Whereas the procurement and business contracting are one of the most important operations requiring higher levels of accuracy and control, and the abidance by the safest ways, the State shall spend a large part of the funds thereof to obtain the needs thereof in the form of supply contracts, and in the performance of projects through general contracting; and

Due to the special importance of this largest aspect of the public expenditures, as it jeopardizes the funds of the State and the interests of nationals, the government seeks to regulate said expenditure and to put it on the right track, through setting rules and restrictions rationing the procurement and business contracting operations; and

Based upon the aforementioned, the Ministry issues the present Financial Circular No. 16/1975 on the regulation of methods of procurement and business contracting; and

Whereas said Ministry refers to the memorandum thereof No. 14 dated 15/07/1974, approved by the Cabinet in the session held thereby on 08/09/1974 AD, and the Financial Circular No. 16/1974 dated 21/10/1974; and