LIVE: CS Mbadi Reads Budget Amidst Heavy Protests In Nairobi CBD

This will be Mbadi’s debut budget as CS, pegged at Ksh4.23 trillion. He is expected to break down how the government plans to generate revenue and allocate spending for the new financial year.

LIVE: CS Mbadi Reads Budget Amidst Heavy Protests In Nairobi CBD
Treasury Cabinet Secretary John Mbadi holding the famous Budget briefcase ahead of the Budget reading in Parliament on Thursday, June 12, 2025. /PARLIAMENT KENYA

National Treasury and Economic Planning Cabinet Secretary John Mbadi is currently reading the 2025/2026 national budget set to be tabled before the National Assembly on Thursday, June 12.

This will be Mbadi’s debut budget as CS, pegged at Ksh4.23 trillion. He is expected to break down how the government plans to generate revenue and allocate spending for the new financial year.

Leading up to the budget announcement, Mbadi has openly embraced the tough task of juggling Kenya’s heavy debt burden, rising expenditures, and resource demands—all while trying to avoid overburdening taxpayers.

The Treasury has emphasized that the budget will focus on key priorities like driving sustainable economic recovery, enhancing livelihoods, creating jobs, and boosting business and industrial development.

Chairperson of the National Assembly’s Budget and Appropriations Committee, Sam Atandi (Alego Usonga), and Chairperson of the Finance and National Planning Committee, Kuria Kimani (Molo), with Treasury Cabinet Secretary, John Mbadi at Parliament Buildings on June 12, 2025. /PARLIAMENT KENYA

In the proposed budget, the government has set aside Ksh3.09 trillion for recurrent spending, Ksh725.1 billion for development initiatives, Ksh436.7 billion for county allocations, and Ksh5 billion for the Contingency Fund.

Meanwhile, across the Nairobi CBD, a section of Kenyans assembled to demand justice for Albert Ojwang, with concerns mounting over the protests disrupting the Budget reading process.

Viral Tea is keeping you up to date by the minute on the budget-reading process as well as protests in the CBD:

5:22pm: Mbadi wraps up the 2025/2026 Budget presentation. Speaker Moses Wetang'ula acknowledges his remarks and officially closes the session.

5:16pm: Mbadi highlights key proposals in the 2025 Finance Bill. It includes several tax reforms aimed at tightening compliance — notably the return of a 100% diminution allowance under the Income Tax Act. The bill also gives multinational firms the option to enter advance pricing agreements with the KRA, helping reduce tax disputes.

It proposes slashing the Digital Asset Tax from 3% to 1.5%, easing the burden on digital businesses. Plus, it clarifies that employers—not employees—will be responsible for paying Fringe Benefit Tax.

5:07pm: Parliament is allocated Ksh48 billion, while the Judiciary will get Ksh27 billion.

4:56pm: The National Assembly observes a moment of silence to honour Gen Z protesters who lost their lives during last year’s anti-Finance Bill demonstrations.

4:55pm: Security sector allocations: Defence Ministry gets Ksh202.3 billion, NPS receives Ksh125.7 billion, NIS Ksh51.4 billion, Interior Ministry Ksh32.5 billion, and Kenya Prisons Service Ksh38.1 billion.

4:52pm: To stimulate job creation through manufacturing, the Treasury has allocated Ksh18 billion across various ministries.

4:50pm: Education takes the biggest slice — Ksh702.7 billion, amounting to 28% of the total budget — aimed at boosting learning outcomes and ensuring fair access across the board.

4:45 pm: The ICT Ministry is getting Ksh12.7 billion. The cash will fund the digital acceleration programme, build a high-tech facility at Konza Technopolis, support government shared services, roll out digital hubs, and boost the digital superhighway.

Meanwhile, Ksh217.3 billion has been set aside for building, maintaining, and upgrading roads across the country.

4:40 pm: Mbadi has proposed Ksh128.3 billion for the housing sector. The health sector is set to receive Ksh138 billion — an increase from last year’s Ksh123 billion. This will go into Universal Health Coverage (UHC), primary healthcare, and support for orphans, the elderly, and people with disabilities.

4:35 pm: Kicking off the sectoral allocations, Mbadi has proposed Ksh47.6 billion for agriculture, while the blue economy and fisheries will receive Ksh8.2 billion.

