The Georgian government is preparing a new package of legislative amendments aimed at tightening the regulation of state construction and infrastructure projects. According to the Administration, the reform is designed to improve project implementation, reduce the risk of delays and suspensions, and create a more stable and accountable construction sector.
The planned changes will affect both Government Decree No. 55 on technical regulations and the Law on Public Procurement. Officials say the reform is intended to strengthen the construction sector, improve the financial sustainability of state projects, and introduce higher standards of accountability and transparency in public procurement.
Key changes include an increase in overhead and contingency cost limits, updated pricing for construction materials and machinery, and the introduction of an indexation mechanism that will allow contract values to be adjusted in line with price fluctuations during project implementation.
The reform also aims to support SMEs by allowing contractors and subcontractors to combine their experience in public tenders. At the same time, stricter rules will be introduced to prevent unrealistically low bids, and the “blacklist” mechanism will be expanded to exclude companies linked to financial or corruption-related violations from participating in state contracts.
