Government entities will, from July 1, be required to conduct all procurement activities through the Electronic Government Procurement (e-GP) system, Treasury Cabinet Secretary John Mbadi has announced.
The move is aimed at enhancing transparency, accountability and value for money in public procurement as the government intensifies reforms in the management of public finances.
Presenting the 2026/27 Budget Statement in Parliament on Thursday, Mbadi said the transition to the digital platform will mark a significant step in modernising procurement processes across ministries, departments, agencies and other public institutions.
"To enhance transparency, accountability and value for money in public procurement, all procurement activities by government entities will be undertaken through the Electronic Government Procurement system from July 1, 2026," Mbadi said.
The directive means public entities will no longer be allowed to undertake procurement processes outside the electronic platform, which has been rolled out as part of the government's digital transformation agenda.
The Treasury said the system is expected to improve oversight of procurement activities by providing greater visibility into how public funds are spent.
It will also strengthen compliance with public finance management regulations and procurement laws.
Public procurement accounts for a significant share of government expenditure each year and has been one of the areas targeted by reforms aimed at improving efficiency and accountability in the use of public resources.
The e-GP platform is designed to digitise the entire procurement cycle, including tender advertisement, bid submission, evaluation of bids, contract awards and contract management.
The government expects the system to reduce paperwork, improve efficiency and enable real-time monitoring of procurement activities.
Mbadi said the reforms are part of broader efforts to strengthen public financial management and ensure prudent use of public resources.
The announcement comes as the government seeks to implement a Sh4.824 trillion budget for the 2026/27 financial year while maintaining fiscal discipline and improving service delivery.
During his Budget Statement, the Treasury CS outlined a series of measures aimed at enhancing efficiency in government operations, boosting revenue collection and strengthening accountability in public spending.
Among the reforms highlighted was the continued implementation of the Treasury Single Account framework, which is intended to improve cash management and provide greater oversight of government finances.
The government has, in recent years, accelerated the digitisation of public services, with officials arguing that technology can help improve efficiency, reduce delays and strengthen monitoring of government programmes.
The mandatory adoption of the e-GP system, Mbadi said, is expected to be one of the most significant public finance reforms taking effect at the start of the new financial year, as the government moves to centralise and monitor procurement activities across public institutions.
