
3. The estimated price of contract for construction is 50,000,000 won or less, or contracts for other
than sub-contracting of manufacturing goods or rental of properties are entered into.
(3) The Contract ad libitum stated in Paragraph 1 shall apply if:
1. After a competitive bidding was announced two times, only one supplier has made a bid, no
supplier has made a bid, or no bid has met the requirements of the bidding notice, etc.;
2. In case of the project executed for more than one fiscal year, a contract is made with an entity,
which has completed successfully for the previous year or stage, for the project of the next year or
stage;
3. The subject item may not be procured by means of the competitive bidding because of necessity
by the time when it is needed;
4. The subject item is procured to replace parts or components or to expand facilities which were
procured already (only in case the item turns incompatible if it is not procured from a certain
manufacturer or supplier);
5. The Host Country government or the international organization designates specific product of a
certain brand, supplier or service provider of goods or services through overseas Korean
Embassies;<Omitted, Apr. 28, 2011>
6. It is necessary to enter into a contract with the person who performs the previous construction
because it causes technical or economical difficulties or substantial inconvenience to KOICA to
conduct separately the additional construction in case it becomes necessary to conduct additional
construction due to unexpected reasons while the contract has been already concluded, and the
estimate amount of the additional construction is not more than 50% of the contractual amount of the
previous construction;
7. The subject item or part is additionally procured with the remainder of the project budget as a
result of bidding for procurement of the same item; or
8. It is deemed that no other supplier can compete with a specific provider because of its exclusive
technology and services or its unique location, structure, quality, effectiveness and/or efficiency in
providing the subject item;<Newly inserted, Apr. 28, 2011>
9. It is inevitable to apply the Contract ad libitum in light of the purpose and/or characteristics of the
Contract.<Newly inserted, Apr. 28, 2011>
Article 8. Two-phased Competitive Bidding
(1) For a contract to manufacture, purchase goods, construct works or to procure consultant services,
if deemed necessary in view of the difficulty in establishing appropriate specifications, etc. of such
goods in advance or the special characteristics of the contract, quotation bidding may be implemented
right after specification or technique bidding.
(2) In case of Paragraph 1, only those who have been recognized qualified as a result of opening
specification proposals or technical proposals shall be entitled to participate in quotation bidding.
(3) Notwithstanding the provisions of Paragraphs 1 and 2, if deemed necessary in view of the special
characteristics, etc. of the contract, specification and quotation bidding, or technique and quotation
bidding may be implemented at the same time. In such a case, only those who have been recognized
qualified as a result of opening specification proposals or technical proposals shall be allowed to open
quotation tenders.
(4) Where the bidding stated in Paragraphs 1 through 3 is to be implemented, the criteria and
procedures shall be established before the bidding, and shall be made available for inspection by those
persons who intend to participate in the bidding.
(5) In case a successful bidder has not been selected as a result of opening quotation tenders pursuant
to Paragraph 3, and more than two (2) bidders are recognized qualified in specification or technique,
those bidders as recognized qualified in specification or technique may be allowed to submit their
own quotation tenders again.
Article 9. Conclusion of Contract by Negotiation
(1) If deemed necessary in view of the special characteristics, technique and urgency of the
performance of a contract, the safety of public facilities and other purpose such as national security
and so forth, the KOICA contracting officer may conclude a contract for the procurement of goods,
construction of works or services by negotiation with a person deemed to be most favorable to
KOICA after evaluating the written proposals submitted by a number of suppliers.
(2) The KOICA contracting officer, when intending to conclude a contract pursuant to Paragraph 1,
shall state clearly that the contract is a contract by negotiation at the time of the public notice.
(3) The KOICA contracting officer shall issue and deliver the necessary documents such as a written
invitation to bidders, etc. to a person who intends to participate in a contract by negotiation.
(4) The KOICA contracting officer shall establish the criteria and procedures necessary for concluding
a contract pursuant to Paragraph 1, and shall make them available for inspection by those persons who
intend to participate in a contract by negotiation.
Section 2. Bidding Procedure
Article 10. Bidding Notice
(1) Each and all competitive biddings except the Contract ad libitum are subject to the bidding notice.
Such bidding notices shall, in principle, be given 40 days prior to the day immediately preceding the
deadline for the submission of bids; provided, however, that such required time frame for bidding
notices may be shortened, if necessary when it is deemed impossible to procure the subject matter of
the contract in time, or in case of emergency.
(2) The bidding notice shall include the following information:
1. The subject matter of the contract in question, the name and address of the employer;
2. Information on qualifications, registration as a bidder and deadline for submission of bidding
documents;
3. Information on bid security, the period of maintenance liability, etc.; and
4. Other information that is deemed necessary, including a summary of the main terms and conditions
of bidding.
(3) When making public the bidding notices, the following information shall be contained in addition
to the particulars in Paragraph 2:
1. Information on whether the method or the procedures of the Open Competitive Bidding or the
Limited Competitive Bidding are included; and
2. Address to which the application for tender participation and the bid shall be submitted, the
deadline and the language to be used.
Article 11. Registration of KOICA Supplier
A person who intends to participate in Headquarter Contracting shall register as a KOICA's
procurement supplier directly through the KOICA Electronic Procurement System, or, either visit the
KOICA Head Office and submit, send by mail or transmit electronically, the relevant documents to
KOICA after filling in the procurement supplier registration form in English, as posted in the KOICA
Electronic Procurement System.
Article 12. Qualification of Open Competitive Bidding Participant
(1) When it is deemed necessary, in view of the kind and size of contract, such qualifications as
required to the participant in Open Competitive Bidding may be established with respect to the
matters of the same kind of contract performance results, maximum contractual limit,
construction/manufacturing capacity, technological capacity, managerial competence, etc.
(2) In case any person who intends to participate in Open Competitive Bidding applies for the bidding,
KOICA shall review the person’s qualification for the tender participation and any probable
disqualification, and give notice of the result thereof.
(3) The KOICA contracting officer shall not place restrictions on participation in bidding, by
prescribing other requirement than qualifications to participate in Open Competitive Bidding pursuant
to Paragraph 1.
