KATHMANDU: The government has approved the public procurement (ninth amendment) regulations, 2076.

The regulations have the provision to penalize the contractors from the day of the contract agreement if the latter fail to complete the projects even in the extended deadline.

The government, however, has removed the provision of penalty while extending the deadline of projects after the contractors’ failure to finish them on time.

A meeting of the council of ministers held on 23 took a decision to this effect, government spokesperson Gokul Baskota said at a news conference on Thursday.

Prior to this, the government could charge up to 10 percent in compensation to the contractors for extending the deadline.

In the amended regulations, a provision has been made to submit a letter from the bank that has a service of the line of credit while making a final contract agreement.

Likewise, the meeting has given nod in principle to the bill on amending and integrating the existing laws on arms and ammunition.

Similarly, the government has decided to name the agencies and format to implement the contract agreement between the governments of Nepal and India on small development projects’ implementation, Baskota added.

Furthermore, the cabinet meeting decided to procure the equipment on security printing through the G2G model.