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Public Procurement in Djibouti

Public procurement in Djibouti is a core mechanism through which the government delivers public services, develops strategic infrastructure, and supports national economic priorities. Given the country’s pivotal geographic position at the crossroads of Africa, the Middle East, and major global shipping routes, public procurement plays a significant role in enabling logistics, transport, utilities, and public administration.

Government tenders in Djibouti cover a wide range of goods, works, and services, including civil works, port and transport infrastructure, public buildings, and essential services. The procurement system is governed by a centralized legal framework and overseen by a designated national authority, ensuring consistency in procedures and formal oversight of contract awards.

For domestic suppliers and international firms alike, Public Procurement in Djibouti represents an important entry point into government-funded projects and donor-supported programs. Understanding the institutional setup, legal requirements, and procedural practices is essential for bidders seeking to participate competitively and responsibly in this market.

Country & Economic Overview

Djibouti’s economy is strongly influenced by public investment and externally financed projects, making public procurement a central channel for economic activity and infrastructure development.

Public Procurement Governance Framework

The governance of public procurement in Djibouti is centralized under a national authority responsible for supervising and validating procurement procedures conducted by public entities.

• Public Procurement Agency (PPA): Commission Nationale des Marchés Publics (under the Secretariat of Government)
• Mandate: Oversight, validation, and regulatory control of public procurement processes
• Central Purchasing Body: Procurement is conducted by individual contracting authorities rather than a centralized purchasing body

Line ministries, public institutions, and state-owned entities act as contracting authorities and are required to follow the national procurement framework when awarding public contracts.

Legal & Regulatory Framework

Public procurement law in Djibouti establishes the legal basis for government purchasing and defines the procedures applicable to public contracts. The framework aims to ensure transparency, fair competition, and accountability in the use of public funds.

• Codified public procurement law applicable to goods, works, and services
• Defined rules for competitive tendering and contract award
• Legal provisions for bid securities and public bid openings
• Domestic preference provisions embedded in the legal framework

The law also defines complaint rights for bidders and sets out the institutional responsibilities for reviewing procurement disputes.

Procurement Procedures & Thresholds

Procurement procedures in Djibouti are structured around competitive tendering as the standard method, with direct contracting permitted under specific legal conditions.

The procurement law establishes standstill periods for goods, works, and services contracts and provides formal mechanisms for bidders to submit complaints against procurement decisions.

E-Procurement System Overview

The use of electronic procurement tools in Djibouti remains limited. Procurement processes are largely paper-based, and tender documentation is not systematically distributed through a centralized electronic platform.

As a result, bidders are required to closely monitor official procurement publications and maintain direct contact with contracting authorities.

Procurement Market Characteristics

The procurement market in Djibouti is shaped by public investment priorities and externally financed projects.

• Strong focus on works contracts, particularly infrastructure
• Goods and services procurement linked to public administration and utilities
• High participation of domestic firms alongside international contractors

Contract awards are primarily based on compliance with technical requirements and price-based evaluation, in line with the legal framework.

Transparency, Complaints & Oversight

Transparency in public procurement is supported through formal reporting and oversight mechanisms.

• Procurement decisions subject to review by the national procurement authority
• Annual procurement reports published by government institutions
• Legal complaint mechanisms available to aggrieved bidders

These mechanisms contribute to procedural accountability, although access to consolidated procurement statistics remains limited.

Sustainability & Green Public Procurement

Sustainability considerations are not yet systematically embedded in public procurement practices in Djibouti. Environmental criteria are generally addressed on a project-by-project basis rather than through a comprehensive national green procurement policy.

Future developments in this area are expected to be influenced by donor-funded projects and international development partners, particularly in infrastructure and utilities.

Social & Ethical Procurement Considerations

Social and ethical considerations in public procurement are addressed through general legal provisions rather than targeted procurement programs.

• No formal procurement preferences for women-owned businesses
• Limited use of reserved contracts for disadvantaged groups
• Ethical sourcing requirements applied through contractual conditions where relevant

Compliance with national laws remains the primary ethical requirement for suppliers participating in government tenders in Djibouti.

Key Challenges & Practical Insights for Bidders

Bidders considering participation in Public Procurement in Djibouti should be aware of several practical factors:

• Procurement processes rely heavily on manual procedures and documentation
• Limited availability of centralized electronic tender information
• Strong role of donor-funded projects in shaping procurement opportunities

Successful bidders typically invest in local partnerships, maintain close engagement with contracting authorities, and ensure strict compliance with formal submission requirements.

Public Procurement in Djibouti offers meaningful opportunities for firms aligned with the country’s development priorities and prepared to operate within a structured, law-based procurement environment.