National Treasury Cabinet Secretary John Mbadi has assured Kenyans that the 2025/2026 budget-making process has been open and transparent, with deliberate efforts to involve the public in shaping the national fiscal plan. Speaking ahead of the budget statement presentation in Parliament on Thursday, Mbadi acknowledged the impact of the 2024 protests, describing them as a clear indication that Kenyans are vigilant and committed to their democratic rights.
“It was very clear that our Constitution is not idle citizens are alert and exercising their democratic rights,” said Mbadi. “We definitely had to change the way we do things.”
Mbadi, who will outline the budget policy highlights and revenue-raising measures, emphasized that the government had shifted its approach by holding public engagement forums in Mombasa, Eldoret, and other regions. These sessions aimed to help citizens understand the Finance Bill and the budgeting process, particularly focusing on engaging youth, including the vocal Generation Z.
For the 2025/2026 financial year, the government has proposed a Sh4.2 trillion budget. The Treasury aims to raise Sh3.39 trillion in revenue, including Sh2.84 trillion in ordinary revenue, supported by ongoing tax reforms. The rest of the funding will come from debt, grants, service fees, and borrowing.
The budget allocates Sh3.1 trillion for recurrent expenditure, Sh725.1 billion for development projects, and Sh436.7 billion for county transfers. Notably, education remains a top priority, receiving the largest share at Sh701 billion. However, stakeholders argue that the allocation still falls short of the sector’s real needs.
Out of the education budget, Sh377 billion has been set aside for teacher salaries. Other significant allocations include Sh55 billion for free day secondary school capitation, Sh41 billion for the Higher Education Loans Board (HELB), and additional funding for university scholarships, school feeding programs, junior and primary school capitation, and Technical and Vocational Education and Training (TVET).
Mbadi reaffirmed his commitment to demystifying public finance, saying he has taken personal initiative to ensure Kenyans understand the budget and its implications on service delivery and economic development.
