Ruto signs Finance Bill 2026 into law, clearing path for Sh4.8 trillion budget implementation
The move paves the way for the National Treasury to legally collect revenue and implement the Sh4.8 trillion budget for the 2026/27 financial year from.
President William Ruto assents to the Finance Bill, 2026 at State House, Nairobi on June 23, 2026. (Photo: PCS)
The Finance Bill, 2026, is now law after President William Ruto assented to it at State House, Nairobi, on Tuesday, completing the final stage of approval for the government’s 2026/27 budget.
The move paves the way for the National Treasury to legally collect revenue and implement the Sh4.8 trillion budget for the 2026/27 financial year from July 1, despite concerns raised by opposition leaders and critics over some of its provisions.
The law sets out tax measures and revenue reforms aimed at financing salaries, development projects, debt servicing and key public services.
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The event was attended by Deputy President Kithure Kindiki, Prime Cabinet Secretary Musalia Mudavadi, National Assembly Speaker Moses Wetang’ula, leaders of both the Majority and Minority sides in the National Assembly, Senator Oburu Odinga, Cabinet Secretaries, the Chairperson of the Budget Committee, Majority and Minority Whips and other senior government officials.
The Finance Bill was passed by the National Assembly on June 18, 2026, following a heated debate that attracted national attention. During the Third Reading, 122 Members of Parliament voted in support of the Bill, 40 opposed it, and 187 abstained.
The vote came after weeks of political tension within Parliament and criticism from opposition leaders and civil society groups.
Speaking during the 95th St John Ambulance Annual Parade and Inspection at State House, Nairobi, on June 21, President Ruto confirmed that he would sign the Bill and defended its role in supporting government programmes.
“It is the reason why in the budget and the Finance Bill that I’m going to sign on Tuesday, we have enhanced the resources to make sure that we cover every aspect of the commitments we have made to the people of Kenya,” Ruto said.
At the signing ceremony, the President said the new law would enable the government to implement its economic agenda without interruptions caused by funding shortages. He added that the legislation supports the execution of the national budget and strengthens fiscal planning for the coming financial year.
Ruto also commended Members of Parliament for passing the Bill despite pressure from critics. Speaking in Nandi on June 19, he said legislators had acted in the country’s best interest.
“Nashukuru Bunge jana walipitisha Finance Bill na kutoruhusu watu wa porojo, fitina na propaganda. History will record that when a time was required to stand for country, you were there,” he said.
The Finance Bill 2026 introduces amendments to tax laws and revenue collection measures aimed at raising funds for government operations. It also aligns tax policy with the approved budget framework and updates various levies affecting goods and services.
Government officials have defended the legislation, saying it will support sectors such as health, education, infrastructure and security. They argue that the proposed reforms will strengthen revenue collection and help stabilise public finances amid increasing expenditure needs.
However, the Bill has faced opposition from some political leaders and county officials. Siaya Governor James Orengo urged the President not to assent to the legislation, arguing that Parliament passed it without full participation from all Members of Parliament.
He maintained that a law of such importance required broader consensus and more scrutiny before approval.
Opposition leaders also expressed concerns that some of the proposed taxes and levies could raise the cost of living. They cited measures affecting fuel, imports and selected consumer goods, and questioned a Sh101 billion allocation which they said lacked sufficient clarity.
Despite the criticism, the government maintained that the Finance Bill 2026 contains necessary fiscal reforms and responds to the country’s economic needs.
With the President’s assent, the Finance Bill 2026 now becomes law, paving the way for the full implementation of the 2026/27 budget. Attention will now turn to the Treasury’s rollout of spending plans and whether any legal challenges emerge in the coming weeks.
The President also signed into law the Supplementary Appropriation Bill, 2026, the Appropriations Bill 2026/2027 and the Food and Feed Safety Control Coordination Bill.