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Originally published by Capital News
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August 30, 2025
1d ago

Governors Threaten Legal Action Against Treasury Over Electronic Procurement System

Governors Threaten Legal Action Against Treasury Over Electronic Procurement System

Last week, the National Assembly overturned Mbadi’s circular that had made e-GPS compulsory for ministries, state corporations, and county governments. MPs sitting on the Finance and National Planning Committee questioned the system’s readiness, citing concerns over accessibi..

✨ Key Highlights

Kenyan governors are threatening legal action against the National Treasury over the mandatory adoption of the new electronic government procurement system (e-GPS). They accuse Treasury Cabinet Secretary John Mbadi of disregarding a National Assembly decision annulling its compulsory use from July 1, 2025.

  • The National Assembly overturned Mbadi’s circular mandating e-GPS due to concerns over accessibility, transparency, and infrastructure gaps, particularly for SMEs in rural areas.
  • Treasury CS John Mbadi insists the parliamentary annulment is not legally binding, stating that only a Cabinet resolution can revoke his directive.
  • The Council of Governors (CoG), through chairperson Ahmed Abdullahi, argues Mbadi is contravening the law and seeks legal redress given the impacts on service provision across all counties.

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