Article 13. Application for Participating in Bidding
(1) A person who intends to participate in bidding shall submit the following documents to the
KOICA Head Office no later than the deadline for the bidding, as stated in the bidding notice or the
invitation to bidders:
1. One copy of application for tender participation (in the prescribed form);
2. One set of documents supporting his/her qualification requirements for bidding;
3. Each copy of official seal certificate and notified seal for the transaction (As for the notified seal of
the leader of a joint venture for the transaction, they may be replaced by the same seal as affixed on
the application for tender participation, and for a foreign enterprise, they may be replaced by a
specimen signature certificate and notified signature for the transaction which shall have been duly
confirmed by a Korean consul or a notary public); and
4. Any other documents required in the public notice or notification.
(2) In case of the documents referred to in Subparagraph 2 of Paragraph 1, the original thereof shall be
presented or, otherwise, a copy thereof shall be submitted, stating it is a true and correct copy of the
original and bearing a seal (the same seal as shown in official seal certificate or affixed on the
application for tender participation) or signature (the same signature as shown on the specimen
signature certificate or affixed on the application for tender participation).
(3) The application for tender participation and other documents submitted pursuant to Paragraph 1
shall not be modified except such minor things as typographical errors.
(4) If a representative is designated when submitting a application for tender participation, the
representative may also participate in the bidding; provided, however, that, if a bidding representative
is designated or replaced for a period from the time of submitting such a application for tender
participation till just prior to opening tenders, the representative so designated or replaced shall be
entitled to participate in the bidding.
Article 14. Bidding-related Documents
(1) A person who intends to participate in bidding may peruse the documents listed below (hereinafter
referred to as the "Bidding-related Documents").
1. Bidding notice or the invitation to bidders;
2. Instructions on the international bidding;
3. Application for tender participation (in the prescribed form);
4. Bid (in the prescribed form);
5. International contract (in the standard form);
6. General Conditions of Contract;
7. Special Conditions of Contract;
8. Bid Security (in the prescribed form); and
9. Other documents stating relevant references.
(2) In delivering the Bidding-related Documents referred to in Paragraph 1, KOICA may demand that
the amount prescribed by the bidding notice or otherwise shall be paid. In such a case, a person who
intends to participate in the tender shall observe such request.
Article 15. Awareness of Relevant Rules, etc.
(1) A person who intends to participate in bidding shall, prior to the bidding, become fully aware of
the rules regarding bidding and the Bidding-related Documents referred to in Paragraph 1 Article 14.
(2) A person who intends to participate in bidding may require KOICA to explain, by the day
preceding the deadline for submission of bidding documents, as to mistakes, omissions and/or other
items requiring explanations that he/she may find in the Bidding-related Documents while reviewing
them pursuant to Paragraph 1.
Article 16. Bid Security
(1) A person who intends to participate in bidding shall provide KOICA with a bid security in an
amount of no less than five (5) percent of his/her bidding quotations, either in cash or by a letter of
guarantee, etc. issued by a bank, finance company or insurance company with a credit rating of single
A or above assessed by an internationally-recognized credit rating agency, no later than the deadline
for submission of bidding documents (if the deadline falls on a holiday, the preceding day).
(2) If the successful bidder fails to enter into the contract within the prescribed period of time, the bid
security deposited by the bidder shall be reverted to KOICA.
(3) The bid security deposited by an unsuccessful bidder shall be immediately returned to him/her,
upon selection of the successful bidder; provided, however, that the bid security deposited by the
successful bidder shall be immediately returned to him/her following the execution of the contract.
(4) The guarantee period covered by the bid security in a form of a letter of guarantee, etc. under
Paragraph 1 shall begin prior to the deadline for submission of bid, then expiring at least 30 days after
the said deadline.
Article 17. Preparation of Bid
(1) The bid shall be prepared in the prescribed form with the bidding quotations being stated in a lump
sum price in case of a lump sum bidding, or in unit price in case of a unit price bidding.
(2) When executing the bid, the bidder shall enter his/her name (in case of a corporation, the name of
its representative director), and affix the seal or signature on such a document using the same seal or
signature which he/she has given notice of when submitting the application for tender participation.
(3) If there is any deletion or correction made of entries in bidding documents, the bidder shall affix
the same seal or signature to such deletion and correction as used in the bidding.
Article 18. Submission of Bid
(1) The bid shall be submitted with its envelope properly sealed, on the basis of one set per person.
(2) The bidder shall submit the bid at the designated time/date and venue of bidding at the request of
the officer in charge of bidding; provided, however, that the same shall not apply where the bidding
notice permits the bidding by mail.
(3) The bid submitted by mail shall be accepted as valid only when they have arrived no later than the
day immediately preceding the deadline for submission thereof. In such a case, KOICA shall not be
responsible for the loss or damage thereof in transit, or a delayed delivery thereof.
(4) A person who intends to submit the bid by mail pursuant to Paragraph 2 shall write the name of the
bidding project, time/date of bidding, name of the company and its representative, contact person and
telephone number of easy connection on the cover of the envelope of the bid.
(5) When the bid has been submitted by mail pursuant to Paragraph 2, the KOICA's contracting
officer shall record the time/date of receipt thereof on the surface of the envelope of the bid, putting a
receipt stamp on it, and keep the envelope unopened until the official opening of tenders.
(6) No bidder may replace, modify or cancel the bid already submitted; provided, however, that a
bidder may be allowed to withdraw his/her bid if the bidder expresses their intent to do so at the very
time and venue of opening tenders on grounds that there are certain significant errors in the entries
made therein and KOICA accepts it; further provided that a bidder may be allowed to modify and resubmit his/her technique or specification bidding document, where, upon opening technical proposals
or specification proposals in case of a two-phased competitive bidding, no bidders are found to have
met the requirements, or a bidder is determined by KOICA to meet such technique or specification
requirements subject to supplementing some minor technique or specification items thereof.
Article 19. Deadline for Submission of Documents
(1) Bidding-related documents supporting bidder's qualifications for participation in the bidding, etc.
shall be submitted until the end of the working hours on the deadline for submission prescribed by the
bidding notice or the invitation to bidders.
(2) When the bidding notice or the invitation to bidders provides that the said deadline for submission
be the date immediately preceding the date of the deadline for submission of bids or opening tenders
and the said preceding day falls on a Sunday or public holiday, such period shall be deemed to end on
the day two days prior to the date of the deadline for submission of bids or opening tenders.
