Kenya's Treasury has allocated a significant portion of the 2026-2027 budget to transport infrastructure, aiming to boost economic activity.

• Sh261 billion has been earmarked for transport, with a substantial Sh220.4 billion dedicated to roads.
• The proposal was presented by Treasury Cabinet Secretary John Mbadi before the National Assembly on Thursday, June 11, 2026.
• The roads budget prioritizes maintenance (Sh118.1 billion), construction (Sh44.3 billion), and rehabilitation (Sh58 billion), despite a backlog of unpaid contractor invoices.

National Treasury Cabinet Secretary John Mbadi has reassured Kenyans that the proposed pay-as-you-earn (PAYE) tax relief for those earning below Ksh 30,000 is still a government commitment, despite its omission from the Finance Bill.

• The proposed tax relief aims to benefit low-income earners by increasing the current relief threshold from Ksh 24,000 to Ksh 30,000 per month.
• Key figures involved include National Treasury Cabinet Secretary John Mbadi and President Ruto.
• The National Treasury stated that further data analysis is being finalized before the policy can be operationalized.

The Kenyan 2026/27 Budget, presented by Treasury Cabinet Secretary John Mbadi, proposes significant allocations and tax measures expected to benefit farmers, mitumba traders, and dialysis patients.

• Sh64 billion allocated to the agriculture sector to boost productivity and resilience.
• VAT exemptions proposed for kidney dialyzers and domestic sales of second-hand clothing (mitumba).
• Increased excise duty on sugary drinks and tobacco products as part of public health initiatives.

The Kenyan government is defending its fiscal strategy, acknowledging a significant budget deficit but asserting it is gradually declining. Alternative financing measures are being introduced to bridge the fiscal gap.

• The national budget deficit, estimated to exceed Sh500 billion, is a major concern but is reportedly coming down compared to last year.
• Key figures defending the strategy include Majority Leader Kimani Ichung’wah and Saku MP Dido Rasso, with input from Minority leaders like Suna East MP Junet Mohammed.
• The government is relying on mechanisms like the National Infrastructure Fund to finance projects off-budget and is emphasizing continued delivery on promises in education, health, housing, and infrastructure.