Mbadi: No easy budget as global shocks, inflation and revenue shortfalls bite
Mbadi noted that the current budget is being prepared in a challenging global environment, including disruptions linked to the conflict in the Middle East, which has affected global economic stability and contributed to inflationary pressures.
“The budget estimates and the revenue-raising measures have been with the public from April 30 to date. There are really no surprises; what remains is giving details of what is already in the estimates,” he said.
More To Read
- CS Mbadi defends revenue projections in Sh4.7 trillion budget amid MPs skepticism
- MPs warn Kenya's Sh4.82 trillion budget may strain economy amid global shocks
- Okoa Uchumi Coalition warns Kenya’s Sh4.82 trillion budget breaches fiscal limits amid soaring debt
- MPs flag five-year delay in operationalisation of National Public Health Institute
- Outrage as police seek Sh1.9 billion for VIP protection as stations lie in ruins
- Senate probes Meru County's 50 per cent fund freeze, summons Treasury officials
He said the Constitution has transformed the budget-making process by strengthening public participation and improving transparency in public finance management, compared to earlier years when budget details were less accessible to the public.
Mbadi noted that the current budget is being prepared in a challenging global environment, including disruptions linked to the conflict in the Middle East, which has affected global economic stability and contributed to inflationary pressures.
“There is no easy budget. This year’s budget is even more challenging because it is informed by a major external shock, underperformance in revenue collection and rising inflation,” he said.
Latest Stories
- Thousands of Malawians shelter in Durban park after fleeing xenophobic violence in South Africa
- How children in Ethiopia's Kule Refugee Camp are healing through play
- Three Sacco officials arrested over alleged theft of members' savings through system manipulation
- Inside the multi-million high tech newborn unit to combat infant deaths at Pumwani Maternity
He added that inflation, which was previously contained, is now on an upward trend, making fiscal planning more complex as the government balances competing priorities within limited fiscal space.
Mbadi said the budget also reflects input from Kenyans and stakeholders collected through nationwide public participation exercises, including sector hearings and regional consultations.
“The proposed budget reflects what Kenyans told us during public participation. We have taken those views seriously and integrated them into the final framework,” Mbadi said.
According to him, key sectors such as health, education, infrastructure, agriculture and social protection programmes have benefited from public input, alongside agricultural interventions such as fertiliser subsidies and improved seed distribution aimed at boosting food production.
His remarks come as finance ministers across Kenya, Uganda and Tanzania prepare to present their 2026/27 budgets to their respective parliaments on Thursday.
Kenya, the biggest economy in the East African region, plays a central role in shaping the region’s fiscal direction and economic outlook.
Top Stories Today
Comments
Sign in with Google to comment, reply, and like comments.
Continue with Google