Article 20. Bidder's Obligation of Fair Competition
(1) Bidders shall not engage any unfair trade practices, including having agreed upon their respective
bidding quotations prior to bidding or assisting a specific person in being awarded the contract.
(2) If a bidder has breached such obligation set forth in Paragraph 1, KOICA may take proper
measures against him/her including the nullification of his/her bid pursuant to Article 22 and making a
request for investigation to the Korea Fair Trade Commission.
Article 21. Constitution of Open Competitive Bidding
(1) Bids validly made by two or more persons shall constitute the effective Open Competitive Bidding.
(2) Where bids are invited separately in terms of technique or specifications, and quotations pursuant
to Paragraph 3 Article 8, KOICA's contracting officer may, upon opening tenders of technique bidding
or specification bidding deemed as the effective competitive bidding made by two or more persons,
open quotation bids even if it is finally determined that only one bidder has met the required
specifications.
Article 22. Nullification of Bids
Bids falling under any of the followings may be subject to nullification:
1. Bids made by those who are disqualified from making a bid due to absence from the pre-bidding
conference or otherwise;
2. Bids made by persons having no proxy;
3. Bids made by those who fail to submit such documents, etc. as required in the bidding notice, at
such time and in such place as designated therein;
4. Bids made by those who have submitted two or more bids regarding the same subject matter or
made a bid on behalf of a third party;
5. The essential part of the bid, including the bidding quotations, is not stated clearly or has omitted
any correction stamp or signature following correction;
6. Bids made by those who have quoted pre-concerted prices, prevented other person from
participating in competition, or obstructed the performance of official duties by KOICA personnel
concerned;
7. Bids made with no seal or signature affixed by bidders (including bids are not sealed or signed
using the same seal or specimen signature as shown in the application for tender participation);
8. Bids made in which the bidders concerned have expressed their respective intent to withdraw on the
scene of opening tenders on grounds that there are certain significant errors in the entries made therein
and such withdrawals have been accepted by the KOICA's contracting officer;
9. Bids made in which the bid fails to accompany quotations (or price schedules), where bids
submitted are required to accompany the same; bids in which the bidding quotation shown on the bids
is inconsistent with that stated on the quotations (or price schedules); or bids the content of which is
inconsistent with the specifications, etc. set out in the quotations;
10. Bids made without having deposited a bid security as prescribed, on or before the date set for
depositing the bid security.
11. Bids made with which such documents as required for examining bidder's qualifications, or
evaluating and screening bidder's capabilities to carry out the project have not been submitted; or
12. Bids made in which the bids are prepared without using the prescribed forms in breach of Article
17; the quotations shown on the bids are stated in Arabic numerals only; the tender form in a
computerized format is damaged or prepared differently from the prescribed method by the computer
system and, as a result thereof, is not processed by the computer system.
Article 23. Postponement of Tender Time/Date
(1) KOICA may postpone the time/date of deadline for submission of bids set forth in the bidding
notice or invitation to bidders, if:
1. The content of items requiring explanations pursuant to Paragraph 2 Article 15 are so material that
it is deemed inevitable to postpone such time/date; or
2. It is impossible to conduct bidding or opening tenders at such time/date as originally designated
owing to other unavoidable causes;
(2) When the tender time/date is postponed pursuant to the Paragraph 1, public notice or notification
shall be given of the reason and duration of such postponement in the same manner as for the initial
notice.
Article 24. Cancellation of Tender
(1) KOICA may cancel a tender if an unavoidable cause, including unavailability of KOICA's budgets
and changes in its business plan, takes place before the selection and notification of the successful
bidder.
(2) No bidder shall raise an objection to such measures taken pursuant to Paragraph 1, nor make a
claim for damages resulting therefrom.
Article 25. Re-bidding and Bidding via Another Public Notice
(1) If two or more valid bidders are not available nor any successful bidder is selected in a
competitive bidding, the KOICA's contracting officer may conduct another bidding at the same venue
regarding the same subject matter. In such a case, there shall apply no restrictions on the number of
bidders or bidding.
(2) In case no bidders have participated in a bidding or no successful bidder is selected, or the
successful bidder fails to execute the contract, another bidding may be invited by giving public notice
thereof.
(3) Where bids are invited separately in terms of technique or specifications, and quotations pursuant
to Paragraph 3 Article 8 and, then, two or more bidders have met the technique or specification
requirements, the KOICA's contracting officer may cause such bidders having met such requirements
to re-submit their quotation bids if, upon the official opening of quotation bids, the successful bidder
cannot be selected.
(4) In case of a re-bidding or bidding via another public notice conducted pursuant to Paragraphs 1
through 3, such price and other conditions as determined at the time of inviting the initial bidding
shall not be modified, except for the deadline.
Article 25.2. (Public Notice Amendment)<Newly inserted, Apr. , 2011>
(1) The KOICA contracting officer shall issue a public notice of amendment immediately when there
is a change in the previous bidding notice, using the same method as the previous notice.
(2) In the case of Paragraph 1, when a pre-bidding conference is held and a change to the bidding
notice is announced on site based on an agreement among the participants, an amended public notice
may not be made. If such a change is made after the pre-bidding conference, however, the KOICA
contracting officer shall immediately notify all participants of the amendment.
Article 26. Opening of Tenders
The official opening of tenders shall be conducted at such place and time/date as specified in the
bidding notice, and such opening of tenders may be attended by bidders or their representatives who
intend to do so. In such a case, the KOICA's officer responsible for conducting such bidding may
request each of those intending to attend the opening of tenders to present his/her identification and
certificate for registration as a bidder.
Section 3. Selection of Successful Bidder and Execution of Contract
Article 27. Selection of Successful Bidder
A successful bidder in the Open Competitive Bidding shall be selected by any of the following criteria:
1. A bidder who is acknowledged to be able to perform the contract and who quoted the lowest price
below the projected price;
2. A bidder who made the most favorable to KOICA in accordance with the assessment standard
stated in the bidding notice or the invitation to bidders; or
3. A bidder who made a bid that best fits to the standard specified in the special criteria established by
KOICA taking into account the nature or size of the contract.
Article 28. Execution of Contract
(1) Within seven(7) days of receipt of the notice of award, the successful bidder shall submit to
KOICA the required documents in the prescribed form and a statement showing schedules of the price
based on which the contract was awarded (hereinafter referred to as the "Price Schedules") and shall
then execute the contract within ten (10) days thereafter.
