Kenya: Treasury CS Mbadi Unveils Sh4.2tn Budget for 2025/26 in Parliament

Capital FM
Treasury Cabinet Secretary Njuguna Ndung'u presented the 2024/25 Budget in Parliament.
12 June 2025
Capital FM (Nairobi)
By Correspondent

Nairobi — Treasury Cabinet Secretary John Mbadi is presenting a Sh4.2 trillion budget for the 2025/26 financial year, with the government targeting to raise Sh3.3 trillion in revenue and bridge a Sh900 billion deficit through borrowing and grants.

Of the projected revenue, Sh2.7 trillion will come from taxes and Sh560 billion from other government levies.

To cover the shortfall, the Treasury expects Sh46.9 billion in grants, Sh592 billion in domestic borrowing, and Sh284 billion from external sources.

Recurrent spending is set at Sh3.1 trillion, with Sh725.1 billion allocated for development and Sh436.7 billion earmarked for county governments.

The education sector received the largest share, with Sh701 billion allocated. Of this, Sh377 billion will go toward teacher salaries, while Sh55 billion will fund free day secondary school education, among other programmes.

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