A delegation from the International Monetary Fund (IMF) is in Nairobi to assess Kenya’s public sector wage bill management. The mission, which commenced on Monday, 17th November 2025, will run until 25th November 2025.
The IMF team is engaging key government ministries, agencies, independent offices, and constitutional commissions to evaluate wage bill trends, expenditure management, and ongoing reforms. The National Treasury has formally notified civil servants through trade unions, including COTU, UASU, KNUT, and KMPDU, among others.
According to Treasury PS Chris Kiptoo, the mission’s main objective is to analyze wage bill dynamics, review expenditure patterns, and support efforts aimed at fiscal sustainability. “The goal is to foster a comprehensive understanding of wage bill dynamics and to support efforts aimed at enhancing fiscal sustainability and implementing public wage reforms,” Kiptoo said.
The mission involves discussions with the National Treasury, Salaries and Remuneration Commission (SRC), Teachers Service Commission (TSC), and Kenya National Bureau of Statistics (KNBS). The IMF team is also evaluating the Government Human Resources Information System (GHRIS), integrated payroll databases, and public sector employment practices, including recruitment, retention, and workforce management.
Meetings held so far include the State Department for Public Service, Public Service Commission (PSC), and senior Treasury officials. Upcoming sessions involve the ministries of Education, Health, Justice, Internal Security, the Office of the Auditor-General (OAG), and the Council of Governors (COG).
Treasury CS John Mbadi highlighted the fiscal pressure facing the government, noting that the public wage bill rose from Sh75 billion per month in January 2025 to Sh80 billion, equivalent to Sh960 billion annually. “This level is not sustainable and risks crowding out capital expenditure,” he warned before a parliamentary committee.
The IMF mission seeks to develop effective strategies for wage bill management, optimize expenditure, and strengthen coordination among ministries and agencies. Civil servants’ contributions and insights are considered vital in shaping policies that ensure sustainable fiscal practices and efficient resource allocation across the public sector.