(2) In case of Paragraph 1, if the successful bidder is prevented from executing the contract due to
force majeure, the duration of such force majeure shall not be counted.
(3) A person, who intends to execute a contract with KOICA pursuant to Paragraph 1, shall submit to
the KOICA's contracting officer such necessary relevant documents as required by applicable law.
(4) In case of a contract for the manufacturing of goods on a long-term basis, the contract with the
successful bidder shall be executed with respect to the first phase of manufacturing thereof within the
scope of the then current year budget, while the contract price, as awarded, for the total quantity of
goods to be manufactured ("Total Contract Price as awarded") shall also be additionally stated in the
said contract. In such a case, it shall be stipulated with fixed conditions to the contract that the
contract covering the second phase of manufacturing and thereafter shall be entered into to the extent
of not exceeding the Total Contract Price as awarded, which means the adjusted total contract price if
the Total Contract Price as awarded is adjusted in due course, minus the portion of the contract then
already executed.
(5) The contract price for the manufacture of goods, following the first phase of manufacturing thereof
pursuant to Paragraph 4 shall be based on the unit prices contracted for the manufacture of the total
quantity of goods. In such a case, if any of the unit prices shown in the Goods Supply Schedule is
subject to adjustment as a result of adjustment of the contract price or otherwise, the unit prices so
adjusted shall apply.
(6) The contract shall be finally concluded when it is prepared and the successful bidder and the
KOICA's contracting officer affix their respective seal or signature to the contract.
Section 4. Special Provisions for Limited Competitive Bidding
Article 29. Limited Competitive Bidding
(1) In case KOICA puts in Limited Competitive Bidding, it shall determine the qualification and the
criteria of designation of participants in the Limited Competitive Bidding.
(2) When KOICA designates the participant for the Limited Competitive Bidding, it shall designate
the candidate subject to the following standard by ensuring the principle of fair competition:
1. In case of construction, contractors with good credit standing, operation results and managerial
competence are eligible; provided, however, that, if the possession of special equipment and
technology is required, the possessor thereof shall be designated; or
2. In case of manufacturing, purchase of goods and so forth, if the nature or goal of a contract in
question makes it necessary for the possessor of special technology, machinery, production facilities,
etc. to perform the contract, the possessor thereof shall be designated.
Article 30. Designation of Participants in Limited Competitive Bidding
If KOICA puts in Limited Competitive Bidding, it shall designate the persons who are acknowledged
fit and proper for designation standard among those as qualified pursuant to Article 12, and
simultaneously notify the designated persons of the matters relating to the bidding notice.
Article 31. Application Mutatis Mutandis of Provisions Regarding Open Competitive Bidding
Articles 10 through 28 shall, except otherwise provided in this Section, apply mutatis mutandis to the
Limited Competitive Bidding.
Section 5. Language and Application of International Commercial Practices
Article 32. Language to Be Used
(1) The language used in the International Bidding shall, in principle, be Korean; provided, however,
that, when it is deemed inevitable to use a foreign language because the location of suppliers of goods,
etc. to be purchased are limited to a specific area, either the language of the specific country or
English may be used.
(2) The bidding notice shall be made in English as well as in Korean, and the Bidding-related
Documents stated in Article 14 may be provided in English, if necessary.
(3) The quotations shown on the bids shall be in the language used in the bidding notice and Arabic
numerals may be used in parallel. In such a case, should there be discrepancy between the Arabic
numerals and the words, the figure in words shall prevail; provided, however, that the tender form in a
computerized format shall be prepared by the prescribed method.
Article 33. Application of International Commercial Practices
Relevant matters with respect to the conduct of procurement in unavoidable circumstances related
with the methods of payment in terms of currency, types and time of deposit of guarantee, inspection
of the performance of the contract and so forth may be subject to the prevailing international
commercial practices.
Chapter 3. Overseas Office Contracting
Article 34. Registration of KOICA Overseas Office Supplier
A person who intends to participate in the Overseas Office Contracting shall apply for the registration
as a KOICA's procurement supplier by visiting the KOICA Overseas Office and submitting, or
sending by mail or transmitting electronically, the relevant documents to KOICA Overseas Office
after filling in the procurement supplier registration form in English.
Article 35. Designation of Procurement Advisor
(1) When KOICA procures the goods and other materials to support the human resources in the Host
Country, who have been dispatched overseas as a part of the Foreign Grant Assistance Program, it
may designate a procurement advisor.
(2) The procurement advisor stated in Paragraph 1 shall be selected by means of a contract by
negotiation subject to Article 9.
Article 36. Obligation to Report
The head of relevant KOICA Overseas Office shall promptly report on the matters of the Overseas
Office Contracting to the general managers of the departments of procurement and overseas projects,
KOICA Head Office, without delay.
Article 37. Application Mutatis Mutandis
Articles 7 through 33 shall, except otherwise provided in this Chapter, apply mutatis mutandis to the
overseas competitive contracting.
Chapter 4. Host Country Contracting
Article 38. Scope of Application
(1) This chapter shall apply to the contracts entered into between KOICA and a Host Country subject
to the latter's own procurement system, using KOICA’s foreign grant assistance funds.
(2) The provisions of this chapter shall be incorporated into the agreement to be executed by and
between KOICA and such Host Country, which country shall comply with the provisions of this
chapter.
(3) In principle, the legal arrangements and other relations between such Host Country and the
concessionaire shall be subject to the laws of the Host Country and the agreement(s) executed by and
between the Host Country and the concessionaire.
Article 39. Principle
The competent agency or organization of a Host Country (hereinafter referred to as the "Host
Organization") shall select the counterparty of the agreement(s) pursuant to this Guideline in a
transparent and fair manner, and ensure to provide the procurement related information in an
indiscriminating way, the which shall be incorporated into the agreement by and between KOICA and
the Host Organization.
Article 40. Procedure
(1) If it has been decided to employ the Host Country’s procurement system, the Host Organization
shall conduct the bidding and thereafter prior to selecting the successful bidder(s) provide the
information on the said bidding to the general manager of procurement department, KOICA Head
Office.
(2) The Host Organization shall select the successful bidder subject to the approval of the general
manager of procurement department, KOICA Head Office.
