Ministries get additional Sh287bn in supplementary budget - Capital Business
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Ministries get additional Sh287bn in supplementary budget

NAIROBI, Kenya, Mar 5 – Ministerial expenditure for the 2025/26 financial year is set to increase by Sh287.4 billion, marking an 11.3 percent rise from the original approved estimates amid mounting spending pressures.

Budget documents tabled in Parliament by Treasury Cabinet Secretary John Mbadi show that the National Treasury is seeking special approval for the 2025/26 Supplementary Estimates No. I under Article 223(6) of the Constitution.

The overall budget, including Consolidated Fund Services, will rise by Sh316.7 billion, representing a 13.5 percent increase from the initial allocation.

Kenya’s total planned expenditure has now climbed to Sh4.618 trillion, up from the originally approved Sh4.26 trillion, as the government moves to address emerging financing gaps.

Recurrent spending, which covers salaries and operational costs, accounts for the largest share of the increase, rising by Sh201.3 billion. Development expenditure has been boosted by Sh86.3 billion to support infrastructure and service delivery programmes.

Consolidated Fund Services—covering debt interest payments, pensions and remuneration for state officers—has increased by Sh29.3 billion.

The supplementary estimates highlight growing fiscal strain as revenue growth continues to lag targets and public debt servicing costs remain elevated.

Kenya’s fiscal space has also been squeezed by weak revenue performance and economic disruptions following contested tax changes in 2024, prompting expenditure realignments and austerity measures to rein in spending.

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