In a bold move to digitize and reform public procurement, the Government of Kenya has allocated Ksh700 million in the 2025/2026 national budget for the implementation of the Electronic Government Procurement (eGP) system.
Treasury Cabinet Secretary John Mbadi, while presenting the Ksh4.29 trillion budget in Parliament, confirmed that the funds would support the nationwide rollout of the eGP platform, a cornerstone of the state’s commitment to transparent, accountable, and corruption-free procurement practices.
“The government is committed to transparency and accountability in procurement. In this regard, I have proposed an allocation of Ksh700 million for rolling out the implementation of the Electronic Government Procurement (eGP),” said Mbadi.
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eGP System: Key to Transparent Public Spending
The Kenya e-procurement system, formally launched on April 7, 2025, at the Kenya School of Government, is designed to overhaul how government entities procure goods and services. The platform is aligned with the Digital Superhighway Agenda, which aims to bring at least 80% of public services online.
The system enables:
- Full bid submission and evaluation online
- Open contracting in line with international standards
- Centralized visibility on tender awards, procurement plans, and contract management
Starting July 2025, all government tenders, bid bonds, and contract awards at both the national and county levels must be processed through the eGP portal.
Over 400 suppliers and government officers have already undergone training to ensure a seamless transition.
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Budgeting for Reform and Economic Discipline
The allocation of Ksh700 million to the eGP system is just one piece of a broader fiscal strategy in the Ksh4.291 trillion budget.
Key budget highlights include:
- Ksh3.134 trillion allocated for recurrent expenditure
- Ksh693.2 billion dedicated to development projects
- Ksh474.9 billion earmarked for county governments
- Ksh3.321 trillion projected in total revenue collection
The 2025/26 budget emphasizes digital transformation, debt sustainability, and streamlined public spending. Kenya seeks to finance the budget through a mix of domestic revenue, loans, and grants.
eGP Rollout Tied to World Bank Loan Conditions
Notably, the World Bank has listed the successful implementation of the e-procurement system in Kenya as a precondition for further financial support. According to a Bloomberg report, the multilateral lender expects President William Ruto’s administration to uphold the economic reform commitments agreed upon in 2024.
By digitizing procurement, the eGP platform is expected to:
- Seal corruption loopholes that have long plagued public tenders
- Increase public confidence in the tendering process
- Make government spending more data-driven and auditable
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What This Means for Kenyans
For local suppliers, SMEs, and procurement officers, the eGP rollout means a mandatory shift to digital operations. All activities, including registration, bid evaluation, contract issuance, and payment tracking, will now occur online.
The government has urged businesses to familiarize themselves with the platform before July to avoid being locked out of lucrative tenders.
The system is available through the Public Procurement Regulatory Authority (PPRA) and is expected to evolve with time, integrating features such as performance tracking, dispute resolution, and supplier ratings.
The allocation of Ksh700 million to the Kenya e-procurement system underlines the state’s push for efficient, tech-enabled governance. As the Digital Superhighway Agenda gains momentum, platforms like eGP are setting new standards for service delivery and fiscal integrity.
With digital procurement now a national priority and a prerequisite for international funding, Kenya is poised to redefine how government contracts are issued—and who benefits.
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