(3) If it is deemed necessary to change the material part of the contract after the successful bidder has
been selected by the Host Organization, it shall be approved by the general manager of procurement
department, KOICA Head Office.
(4) Should the Host Organization fail to comply with the provisions of this Chapter, provide
inaccurate information related to bidding or change the material part of the contract without obtaining
approval from the general manager of procurement department, KOICA Head Office, KOICA may
suspend or cancel the foreign grant assistance to the Host Country.
Article 41. Contracting Method
(1) The Host Country Contracting shall be conducted on the basis of the Open Competitive Bidding,
Limited Competitive Bidding or Contract ad libitum.
(2) In principle, the Open Competitive Bidding shall apply to all contracts, and any other contracting
method shall be approved by the general manager of procurement department, KOICA Head Office.
(3) In employing the International Bidding, the provisions of Articles 7 through 33 shall apply mutatis
mutandis.
Article 42. Language to Be Used
(1) The Host Organization may use the local language in relation to contracting and procurement
unless it employes the International Bidding.
(2) When the Host Organization requests the approval of the general manager of procurement
department, KOICA Head Office, pursuant to Paragraphs 2 and 3 Article 40, it shall provide the
information related therewith in English.
INSTRUCTIONS ON THE INTERNATIONAL BIDDING
FOR
THE CONSTRUCTION WORKS
Article 1. Purpose
The purpose of these Instructions is to provide for the matters to which attention should be paid by a
person who intends to participate in bidding for contracts for the construction of works or other
contracts to be conducted by the Korea International Cooperation Agency (hereinafter referred to as
"KOICA") by means of international bidding.
Article 2. Definitions
Unless otherwise provided herein, the terms used in these Instructions shall have the meanings given
to them, respectively, in the KOICA International Procurement Guideline and the General Conditions
of Contract for the Construction of Works (hereinafter referred to as "General Conditions of Contract"
or GCC).
Article 3. Registration of KOICA Supplier
A person who intends to participate in Overseas Office contracting shall visit the KOICA Overseas
Office and submit by hand carried deliver to KOREA Overseas Office
Article 4. Qualifications of Participants in Bidding
(1) A person who intends to participate in bidding shall satisfy the qualification requirements for
bidding pursuant to relevant provisions of the bidding notice or invitation to bidders.
(2) When it is deemed necessary, in view of the kind and size of contract, such qualifications as
required to the participant in a open competitive bidding may be established with respect to the
matters of the same kind of contract performance results, maximum contractual limit, construction
capacity, technological capacity, managerial competence, etc.
Article 5. Application for Participating in Bidding
(1) A person who intends to participate in bidding shall submit the following documents to the
KOICA Cambodia Office no later than the deadline for the bidding, as stated in the bidding notice
or invitation to bidders:




One copy of application for tender participation (in the prescribed form);
One set of a booklet of licenses or other documents supporting his/her qualification
requirements for bidding;
Each copy of official seal certificate and notified seal for the transaction (As for the notified
seal of the leader of a joint venture for the transaction, they may be replaced by the same seal
as affixed on the application for tender participation, and for a foreign enterprise, they may
be replaced by a specimen signature certificate and notified signature for the transaction
which shall have been duly confirmed by a Korean consul or a notary public); and
Any other documents required in the public notice or notification.
(2) In case of the documents referred to in Subparagraph 2 of Paragraph 1, the original thereof shall be
presented or, otherwise, a copy thereof shall be submitted, stating it is a true and correct copy of
the original and bearing a seal (the same seal as shown in official seal certificate or affixed on
the application for tender participation) or signature (the same signature as shown on the specimen
signature certificate or affixed on the application for tender participation).
(3) The documents including the application for tender participation submitted pursuant to Paragraph
1 shall not be modified except the minor things such as typographical errors.
(4) If a representative is designated when submitting a application for tender participation, the
representative may also participate in the bidding; provided, however, that, if a bidding
representative is designated or replaced for a period from the time of submitting such a application
for tender participation till just prior to opening tenders, the representative so designated or
replaced shall be entitled to participate in the bidding.
(5) In case the documents referred to in any of the Subparagraphs of Paragraph 1 have been already
submitted for the pre-qualification (PQ) assessment of bidders, etc., such documents may replace
the required documents, in which case the list of documents already submitted shall be attached
thereto stating that the required documents have been replaced by such documents already
submitted.
Article 6. Bidding-related Documents
(1) A person who intends to participate in bidding may peruse to the documents listed below
(hereinafter referred to as the "Bidding-related Documents"):
1. Bidding notice or invitation to bidders;
2. Instructions on the International Bidding for the Construction Works;
3. Application for tender participation (in the prescribed form);
4. Bid (in the prescribed form);
5. International contract for construction (in the standard form);
6. Technical Specifications
7. Drawings;
8. Bill of quantities;
9. General conditions of contract;
10. Special conditions of contract;
11. Bid security (in the prescribed form); and
12. Other documents stating relevant references.
(2) In delivering the Bidding-related Documents referred to in Paragraph 1, KOICA may request that
the amount prescribed by the bidding notice or otherwise shall be paid. In such a case, a person
who intends to participate in the bidding shall observe such request.
Article 7. Awareness of Relevant Rules, etc.
(1) A person who intends to participate in bidding shall, prior to the bidding, become fully aware of
the rules regarding bidding and the Bidding-related Documents under Paragraph 1 Article 6.
(2) A person who intends to participate in bidding may request KOICA to explain, by the day
preceding the deadline for submission of bidding documents, as to mistakes, omissions and/or
other items requiring explanations that he/she may find in the Bidding-related Documents
while reviewing them pursuant to Paragraph 1.
Article 8. Co-Contracting
(1) If co-contracting is allowed in the bidding of the international construction of works, it shall be
conducted on the basis of joint performance other than allotted performance, and the leading cocontractor shall perform not less than 60 percent of the works.
(2) In case co-contracting is allowed, a person who intends to participate in bidding by forming a joint
venture or consortium shall submit the standard joint venture agreement based on joint performance
in accordance with KOICA Co-Contracting Management Standard (hereinafter referred to as the
"Standard JV Agreement") with the documents referred to in any of Subparagraphs of Paragraph 1
Article 6.
