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By Winnie Kamau
Nairobi, Kenya: During the presentation of the 2026/27 Budget Statement in the National Assembly, Treasury Cabinet Secretary John Mbadi announced that starting July 1, 2026, all public entities, including ministries, departments, and agencies, must conduct their procurement operations exclusively via the Electronic Government Procurement (eGP) system.
This mandatory shift represents a major milestone in Kenya’s ongoing initiatives to digitize public finance management and enhance fiscal accountability. It officially revokes previous exemptions that had permitted specific institutions to continue using manual or alternative procurement methods during the transitional phase.
“This policy is designed to optimize operational efficiency, increase transparency, and eliminate loopholes that have historically resulted in the squandering of public funds and inflated state contracts” said Mbadi.
The new framework dictates that the eGP platform will handle every stage of public procurement, creating a centralized electronic archive from initial tender advertisements and competitive bidding to final contract awards and payments.
According to the Ministry these measures aligns with broader fiscal reforms outlined in the 2026/27 budget, which focus on refining public expenditure tracking, securing better value for money, and driving the government’s digital transformation strategy forward.
The eGP platform has been developed to minimize paperwork and accelerate transaction times, and has been progressively introduced across multiple public institutions. It aims to strengthen regulatory and audit oversight by enabling real-time electronic tracking of all transactions.
While many agencies have already integrated the system, others were allowed temporary allowances while preparing their systems for migration. This latest directive draws that interim period to a close, mandating digital procurement across the entire public sector.
Experts indicate that full deployment of the platform could substantially improve transparency in public procurement, a sector long vulnerable to operational inefficiencies and corruption risks.
By centralizing data, the state expects to attain far greater clarity regarding expenditure trends, vendor delivery metrics, and overall contract management.
This mandatory rollout also supports wide-ranging efforts to improve public service accessibility, elevate governance standards, and leverage modern technology effectively.
With the July 1 target firmly established, all state bodies must finalize their transition to the online platform prior to the launch of the 2026/27 financial year, representing one of the most comprehensive procurement overhauls in recent years.
