NAIROBI, Kenya, May 26 -The National Assembly resumes regular sittings this afternoon, with Members of Parliament set to embark on key budgetary and legislative business expected to shape the country’s fiscal and policy agenda for the 2026/2027 financial year.
Critical on the House agenda will be a debate on the 2026/2027 National Government Budget Estimates through the report of the Budget and Appropriations Committee, a process that will set the stage for consideration of the Appropriation Bill, 2026 and the Finance Bill, 2026.
Lawmakers are also expected to prioritise deliberations on Senate amendments to the Division of Revenue Bill, 2026, and the County Allocation of Revenue Bill, 2026, measures that will determine how revenue is shared between the national and county governments.
Parliament could be forced to establish a mediation committee if the National Assembly and the Senate fail to agree on the Division of Revenue Bill, 2026, a crucial piece of legislation that determines the allocation of nationally raised revenue between the two levels of government.
The possibility arises following the Senate’s proposed amendments to the Bill, which the National Assembly must now consider.
Should MPs reject the Senate’s changes, or if the two Houses are unable to reach a consensus on the revenue-sharing formula, the matter would trigger the constitutional dispute resolution mechanism provided for under Article 113 of the Constitution.
Under the process, a mediation committee comprising an equal number of members from both Houses would be formed to negotiate a compromise version of the Bill. The committee would be required to develop an agreed text for consideration by both the National Assembly and the Senate. Failure by the mediation team to secure a deal, or rejection of the mediated version by either House, could see the Bill defeated, potentially complicating the budget-making process for the 2026/2027 financial year.
The stakes remain high as the Division of Revenue Bill is central to unlocking funding flows to county governments, with delays or deadlock likely to heighten tensions over county financing and service delivery.
Revenue Bills
Among the key legislative proposals before the House is the Finance Bill, 2026, which seeks to amend several tax statutes, including the Income Tax Act, Value Added Tax Act, Excise Duty Act, and the Tax Procedures Act.
The House will further consider the Central Bank of Kenya (Amendment) Bill, 2026, which proposes parliamentary approval of Central Bank Deputy Governors, alongside the Microfinance Bill, 2026, aimed at reforming the legal and regulatory framework governing microfinance institutions.
In the health sector, MPs are expected to continue debate on the Quality Healthcare and Patient Safety Bill, 2025, which seeks to establish a legal framework for quality healthcare delivery, accreditation systems, and enhanced protection of patient rights.
The legislative agenda also includes consideration of agreements and sessional papers covering agriculture, energy, petroleum policy, and regional cooperation.
Additionally, lawmakers will vet a nominee for appointment as Kenya’s High Commissioner to Ottawa, Canada, and address matters relating to the proposed degazettement of sections of four public forests.
The House resumes from the long recess during which departmental committees continued oversight activities, including scrutiny of ministerial budget estimates for the 2026/2027 financial year.
