Treasury Cabinet Secretary Ukur Yatani unveiled Kenya's 2021/22 national budget totaling Sh3.64 trillion, representing a 28% increase from the Sh2.84 trillion allocated in 2020/21. The budget prioritizes pandemic response, cost-of-living support, and infrastructure development, with specific allocations for health, education, and defense sectors.
Yatani emphasized that the budget addresses pandemic-related challenges and economic pressures, stating, "I assure Kenyans that their concerns of the high cost of living and Covid-19 pandemic have been taken into consideration." The government allocated Sh14.3 billion for Covid-19 vaccine rollouts, building on the Sh7.6 billion provided in the previous fiscal year.
Health Sector Allocations ¶
The Health Ministry received Sh121.1 billion, including Sh47.7 billion for universal health coverage, Sh8.7 billion for Covid-19 emergency response, and Sh14.3 billion for vaccine procurement. Additional funds of Sh15.2 billion were allocated to Kenyatta National Hospital, while Sh11.5 billion supported Moi Teaching and Referral Hospital. The budget also included Sh3.9 billion for vaccination programs and Sh1.8 billion for elderly and vulnerable populations.
Defence Ministry Funding ¶
The Defence Ministry secured Sh294.5 billion for military operations, national police, and intelligence services. An additional Sh1.5 billion was earmarked for the National Communication and Surveillance System to enhance crime-fighting capabilities. This allocation reflects continued investment in national security infrastructure.
Education Sector Investments ¶
Education received Sh202.8 billion, including Sh62.2 billion for free day and secondary education, Sh4 billion for examination waivers, and Sh281.7 billion for the Teachers Service Commission. The Higher Education Loans Board received Sh15.8 billion, while Sh2.5 billion was allocated for teacher recruitment. Additional funds of Sh5.2 billion supported TVET students, and Sh76.3 billion were designated for universities.
Transport and Agriculture Allocations ¶
The Transport Ministry received Sh182.5 billion, with Sh7.2 billion for the Standard Gauge Railway's second phase and Sh7.5 billion for the Lapsset project. A further Sh100 million supported Nairobi Metropolitan Services infrastructure, and Sh111.2 million funded footbridge construction. Agriculture was allocated Sh60 billion, including Sh1 billion for a Lamu fish processing plant and initiatives to boost livestock production.
Yatani reiterated that Kenya's public debt, exceeding Sh7 trillion, remains sustainable. The 2021/22 budget also includes Sh7.6 billion for Covid-19 vaccines, building on the Sh14.3 billion allocated in the previous fiscal year. Previous allocations from the 2020/21 budget included Sh5 billion for road rehabilitation and Sh111.7 billion for health sector initiatives, including universal health care and hospital bed supplies.