(3) The scope to which co-contracting is allowed shall be subject to the bidding notice and invitation
to bidders.
(4) A joint venture shall not be formed repeatedly for the same bidding.
(5) The Standard JV Agreement shall be submitted till the preceding day of the date of opening
tenders in case of a non-PQ project, or be attached to the PQ assessment report in case of a PQ
project.
(6) In case of a PQ project, the formation of a joint venture or consortium shall be identical with that
prescribed in the Standard JV Agreement submitted when applying for PQ.
(7) Whether it is qualified for the bidding or not shall be assessed on the basis of the leading cocontractor of a joint venture or consortium, and if it becomes disqualified owing to financial
insolvency, etc., the relevant joint venture or consortium shall not be allowed to participate in the
bidding.
(8) The bidding in violation of Paragraphs 1 through 5 shall be deemed as the bid submitted by the
disqualified person.
Article 9. Pre-qualification Criteria
When the bidding notice states the subject matter as a PQ project, it shall be subject to the PQ criteria
of KOICA as notified in the bidding notice.
Article 10. Bid Security
(1) A person who intends to participate in bidding shall provide KOICA with a bid security of not less
than five (5) percent of his/her bidding quotations, either in cash or by a letter of guarantee, etc.
issued by a bank, finance company or insurance company with a credit rating of single A or above
assessed by an internationally-recognized credit rating agency, no later than the deadline for
submission of bidding documents (if the deadline falls on a holiday, the preceding day).
(2) If the successful bidder fails to enter into the contract within the prescribed period of time, the bid
security deposited by the bidder shall belong to KOICA.
(3) The bid security deposited by an unsuccessful bidder shall be immediately returned to him/her,
upon selection of the successful bidder; provided, however, that the bid security deposited by the
successful bidder shall be immediately returned to him/her following the execution of the contract.
(4) The guarantee period covered by the bid security in the form of a letter of guarantee, etc. under
Paragraph 1 shall begin prior to the deadline for submission of bid, then expiring at least 30 days
after the said deadline.
Article 11. Exemption from Bid Security Requirements
(1) Any one of the following persons shall be exempted from the requirements for bid security;
provided, however, that a person who has been restricted from participating in bidding shall not be
eligible for exemption from such bid security requirements for two (2) years following the expiry of
such restrictions:
1. Government agencies and local governments;
2. Government-invested institutions under the Framework Act on the Management of Governmentinvested Institutions in the Republic of Korea;
3. Local or foreign legal entities where 50 percent or more of their respective net worth has been
contributed by the government (including being vested to the government pursuant to applicable
law, and this shall also apply hereinafter);
4. A person who has performed a contract entered into with KOICA, and has never been restricted
from participating in the bidding as a contractor engaged in unfair trade practices, or for whom one
(1) year has passed since such restriction from participation in the bidding expired.
(2) A letter of undertaking to guarantee the payment of bid security, which is to be submitted for the
purpose of being exempted from bid security requirements, may be replaced by submitting an
application for tender participation stating that the applicant thereby undertakes to pay the proceeds
of bid security.
Article 12. Participation in Bidding
(1) No person who fails to meet any of the following conditions shall be allowed to participate in
bidding:
1. A person passed PQ evaluation as a KOICA procurement supplier;
2. A person having submitted a application for tender participation; or
3. A person having attended the pre-bidding conference, where the bidding takes place after a prebidding conference;
(2) If a representative is designated when submitting a application for tender participation, the
representative may also participate in the bidding. The participants in bidding, including their
representatives, shall participate in the bidding with their own certificates of identification and the
same seals as affixed on the application for tender participation.
(3) A person, who has been restricted from participating in the bidding as a contractor engaged in
unfair trade practices, shall not be designated as a representative under Paragraph 2.
(4) The bidder who participates in bidding by forming a joint venture or consortium shall be a leading
co-contractor. In this case, the participant in such a joint venture or consortium shall be deemed to
delegate its whole power and authority with respect to the bidding to the leading co-contractor.
(5) KOICA contracting officer may give bidders an order necessary to keep order, and command the
withdrawal from the venue, or declare the nullification of bidding against the person who denies the
order.
Article 13. Preparation of Bid
(1) The bid shall be prepared in the prescribed form with the bidding quotations being stated in a lump
sum price in case of a lump sum bidding, or in unit price and total amount in case of Fixed Lump
Sum Contract w/priced B/Q
(2) In case of the Fixed Lump Sum Contract w/priced B/Q, the bid which indicates the bidding
quotations in total sum, including a statement showing the unit price in the bill of quantities
delivered pursuant to Article 6, shall be submitted in due course.
(3) When executing the bid, the bidder shall enter his/her name (in case of a corporation, the name of
its representative director), and affix the seal or signature on such a document using the same seal
or signature which he/she has given notice of when submitting the application for tender
participation.
(4) If there is any deletion or correction made of entries in bidding documents (including a statement
showing the unit price in the bill of quantities delivered pursuant to Article 6 in case of the total
sum unit price bidding), the bidder shall affix the same seal or signature to such deletion and
correction as used in the bidding.
Article 14. Submission of Bid
(1) The bid shall be submitted with its envelope properly sealed, on the basis of one set per person.
(2) A bidder shall submit the bid at such time/date and venue as designated at the request of the
KOICA's contracting officer;.
(3) A person who intends to submit the bid by hand carried delivery shall write the name of the
bidding project, time/date of bidding, name of the company and its representative, contact person
and telephone number of easy connection on the cover of the envelope of the bid.
(4) No bidder may replace, modify or cancel the bid already submitted; provided, however, that a
bidder may be allowed to withdraw his/her bid if the bidder expresses their intent to do so at the
very time and venue of opening tenders on grounds that there are certain significant errors in the
entries made therein and KOICA accepts it; further provided that a bidder may be allowed to
modify and re-submit his/her technical proposals, where, upon opening technical proposals in case
of a two-phased competitive bidding, etc., no bidders are found to have met the required technique
or a bidder is determined by KOICA to meet such technique subject to supplementing some minor
items thereof.
(5) When the bid has been submitted by mail pursuant to Paragraph 2, the KOICA's contracting
officer shall record the time/date of receipt thereof on the surface of the envelope of the bid,
putting a receipt stamp on it, and keep the envelope unopened until the official opening of tenders.
