The afternoon session of the FIDIC International Contract Users Conference on 2 December 2025 opened with a session highlighting some of the fundamental principles that underpin MDB-funded projects. The discussion focused on current procurement trends, employer requirements for securing financing, the role of MDBs in project implementation and the evolving expectations of MDBs.
Alexander Fox, principal procurement policy specialist at the AIIB highlighted some of the multilateral development banks’ (MDB) current policy trends which were aimed at developing a robust procurement strategy at the start of a project. These trends included value for money, fitness for purpose, rated criteria and sustainable procurement. Rated criteria was used to measure qualitative aspects of bids such as quality, sustainability and innovation and designed to address the specific risks, opportunities, issues and quality factors in each contract. Contracts are awarded based on the optimal balance of ‘quality’ and ‘cost’ = best value for money.
Sustainable procurement, said Fox, was focused on broad priorities for the borrower and the bank (e.g., gender and decarbonising emissions-intensive aspects of supply chains), with market analysis and benchmarking to identify where improvement is most needed to match or outperform industry norms. Value for money procurement decisions are made to implement the strategy, he said.
EBRD procurement policy and advisory department director Priscilla Torres Rossel gave a brief overview of the bank’s work and scale of operations. She said that EBRD is reviewing its procurement framework and will introduce a range of measures to deliver better outcomes in procurement under project financing. “These new requirements reflect emerging standards among MDBs, integrate feedback from clients and the business community and reaffirm our commitment to aligning with MDBs in support of development,” she said. Going forward, EBRD will include a minimum 50% rated criteria for contractors above a certain threshold, introduce mandatory early market engagement before the procurement process starts. And implement a requirement for local jobs under works contracts.
Masanari Yanagiuchi, deputy director general in the infrastructure engineering department, at the Japan International Cooperation Agency (JICA), talked about the agency’s use of FIDIC contracts which included using the FIDIC Pink and Yellow Books in their standard bidding documents. “JICA has also been cooperating with FIDIC, MDBs and the Dispute Resolution Board Foundation to promote dispute board mechanisms to our clients,” he said.
In an important intervention, Philippe Dessoy, general manager for international business development at Besix, stressed the importance of the FIDIC five Golden Principles for ensuring the fair and balanced character of the FIDIC contract and safeguarding the integrity and essential key components of the FIDIC forms. Dessoy outlined each of the five principles which set out the essential characteristics of FIDIC’s general conditions of contract that should not be amended if the contract is to be regarded as a genuine FIDIC contract.
Following the MDB session, the conference considered the impact of tariffs and financing suspension on development projects in a roundtable discussion chaired by Fenwick Elliott partner Nicholas Gould. Panellists, including Denis Serkin, partner at Peckar & Abramson, Shan Greer, chief executive at the BVI International Arbitration Centre and barrister, arbitrator adjudicator and mediator at 39 Essex Chambers Marion Smith KC, discussed the rise in tariff regimes and financing suspensions on construction projects - particularly those linked to USAID- and Millennium Challenge Corporation-funded projects based on FIDIC forms. The discussion looked at the legal and contractual challenges arising from such events, with a focus on mitigation strategies and practical management approaches under existing FIDIC forms.
Some of the key topics outlined included managing the impact of fluctuating tariff policies on project delivery, the direct and indirect impacts of project financing suspensions by USAID/MCC and also the legal and contractual implications, including the applicability of force majeure clauses and specific provisions applicable to suspension cases, such as FIDIC’s sub-clause 8.11.
Parallel to the tariffs discussion, a discussion table session on pricing and payment explored the pricing and payment provisions under FIDIC contracts, including how contract pricing is established, managed and adjusted throughout the project lifecycle. Participants examined challenges such as abnormally low tenders, the development of new rates for varied works and how payment mechanisms interacted with both contract terms and applicable law.
The first day of the conference concluded with a session which provided an update on FIDIC’s latest contract developments and also gave attendees the opportunity to engage directly with members of the FIDIC contracts committee in an interactive Q&A session. Panellists included Vincent Leloup, chair of the FIDIC contracts committee, Daduna Kokhreidze, FIDIC’s chief legal and contracts officer, Adriana Spassova, partner at EQE Control, Husni Madi, CEO of Shura Construction Management, Gagan Anand, managing partner at Legacy Law Offices, Koray Ateş, international tenders and business development manager at Yuksel Proje, Chris Seppala, partner at Seppala Arbitration and FIDIC contracts committee member Mahmoud Abuhussein.
The panellists were kept busy during a fast-paced session where a wide range of topics was aired including some of the new FIDIC contract developments and new editions beyond 2025, the global use of the contracts and the relationship between FIDIC and other forms of contract, employer-engineer-contractor relationships, the latest international contract translations, dispute board mechanisms – and much more.
FIDIC is grateful for the support it has received from the sponsors of the 2025 Official FIDIC International Contract Users Conference. Thanks go to platinum sponsors White & Case, Pinsent Masons and Lupa Technology and to gold sponsors Fenwick Elliott, CMS, HFW and ECV.
