The government has issued a fresh directive to all ministries, departments, state corporations and unincorporated state agencies to fully enforce the Access to Government Procurement Opportunities (AGPO) programme in line with the Bottom-Up Economic Transformation Agenda (BETA).
The order, signed by Chief of Staff and Head of Public Service Felix K. Koskei, follows persistent underperformance in meeting the legal requirement to reserve at least 30 per cent of all procurement to enterprises owned by women, youth and persons with disabilities (PWDs).
The AGPO programme, launched in 2013, is an affirmative action policy designed to boost economic empowerment for historically disadvantaged groups.
The Public Procurement and Asset Disposal Act requires that no single category among the three receives more than 50 per cent of the reserved allocation, and that at least 2 per cent is set aside for PWDs.
Koskei said the programme was a key driver for “employment creation, promotion of local industry, and acceleration of technology transfer.”
However, official data shows the targets have been far from met. According to the Economic Survey 2023, from the 2015/16 to 2022/23 financial years, women received less than 10 per cent of the total tender value, youth 6.02 per cent, and PWDs only 1.42 per cent. Overall uptake averaged 16.84 per cent — just over half the statutory threshold.
Compliance with mandatory reporting is also low. Only 44.1 per cent of procuring entities submitted complete AGPO reports to the Public Procurement Information Portal (PPIP) as required by law.
“In light of this persistent underperformance, and in line with the President’s directive to accelerate inclusive procurement as an engine for economic transformation, all Accounting Officers are hereby directed to meet the AGPO thresholds, the circular stated.
The directive spells out strict measures. All accounting officers must ensure that at least 30 per cent of the total annual procurement value is reserved for the three target groups, with at least 2 per cent going to PWDs. AGPO allocations must be integrated into annual and quarterly procurement plans, with specific targets for each group.
Quarterly reports on AGPO implementation must be submitted without exception to the PPIP, with gender- and category-disaggregated data. Agencies must also develop structured capacity-building programmes for AGPO-registered suppliers, covering bidding, contract management and compliance.
Koskei warned that failure to meet AGPO thresholds or to submit complete compliance reports “will attract administrative and disciplinary action” under the Public Service Performance Management Framework and other applicable laws.
He further ordered that the compliance status of all entities be published, noting that the directive takes immediate effect and will serve as a key performance indicator for all accounting officers in the current and future financial years.
“All entities are expected to demonstrate measurable progress in AGPO implementation as part of their contribution to the realisation of the Bottom-Up Economic Transformation Agenda,” Koskei said.