(6) No bidder may replace, modify or cancel the bid already submitted; provided, however, that a
bidder may be allowed to withdraw his/her bid if the bidder expresses their intent to do so at the
very time and venue of opening tenders on grounds that there are certain significant errors in the
entries made therein and KOICA accepts it; further provided that a bidder may be allowed to
modify and re-submit his/her technical proposals, where, upon opening technical proposals in case
of a two-phased competitive bidding, etc., no bidders are found to have met the required technique
or a bidder is determined by KOICA to meet such technique subject to supplementing some minor
items thereof.
Article 15. Submission of Price Schedules
(1) In case of the total sum unit price bidding, the bill of quantities distributed by KOICA shall be
attached to the bid.
(2) In case of the lump sum bidding for the construction works pursuant to Paragraph 1, the successful
bidder shall submit the price schedules together with the report of commencement of works.
(3) Each and every page of the price schedules submitted pursuant to Paragraphs 1 and 2 shall bear
the inter-page seal or, in case of signature, abbreviated signature at the bottom of each page.
Article 16. Deadline for Submission of Documents
(1) Bidding-related documents supporting bidder's qualifications for participation in the bidding, etc.
shall be submitted until the end of the working hours on the deadline for submission prescribed by
the bidding notice or invitation to bidders.
(2) When the bidding notice or invitation to bidders provides that the said deadline for submission be
the date immediately preceding the date of the deadline for submission of bids or opening tenders
and the said preceding day falls on Saturday, Sunday or public holiday, such period shall be
deemed to end on the day two (2) days prior to the date of the deadline for submission of bids or
opening tenders.
Article 17. Bidder's Obligation of Fair Competition
(1) Bidders shall not engage in any unfair trade practices, including having agreed upon their
respective bidding quotations prior to bidding or assisting a specific person in being awarded the
contract.
(2) If a bidder has breached such obligation set forth in Paragraph 1, KOICA may take proper
measures against him/her including the nullification of his/her bid pursuant to Article 19 and
making a request for investigation to the Korea Fair Trade Commission.
Article 18. Tender for Construction of Works on Long-term Basis
In case of a contract for the construction of works on a long-term basis, tenders shall be invited for the
construction of the whole works at the time of bidding.
Article 19. Constitution of Competitive Bidding
(1) Bids validly made by two or more persons shall constitute the effective competitive bidding.
(2) Where bids are invited separately in terms of technical specifications and quotations, KOICA's
contracting officer may, upon opening tenders of technical specification bidding deemed as the
effective competitive bidding made by two or more persons, open quotation bids even if it is
finally determined that only one bidder has met the required specifications.
Article 20. Nullification of Bids
Bids falling under any of the followings may be subject to nullification:
1. Bids made by those who are disqualified from making a bid due to absence from the pre-bidding
conference or otherwise;
2. Bids made by persons having no proxy;
3. Bids made by those who fail to submit such documents, etc. as required in the bidding notice, at
such time/date and in such place as designated therein;
4. Bids made by those who have submitted two or more bids regarding the same subject matter or
made a bid on behalf of a third party;
5. The essential part of the bid, including the bidding quotations, is not stated clearly or has omitted
any correction stamp or signature following correction;
6. Bids made by those who have quoted pre-concerted prices, prevented other person from
participating in competition, or obstructed the performance of official duties by KOICA's
employees concerned;
7. Bids made with no seal or signature affixed by bidders (including the bids which bear the name of
the representative or the company rather than the bidder, or which are not sealed or signed using the
same seal or specimen signature as shown in the application for tender participation);
8. Bids made in which the bidders concerned have expressed their respective intent to withdraw on the
scene of opening tenders on grounds that there are certain significant errors in the entries made
therein and such withdrawals have been accepted by the KOICA's contracting officer;
9. Bids made which fail to accompany estimate sheets (or price schedules), where bids submitted are
required to accompany the same; bids in which the bidding quotation shown on the bids is
inconsistent with that stated in the estimate sheet (or bill of quantities);
10. Bids made without having deposited a bid security as prescribed, on or before the date set for
depositing the bid security;
11. Bids made with which such documents as required for examining bidder's qualifications, or
evaluating and screening bidder's capabilities to carry out the project have not been submitted;
12. Bids made which are prepared without using the prescribed forms in violation of the provisions of
Article 13; the quotations shown on the bids are stated in Arabic numerals only;
13. Bids made which have breached the minimum amount of construction works of which contract
ordinary contractors are prevented from entering into subject to framework laws and regulations
of the Republic of Korea as well as the Host Country.
Article 21. Postponement of Tender Time/Date
(1) KOICA may postpone the time/date of deadline for submission of bids set forth in the bidding
notice or invitation to bidders, if:
1. The content of items requiring explanations pursuant to Paragraph 2 Article 7 are so material that it
is deemed inevitable to postpone such time/date; or
2. It is impossible to conduct bidding or opening tenders at such time/date as originally designated
owing to other unavoidable causes;
(2) When the tender time/date is postponed pursuant to the Paragraph 1, public notice or notification
shall be given of the reason and duration of such postponement in the same manner as for the initial
notice.
Article 22. Cancellation of Tender
(1) KOICA may cancel the tender if an unavoidable cause, including unavailability of KOICA's
budgets and changes in its business plan, takes place before the selection and notification of the
successful bidder.
(2) No bidder shall raise an objection to such measures taken pursuant to Paragraph 1, nor make a
claim for damages resulting there from.
Article 23. Re-bidding and Bidding via Another Public Notice
(1) If two or more valid bidders are not available nor any successful bidder is selected in a
competitive bidding, the KOICA's contracting officer may conduct another bidding at the same
venue regarding the same subject matter. In such a case, there shall apply no restrictions on the
number of bidders or bidding.
(2) In case no bidders have participated in a bid or no successful bidder is selected, or the successful
bidder fails to execute the contract, another bid may be invited by giving public notice thereof.
(3) Where bids are invited separately in terms of technical specifications and quotations and, then, two
or more bidders have met the required specifications, the KOICA's contracting officer may cause
such bidders having met technical specifications to re-submit their quotation bids if, upon the
official opening of quotation bids, the successful bidder cannot be selected.
