What is the threshold for a cumulative increase in the Agreement amount that requires submission to the Director of CMD?

The threshold for a cumulative increase in the Agreement amount that necessitates submission to the Director of the Contract Management Division (CMD) is an increase of more than 20%. In this context, the purpose of establishing such a threshold is to ensure that any significant amendments to the original agreement are properly reviewed and approved at a higher level of management.

Cumulative increases can affect the budget, resource allocation, and overall project scope, so it's critical that these changes receive appropriate oversight. An increase exceeding 20% indicates a substantial adjustment that could impact the contractual obligations or financial commitments involved in the agreement. This is why an increase of more than 20% is set as the benchmark for requiring approval, emphasizing the need for governance and compliance in financial matters associated with contractual agreements.