Government suspends all tenders, contract awards until e-GP launch
The new platform, developed under the Public Procurement and Asset Disposal Act, is expected to automate procurement activities from planning to payment, helping to minimise delays and reduce the risk of corruption.
All public entities have been ordered to immediately stop initiating procurement processes for the 2025/26 financial year under framework agreements and contracts, in line with the government’s transition to a fully digital procurement system set to launch by July 2025.
In a circular on Monday, the Public Procurement Regulatory Authority (PPRA) said the suspension applies to all processes that are not aligned with the new Electronic Government Procurement (e-GP) system, which will replace manual and semi-digital procedures.
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“Procuring entities are to cease initiation of procurement processes for Financial Year 2025/2026 through framework agreements and refrain from issuing any awards or entering into contracts until after the rollout of the e-GP,” PPRA Director General Patrick Wanjuki said.
The directive, copied to heads of state departments, follows earlier communications from the Office of the President and the National Treasury mandating the migration to e-GP to boost transparency, efficiency, and accountability in public procurement.
The new platform, developed under the Public Procurement and Asset Disposal Act, is expected to automate procurement activities from planning to payment, helping to minimise delays and reduce the risk of corruption.
PPRA further directed all procuring entities to terminate ongoing procurement proceedings that have not yet reached the award notification stage.
“All procuring entities are directed in the intervening period and effective from the date of this Circular, to invoke the provisions of Section 63 of the Act on termination and cancellation of procurement proceedings, provided that no letters of notification of awards have been issued,” reads the circular.
However, the Authority clarified that the suspension does not affect existing contracts.
“For avoidance of doubt, this circular shall not apply to existing contracts and the Authority shall, in due course, issue guidelines on existing contracts,” Wanjuki added.
PPRA also called on accounting officers in all government institutions to ensure strict compliance and disseminate the directive to all relevant personnel involved in procurement and asset disposal.
“All Accounting Officers are required to note and bring the contents of this Circular to the attention of all officers involved in the public procurement and asset disposal activities within their jurisdiction,” Wanjuki said.
The Authority noted that the suspension will remain in effect until the e-GP becomes fully operational.
Although the abrupt halt has sparked concern among suppliers and contractors, the government maintains that the shift to a fully digitised system will streamline procurement processes and curb wasteful spending.
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