Kenya's National Treasury building is pictured in Nairobi, Kenya (Photo by Yasuyoshi CHIBA / AFP)
Kenya’s National Treasury building is pictured in Nairobi, Kenya (Photo by Yasuyoshi CHIBA / AFP)

The National Treasury disbursed KSh 13.84 billion in development funds by the end of August 2025, representing 3.4% of the KSh 407.1 billion development budget for the financial year 2025/26.

The data, published in the Kenya Gazette, shows a shift in allocations compared to July, when security absorbed nearly all releases.

Social programmes also featured among allocations in August. The State Department for Gender and Affirmative Action received KSh 575 million, while the National Treasury took KSh 407 million. Smaller allocations were recorded across devolution, transport, judiciary, industry, youth, and forestry.

In July, only two allocations were made: KSh 3.4 billion to the State Department for Internal Security and National Administration and KSh 400 million to the State Department for Co-operatives. Agriculture, water, and gender departments collectively accounted for about 70% of the new issues in August. Cumulatively, security now accounts for 24.5% of the total funds disbursed so far, while agriculture and water sectors combined take more than 55%.

Despite large budgetary allocations, several critical sectors are yet to receive any disbursements. These include the State Department of Roads (KSh 76.2 billion), State Department for Housing and Urban Development (KSh 20.9 billion), State Department for Basic Education (KSh 18.2 billion), and the health dockets covering medical services and public health (KSh 18.7 billion combined).

At 3.4% after two months of the financial year, most ministries, departments, and agencies (MDAs) have not received operational funding for development programmes. The pattern shows a cautious release strategy by the Treasury, prioritising food security and agricultural resilience early in the year.


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