National Treasury Cabinet Secretary John Mbadi has unveiled a Ksh4.29 trillion budget for the financial year 2025/2026 in Parliament.
This year’s budget is themed ‘Stimulating Sustainable Economic Recovery for Improved Livelihoods, Job Creation and Business and Industrial Prosperity in line with the Bottom-Up Economic Transformation Agenda’.
Agriculture and Food Security
The budget will see Ksh47.6 billion allocated to Agriculture and Food Security. Of this, Ksh 10.2 billion will go towards the National Agricultural Value Chain Development Project (NAVCDP), Ksh8 billion to fertilizer subsidy programme, Ksh 5.8 billion to food systems resilience project, Ksh 5.2 billion Blue Economy Priority Projects, Ksh 3.8 billion to settlement of the landless and Ksh 2.3 billion towards de-risking, inclusion & value enhancement of pastoral economies programme.
Also, the government will spend Ksh 1.6 billion on Kenya Livestock Commercialization Programme, Ksh 1.5 billion on sugar reforms, Ksh 1.2 billion on Food Security and Crop Diversification Project, Ksh 1.1 billion for processing and registration of title deeds, Ksh900 million on digitization and construction of land registries, Ksh800 million on Small Scale Irrigation and Value Addition Project and Ksh300 million Towards Ending Drought Emergency in Kenya (TWENDE).
Housing& Urban Development and Public Works
The government has allocated Ksh120.2 billion to housing and urban development and public works.
Ksh 64.5 billion will be used for the construction of affordable housing units, Ksh 16.5 billion for social and physical infrastructure, Ksh 13.4 billion for Kenya Urban Support Programme, Ksh 10.5 billion for the construction of social housing units, Ksh 7.2 billion for the Kenya Informal Settlement Improvement Project – Phase II, Ksh 3.5 billion for institutional housing and Ksh 0.45 billion for the construction of county headquarters.
The Information, Communication and Technology has been allocated Ksh 12.7 billion.
Ksh 405.1 billion has also been set aside as equitable share to county governments while Ksh 133.4 billion
has been allocated to the Health Sector.
For the Health Sector, Ksh 18.7 billion has been allocated to the Kenyatta National Hospital, Ksh 17.3 billion to Global Fund (HIV, Malaria, TB), Ksh 13.1 billion to Primary Healthcare Fund, Ksh 10.8 billion to Moi Referral and Teaching Hospital, Ksh 8.0 billion to Emergency, Chronic and Critical Illness Fund and Ksh 6.2 billion for Universal Health Coverage Coordination and Management.
Other allocations in the Health Sector include Ksh 4.6 billion for Vaccines and Immunizations Programme, Ksh 3.8 billion for Reproductive, Maternal, Neonatal Child & Adolescent Health Communities, Ksh 1.3 billion for KNH Burns and Pediatrics Centre, Ksh 1.3 billion for the construction and strengthening of cancer centers, Ksh 1.1 billion for health emergency preparedness, responses & resilience programme and Ksh 1.1 billion for Building Resilience and Responsive Health System Project.
Ksh 47.7 billion has been allocated to Governance and Justice while Ksh18.0 billion will be used for manufacturing and industrialization.
Ksh 464.9 billion will be used to enhance national security while Ksh 318.1 billion will be invested in critical infrastructure.
For critical infrastructure, Ksh 115.6 billion will go towards maintenance of roads, Ksh 70.8 billion rehabilitation of roads and Ksh 30.9 billion construction of roads and bridges.
Ksh 37.1 billion has been allocated to Rail Transport and Infrastructure, Ksh 0.6 billion to the Kenya Ferry Ramp in Mombasa and Acquisition of Ferries for Lake Victoria, Ksh300 million for Nairobi Bus Rapid Transport Project, Ksh300 million toeards airstrips construction/expansion and Ksh300 million for the promotion of E-Mobility Project.
Education
The education sector will get the lion’s share of the budget amounting to Ksh 658.4 billion.
Of this, Ksh 387.2 billion has been allocated to the Teachers Service Commission, Ksh 58.5 billion to Higher Education Loans Board (HELB) and University Scholarships, Ksh 58.9 billion to Free primary and Day Secondary Education, Ksh 28.9 billion to Junior Secondary School Capitation, Ksh 13.3 billion to Kenya Primary Education Equity in Learning and Ksh 7.7 billion to Capitation and Scholarships for TVETs.
Other allocations in the education sector include Ksh 5.9 billion School Examination, Ksh 3 billion for School Feeding Programme, Ksh 2.3 billion Kenya Secondary Education Quality Improvement Project and Ksh700 million for infrastructure development in primary and secondary schools.
Other allocations
Ksh 103.8 billion has been allocated for Environmental Protection, Water and Natural Resources, Ksh 105.6 billion
for Equity, Poverty Reduction, Women and Youth Empowerment, Ksh 41.3 billion for Social Protection and Affirmative Action and Ksh 29.7 billion for stimulating tourism growth, sports culture and recreation.
Read: 2025 Budget: Govt Seeks to Cut Spending by Over Ksh300 Billion
>>> Cabinet Approves Finance Bill 2025, Proposes Amendments To Ksh4.3 Trillion Budget
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