Describes how major projects are secured and financed. Explains activities of the multilateral development banks in and other aid-funded projects.
Mali adopted a program-based budgeting system in order to improve governance of public funds. Numerous multi-years projects and initiatives aiming to rebuild the army and security forces were adopted providing bidding opportunities to military equipment companies, including to dealers of aircraft, vehicles, helmets, bulletproof vests, firearms, uniforms, and accessories. Mali allocates 12 percent of its national budget to development of the agricultural sector, creating opportunities for products such as tractors, fertilizers, or seeds. Many social welfare projects, including the construction of 50,000 affordable housing units, are ongoing. The General Directorate for Public Procurements and Public Service Delegation (DGMP-DSP) declared that 6,680 procurements were concluded in 2021 totaling more than $1.14 billion. These procurements were mainly funded by the national budget (85 percent), donors (13 percent), or joint funding (2 percent). In total, 88 percent of public procurements were concluded through an invitation to a tender, 5 percent through limited tender, and 7 percent through mutual agreements. DGMP-DSP provides information on its website about current government plans for tenders, laws related to public tenders, and results of invitations to tenders. For more information, visit the DGMP-DSP’s website at https://www.dgmp.gouv.ml/
U.S. companies bidding on Government tenders may also qualify for U.S. Government advocacy. A unit of the U.S. Commerce Department’s International Trade Administration, the Advocacy Center coordinates U.S. Government interagency advocacy efforts on behalf of U.S. exporters bidding on public sector contracts with international governments and government agencies. The Advocacy Center works closely with our network of the U.S. Commercial Service worldwide and inter-agency partners to ensure that exporters of U.S. products and services have the best possible chance of winning government contracts. Advocacy assistance can take many forms but often involves the U.S. Embassy or other U.S. Government agencies expressing support for the U.S. bidders directly to the foreign government. Consult Advocacy for Foreign Government Contracts for additional information.
Financing of Projects
Foreign donors and multilateral development banks fund most infrastructure projects. U.S. firms can bid on projects funded by multilateral development banks, the U.S. Agency for International Development (USAID), and other donors. Mali often takes advantage of the diversity of donors to implement large infrastructure projects funded through long-term loan contracts with non-traditional donors like China, India, or the Islamic Development Bank. Traditional donors’ contributions remain significant. The World Bank’s portfolio of projects exceeds $1 billion. The Islamic Development Bank has 53 active projects in Mali. USAID provides significant funding for projects in the health, education, and agriculture sectors. The European Union and African Development Bank are involved in infrastructure project financing. The International Monetary Fund (IMF) and European Union provide budgetary support to Mali. Mali benefited from debt relief in the 2000s which has allowed it to receive additional loans for development projects.
Multilateral Development Banks and Financing Government Sales.
Price, payment terms, and financing can be significant factor in winning a government contract. Many governments finance public works projects through borrowing from the Multilateral Development Banks (MDB). A helpful guide for working with the MDBs is the Trade Finance Guide. The U.S. Department of Commerce’s (USDOC) International Trade Administration (ITA) has a Foreign Commercial Service Officer stationed at each of the five different Multilateral Development Banks (MDBs): the African Development Bank; the Asian Development Bank; the European Bank for Reconstruction and Development; the Inter-American Development Bank; and the World Bank.
Learn more by contacting the:
- Commercial Liaison Office to the African Development Bank
- Commercial Liaison Office to the World Bank.