State House budget rises to Sh17 billion by mid-year

Kenya's State House budget for the 2025/26 fiscal year has doubled to Sh16.998 billion following mid-year supplementary allocations initially without parliamentary approval. This increase shows spending exceeding budgets of other nations' presidencies, such as the US and Germany. Experts warn of risks in exhausting the budget early and constitutional violations.

The State House budget started at Sh8.58 billion approved by Parliament in June 2025, with Sh7.7 billion for recurrent expenditure and Sh894.91 million for development. However, it increased by Sh8.42 billion, reaching Sh16.998 billion by February, where Sh16.1 billion was for recurrent and development remained at Sh894.91 million.

State House sought Sh2 billion on September 8, 2025, for other operational expenses, and later Sh4.5 billion under Article 223 of the Constitution, which allows supplementary funds for emergencies. The Treasury approved and disbursed Sh4.4 billion. Finance Minister John Mbadi stated, “Following the approval of the 2025/26 fiscal year budget, the National Treasury has issued additional funds to Ministries, Departments, and Agencies in accordance with the Constitution.”

These expenditures exceed presidencies in countries like the US (Sh10 billion), Germany (Sh7 billion), France (Sh2.6 billion), and nearly matching France (Sh17.5 billion). Regionally, they surpass Nigeria (Sh3.1 billion), South Africa (Sh7.8 billion), Algeria (Sh8.9 billion), and Tanzania (Sh1.7 billion). It is the largest since 2013.

Budget Controller Dr. Margaret Nyakang’o warned that State House risks exhausting its budget early, though its first-quarter absorption rate is 55 percent, above the 25 percent average. Parliament's Budget Office experts say this constitutes a constitutional breach and fiscal indiscipline.

In the first quarter, coordinating State House operations cost Sh4.7 billion, with Sh4.45 billion recurrent and Sh235.10 million development. For pensions of retired presidents and deputies, Sh452.6 million was allocated, with Sh50.59 million already used.

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