In a defining moment for Kenya’s economic future, Treasury Cabinet Secretary John Mbadi on Thursday, June 12, unveiled a KSh4.2 trillion budget 2025/26 for financial year, a blueprint designed not just for numbers on paper, but for lives on the ground.
Anchored on President William Ruto’s Bottom-Up Economic Transformation Agenda (BETA), this budget is a commitment to rebuild livelihoods, expand opportunity, and drive long-term prosperity for millions of Kenyans.
Investing in the Soul of the Nation – Education
Education, the engine of any prosperous society, received the largest share with an unprecedented allocation of KSh702.7 billion. This is not just an investment in books and classrooms, it is an investment in the dreams of every child, the dignity of every teacher, and the promise of a better tomorrow.
The Teachers Service Commission will receive KSh387.2 billion to ensure consistent support for educators across the country.
Free primary and secondary education has been allocated KSh58.9 billion, while KSh58.5 billion will support scholarships and loans in higher education, opening doors for thousands of young people.
Securing Safety, Dignity, and Peace
With KSh464 billion set aside for the security sector, the government reaffirmed its pledge to protect every citizen.
The funding will enhance the capacity of the National Police Service, the Kenya Defence Forces, and the National Intelligence Service.
Included in this is KSh10 billion for leasing modern police vehicles, KSh3.6 billion for modernization, and KSh1.1 billion for a new national forensic lab, critical tools in creating a safer and more just society.
Infrastructure for Growth and Equity
Recognizing infrastructure as the backbone of economic mobility, KSh318.1 billion will be directed towards roads, railways, air transport, and energy.
Of this, KSh217.3 billion is earmarked for road construction and maintenance, enabling farmers, traders, and commuters to move more efficiently.
Another KSh62.8 billion will support energy projects aimed at lighting up homes, businesses, and schools in every corner of the nation.
Housing the Nation with Dignity
To tackle Kenya’s urban housing crisis and uplift low-income communities, the Affordable Housing Programme has been allocated KSh120.2 billion.
KSh64.5 billion will go toward building affordable homes, while KSh10.5 billion will support social housing, a bold step towards making shelter a right, not a privilege.
Healthcare for All
No Kenyan should have to choose between their health and their income. With this budget, the government has allocated KSh133.4 billion to expand access to hospitals, emergency services, vaccines, and Universal Health Coverage.
Notably, Kenyatta National Hospital will receive KSh18.7 billion, Moi Teaching and Referral Hospital KSh10.8 billion, and the Primary Healthcare Fund KSh13.1 billion, a life-saving boost for public health infrastructure.
Empowering Counties, Empowering People
In line with the spirit of devolution, county governments will receive KSh474.9 billion — KSh405.1 billion through equitable sharing and the rest through targeted allocations.
This ensures that development is not confined to Nairobi, but reaches communities from Turkana to Kwale.
Protecting the Vulnerable
A just society cares for its most vulnerable. This budget allocates KSh41.3 billion to social protection including direct cash transfers to the elderly, orphans, and vulnerable households helping those on the margins live with dignity and security.
A Budget of Purpose and People
At its core, the 2025/2026 budget is a vision of shared prosperity. It aims to create jobs, grow businesses, strengthen institutions, and ensure every Kenyan regardless of where they were born can participate in the country’s economic promise.
In the words of CS Mbadi: “This is not just a budget of figures; it is a budget of people their hopes, their security, and their future.”