(4) In case of a re-bidding or bidding via another public notice conducted pursuant to Paragraphs 1
through 3, such price and other conditions as determined at the time of inviting the initial bidding
shall not be modified, except for the deadline.
Article 24. Opening of Tenders
(1) The official opening of tenders shall be conducted at such place and time/date as specified in the
bidding notice, and such opening of tenders may be attended by bidders or their representatives
who intend to do so. In such a case, the KOICA's officer responsible for conducting such bidding
may request each of those intending to attend the opening of tenders to present his/her identification
and certificate for registration as a bidder.
(2) Right after the opening of tenders, as for a bid which contains extraordinarily lower price
quotations than any other bids, KOICA may review and examine relevant matters such as the
bidder's capacity to comply with the bidding requirements and satisfy the contractual terms, the
bidder in question shall respond sincerely to such examination.
Article 25. Selection of Successful Bidder
(1) A successful bidder shall be selected by the criteria for successful bidders under the KOICA
International Procurement Guideline.
(2) Notwithstanding Paragraph 1, any bidder shall not be acknowledged as a successful bidder until
he/she is notified in writing of such selection notice, and KOICA shall be entitled to accept or
reject the whole or part of the bids in any situation prior to the execution of the Contract, and even
nullify the bidding procedure and the whole bids. In such a case, KOICA shall not be legally liable
to any participants in the bidding, affected by the KOICA's action.
(3) If, in case of Paragraph 1, two or more bidders have made their bids at the same price which is
eligible to be awarded the contract, the successful bidder shall be immediately decided by drawing
lots; provided, however, that the bidder who has proposed better technical specifications in case of
a two-phased competitive bidding, or who has been given the highest mark in case of examining the
capacity to perform the contract, respectively, shall be the successful bidder; further provided that,
in case of the same highest marks subject to the examination of such capacity, the successful bidder
shall be decided by drawing lots.
(4) In case of Paragraph 3, if any bidder is absent or fails to draw lots, KOICA's employee not
engaged in any of tender-related business at issue may be allowed to draw lots on behalf of the
bidder.
Article 26. Expenses of Bidding
The participants in bidding shall bear the whole expenses incurred with respect to the bidding.
Article 27. Language to be used
(1) The language used in the international bidding shall, in principle, be English; provided, however,
that, when it is deemed inevitable to use a foreign language in view of the construction works to be
executed, either the language of the specific country or Korean may be used.
(2) The bidding notice shall be made in English, and the Bidding-related Documents stated in Article
6 may be provided in Korean, if necessary.
(3) In case of Paragraph 1, should there be any discrepancy or difference between the Korean version
and the foreign language version, if any, the Korean version shall prevail.
Article 28. Execution of Contract
(1) Within seven (7) days of receipt of the notice of award, the successful bidder shall submit to
KOICA the required documents in the prescribed form and the price schedule as awarded, but
Execution of the contract shall be effective after signing of contract.
(2) In case of Paragraph 1, if the successful bidder is prevented from executing the contract due to
force majeure, the duration of such force majeure shall not be counted.
(3) A person, who intends to execute a contract with KOICA pursuant to Paragraph1, shall submit to
the KOICA's contracting officer such necessary relevant documents as required by applicable law.
Article 29. Conclusion of Contract
The contract shall be finally concluded when it is prepared and the successful bidder and the KOICA's
contracting officer affix their respective seal or signature to the contract.
Article 30. Performance Security
(1) The successful bidder shall provide the security for his/her due performance of the contract on or
before the date of execution of the contract.
(2) When the successful bidder provides the security for its due performance of the contract by means
of a surety bond, etc., as prescribed in Paragraph 1 Article 10, the expiry of the guarantee period
thereof shall be more than 60 days after the actual completion of the works concerned.
(3) The whole or part of performance security shall be exempted in the following cases:
1. Government departments or agencies, and local governments;
2. Government-invested institutions under the Framework Act on the Management of Governmentinvested Institutions in the Republic of Korea;
3. Local or foreign legal entities where 50 percent or more of their respective net worth has been
contributed by the government; or
4. The collection of contract security deemed improper and inappropriate in view of the generally
accepted fair and just practices on contract.
(4) In case that the deposit of a whole or part of contract security may be exempted, KOICA shall
cause the successful bidder to furnish the letter of undertaking to pay the relevant contract security
so as to guarantee the payment of such amount in cash upon the occurrence of events of
confiscating the contract security.
Article 31. Confidentiality
Bidders shall not use any of the documents and/or data related to bidding that have been provided by
KOICA and the information they have acquired in the course of bidding for any purpose other than
bidding for the subject matter thereof.
Article 32. Undertaking of Non-Bribery and Integrity
(1) KOICA may demand of tender participating enterprises the Letter of Undertaking, in which the
tender participants shall not, on the basis of mutual trust, be engaged in unfair trade practices
including prior concerted quotations in the course of bidding and being awarded, conclusion and
performance of the contract, nor provide KOICA's officers and employees and competent
government officials with unjust compensation including bribery, entertaining treat, etc., and
further that, in case of breach of such undertaking, they will accept and observe sanctions including
the early termination of the contract.
(2) In case of Paragraph 1, the successful bidder shall consent to incorporate the content of the Letter
of Undertaking into the contract when executing the contract and comply with such undertaking.
(3) With respect to the bidding, being awarded a contract, a negotiation for contract, the conclusion
and performance of a contract, any person who has given bribery to KOICA's officers and
employees and government officials shall be subject to sanctions regarding the contract in question,
as prescribed in any of the followings:
1. From the execution of the contract to just before its initial performance, the contract shall be
terminated; provided, however, that it is excusable on unavoidable grounds in conducting the
project; or
2. After the performance of the contract, the whole or part of the contract shall be terminated or
cancelled; provided, however, that it is excusable on unavoidable grounds in view of the subject
matter, progress, size, performance period, etc. of the contract.
Article 33. Electronic Bidding and Others
The electronic bidding and other matters not provided for in these Instructions shall be subject to the
separate regulations of KOICA.
Article 34. Application of Procurement-related Provisions
Unless otherwise provided in these Instruments, the construction of works is subject to the relevant
KOICA regulations and implementing rules on procurement and contracting in respect of the Foreign
Grant Assistance Program, and KOICA regulation on accounting (hereinafter referred to as "KOICA
Regulations", "KOICA Rules", respectively).