E-GP System Faces Technical Glitches and Cyber Security Threats, Halting Online Procurement

Summary

Nepal’s electronic government procurement system has been suspended over technical and cyber security concerns, forcing temporary hardcopy and postal bidding for emergency purchases. Construction entrepreneurs warn of hacking, collusion and a return to muscle power, while the Public Procurement Monitoring Office says a more secure e-GP-2 system will be ready within 15 days.

Key Points
  • The Public Procurement Monitoring Office halted e-GP bidding after technical problems and cyber security threats disrupted online procurement.
  • Construction entrepreneurs allege bid data have been hacked for years, enabling collusion and corrupt contract awards.
  • The government has temporarily allowed hardcopy and courier submissions for emergency procurements, but contractors fear a return to thuggery and intimidation.
  • PPMO says a new, more secure version of the system, e-GP-2, is being prepared and should be operational within about 15 days.
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