All eyes are on Parliament Buildings in Nairobi today, Thursday, 12 June 2025, as Treasury Cabinet Secretary John Mbadi prepares to unveil the much-anticipated 2025/2026 national budget.
This year’s budget, the first under Mbadi’s stewardship, comes at a time of economic pressure and high public expectations, with President William Ruto’s administration planning to spend over Sh4.2 trillion in the new financial year.
According to the National Treasury, the ambitious expenditure plan will be financed through a mix of tax revenue, borrowing, grants, and fees charged for government services.
CS Mbadi is expected to outline a raft of revenue-raising measures, with a tax collection target set at Sh2.7 trillion—amounting to 64 percent of the required funding.
In addition, the Treasury aims to collect Sh560 billion from government levies and fees under Appropriations-in-Aid.
Kenya is also expecting grants totalling Sh46.9 billion. Even so, a substantial funding gap remains, which the government plans to plug through both domestic and international borrowing, as detailed in the budget documents.
Among the top funding priorities is the education sector, which has received the largest allocation—Sh701.1 billion, accounting for 28.1 percent of the national government’s budget.
National security follows with an allocation of Sh251 billion.
The agriculture sector will receive Sh78 billion, including Sh8.2 billion earmarked for fertiliser subsidies and Sh10.2 billion set aside to support value chain development.
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