Kenya unveiled a Sh4.29 trillion budget for the 2025/26 financial year, with education, national security, and infrastructure emerging as the biggest beneficiaries.
Treasury Cabinet Secretary John Mbadi, addressing the National Assembly on Thursday, said the budget focuses on stimulating economic recovery and creating jobs under the Bottom-Up Economic Transformation Agenda (BETA), with continued investments in manufacturing, ICT, and the creative economy.
The education sector received the largest allocation, with Sh702.7 billion set aside. This includes Sh387.2 billion for the Teachers Service Commission (TSC), Sh58.9 billion for free primary and secondary education, and Sh58.5 billion for higher education loans and scholarships.
The security sector was allocated Sh464.9 billion, with funds directed towards the operations of the National Police Service, the Kenya Defence Forces, and the National Intelligence Service.
The allocation includes Sh10 billion for leasing police vehicles, Sh3.6 billion for modernization programmes, and Sh1.1 billion for the construction of national forensic facilities.
County governments will receive Sh474.9 billion, with Sh405.1 billion as equitable share and the rest through conditional allocations from the national government and development partners.
Infrastructure development was also prioritized, receiving Sh318.1 billion for roads, railways, air transport, and energy. Out of this, Sh217.3 billion will go towards road maintenance, rehabilitation, and construction, while Sh62.8 billion has been earmarked for energy projects.
The health sector has been allocated Sh133.4 billion, with funding directed towards hospitals, emergency care, vaccines, and the rollout of Universal Health Coverage.
The Kenyatta National Hospital (KNH) will receive Sh18.7 billion, Global Fund (Sh17.3 billion), Primary healthcare fund (Sh13.1 billion), Moi Teaching and Referral Hospital (Sh10.8 billion) while a further Sh8 billion has been allocated to the Emergency, Chronic and Critical Illness Fund.
President Ruto’s affordable housing programme received Sh120.2 billion, including Sh64.5 billion for the construction of affordable units and Sh10.5 billion for social housing projects.
In agriculture, Sh47.6 billion was set aside to support farmers through input subsidies, value chain development, and food security initiatives.
Some Sh41.3 billion was allocated to social protection programmes, including cash transfers to elderly persons, orphans, and vulnerable groups.
Mbadi allocated Sh48.0 billion to Parliament for the 2025–2026 financial year. In the 2024–25 financial year, Parliament received Sh44.6 billion — a Sh4.4 billion rise from the Sh40.4 billion allocated in 2023–24.
This year’s allocation marks an additional Sh3.4 billion increase, bringing the total rise over the three-year period to Sh7.6 billion.
The Judiciary also received a substantial allocation of Sh27.8 billion, bringing the total funding to Kenya’s governance arms to Sh75.8 billion for the upcoming financial year.
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