The government has announced that it will spend Ksh700 million to introduce a new online procurement system aimed at curbing corruption.
This system, known as the Electronic Government Procurement (eGP), is part of the 2025/2026 national budget and is expected to bring transparency and accountability to how government agencies purchase goods and services.
While presenting the 2025/2026 budget estimates in the National Assembly, Treasury Cabinet Secretary John Mbadi said the government is determined to eliminate corruption loopholes in public procurement. He explained that the Ksh700 million allocation will go towards the full rollout of the eGP system.
“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 CS Mbadi.
The total budget for the 2025/2026 financial year has been set at Ksh4.29 trillion. The government plans to raise this money through a mix of taxes, domestic and international loans, and grants from development partners.
One of these partners, the World Bank, has stated that the rollout of the eGP system is a key condition for unlocking more funding for Kenya.
The global financial institution said that any future financial support would depend on Kenya implementing several economic reforms, including improving public procurement systems.
In preparation for the launch, 400 suppliers and staff from both national and county governments have already undergone training to use the new system.
The full implementation of the eGP platform is scheduled to begin in July 2025. Once in effect, all government procurement activities—including tenders, bid bond submissions, procurement planning, tender evaluations, and budget tracking—must be conducted through the eGP platform.
The system was officially launched on April 7, 2025, at the Kenya School of Government. It is part of the broader Digital Superhighway Agenda, which seeks to digitize at least 80 percent of all public services in Kenya.
The eGP system is designed to meet global open contracting standards and offers a fully online experience, allowing for digital submission of bids, electronic evaluation of proposals, and online awarding of contracts.
This digital shift is expected to make it harder for corrupt individuals to manipulate procurement processes, as every transaction will be traceable and accountable.
It also opens up more opportunities for ordinary Kenyans and small businesses to participate in public tenders without going through middlemen or facing discrimination.
As part of the overall budget plan, the government expects to collect Ksh3.321 trillion in total revenue, which includes appropriation-in-aid.
The expenditure is projected at Ksh4.291 trillion, with Ksh3.134 trillion allocated to recurring costs such as salaries and operations, and Ksh693.2 billion directed toward development projects like infrastructure and social services.
County governments across the country will share a total of Ksh474.9 billion in allocations. This will support key devolved functions like health, agriculture, and local infrastructure development.
By adopting this digital procurement platform, the government hopes to build public trust, attract more investors, and ensure that taxpayer money is spent more efficiently and fairly.
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