World Bank Adopts FIDIC Construction Contracts

Under the terms of the agreement, FIDIC has granted the World Bank a non-exclusive licence to refer to the six major contracts for projects it finances. The six mainly include the 2017 Second edition FIDIC contracts, which cover a wide range of international construction and infrastructure work. FIDIC also expects to announce a similar agreement with the other multilateral development banks.

FIDIC chief executive Dr Nelson Ogunshakin said: “This is a major development for FIDIC and we are delighted that the World Bank has agreed to adopt our 2017 editions of the Rainbow suite of contracts and use them as a key part of their standard bidding documents. This will create more certainty in the market as by adopting the FIDIC contacts on major projects the World Bank is saying that they endorse the fair and balanced approach that these documents offer to parties on major construction contracts. The familiarity that the FIDIC contracts brings, make it easier to get projects under way as many of the typical commercial risks are clearly addressed in the contracts and all the parties understand their obligations and responsibilities.”