Categories: BusinessKSA

Saudi Arabia uncovers collusion in tenders

Saudi Arabia’s General Authority for Competition (GAC) has uncovered suspected collusion in tenders and bids valued at more than 509.67 million riyals highlighting the potential impact of such practices on public spending efficiency.

The authority said it had carried out extensive investigations and evidence-gathering into alleged bid-rigging after initial indicators pointed to prohibited practices.

It charged 16 firms with involvement in collusion violations, reaching financial settlement agreements with 13 of them after they applied under approved procedures, with total settlements amounting to 7.53 million riyals.

Legal action has been initiated against three firms that failed to reach settlements, with cases still under review by the committee for adjudicating competition law violations.

The authority said the telecommunications and information technology sector was the most affected, accounting for 46 per cent of cases, followed by the trade sector at 39 per cent and construction at 15 per cent.

GAC added that tackling such practices helps strengthen fair competition, improve government spending efficiency and curb financial waste resulting from unlawful agreements, while supporting transparency and investor confidence in line with Saudi Arabia’s Vision 2030 economic goals.

GN

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