4.34 PM: Mbadi says the government expects to collect Ksh3 trillion in revenue. This includes Ksh2.754 trillion from taxes and other sources, Ksh567 billion from appropriations-in-aid, and Ksh46.9 billion in grants.

Spending is projected at Ksh4.291 trillion — with Ksh3.134 trillion going to recurrent expenses and Ksh693.2 billion set aside for development. Counties are set to receive Ksh474 billion. That leaves a fiscal deficit of Ksh923 billion, which the government plans to plug through internal borrowing of Ksh635 billion and external borrowing of Ksh287 billion.

4:30pm: Protestors storm Central Police Station, the alleged scene of crime where Ojwang met his death.

4:07 PM – CS Mbadi reaffirms the government's commitment to free basic education. He unveils plans to introduce a merit-based model for exam fee payments—students from wealthier families may be required to pay, while those from low-income backgrounds will be protected. He confirms the state will fully cover exam fees for this year.

3:55 PM – To tackle the ballooning public wage bill, Mbadi announces several reforms, including implementing a unified human resource management system across government institutions by July 2025. He also notes that the SRC will cut allowances for public and state officers.

3:45 PM – Mbadi outlines key government policy priorities: lowering the cost of living, job creation, tax base expansion, food security, foreign exchange growth, and inclusive development. He emphasizes value-chain-based investments, macroeconomic stability, human capital development, and equitable revenue distribution.

3:38 PM – He gives the economic context: Kenya's economy has stayed strong. Inflation has dropped to 3.8% from 9.6% in 2022. A lower CBK lending rate has made credit more accessible. Stronger forex reserves and a firming shilling are also fueling projected economic growth.

3:26 PM – Mbadi explains how the Budget was built: Treasury adopted a zero-based budgeting system and aligned allocations with current trends. He highlights the use of technology, youth involvement, and broader public engagement in shaping a robust budget.

3:16 PM – He lists key wins under President Ruto's Bottom-up Economic Transformation Agenda (BETA): rollout of affordable housing, fertilizer subsidies for farmers, registration of over 23 million Kenyans under UHC via the Social Health Authority, and the launch of digital transformation hubs.

3:13 PM – CS Mbadi opens his Budget address in the National Assembly by thanking President Ruto for the appointment and trust placed in him.

3:07 PM – Mbadi enters Parliament to applause from MPs, ready to present his first national Budget.

2:49 PM – 2:39 PM – Mbadi and key officials, including PS Kiptoo and CBK Governor Thugge, arrive in Parliament and greet key parliamentary figures like Budget Committee Chair Samuel Atandi. Meanwhile, protestors in the CBD continue vandalizing public property, including new bins installed by Nairobi Governor Sakaja.

2:15 PM – Interior PS Raymond Omollo acknowledges the ongoing protests, saying citizens have a right to demonstrate. Protests are also reported in Homa Bay, Albert Ojwang’s hometown.

1:55 PM – Protesters surround the Central Bank of Kenya as outrage over Albert Ojwang’s death grows.

1:42 PM – Mbadi arrives at Parliament carrying the iconic Budget briefcase. Heavy police presence surrounds the area as demonstrations intensify.

1:36 PM – Mbadi walks to Parliament from Treasury offices in a formal band-led procession via Harambee Avenue.

1:30 PM – The CS poses for his first photo with the Budget briefcase. Teargas is fired in the CBD as the protests grow more chaotic.

1:20 PM – Demonstrators chant for the resignation of DIG Eliud Lagat. Police escalate their crowd control efforts with more teargas.

12:29 PM – Protesters increase in number, marching through key streets like City Hall Way, Jevanjee Gardens, Parliament Road, and Harambee Avenue. They carry placards, whistle, wave twigs, and clash with police.

11:36 AM – Early protestors in the CBD rally for justice over Albert Ojwang’s killing, raising concerns about possible disruption to the Budget event.

9:10 AM – CS Mbadi arrives at Treasury HQ for final discussions with ministry officials before heading to Parliament.

8:29 AM – Mbadi defends the Ksh4.23 trillion Budget as practical, saying it prioritizes ordinary Kenyans' needs—education, health, agriculture, and employment.

7:53 AM – Reflecting on last year’s anti-Finance Bill protests, Mbadi says the 2025/2026 Budget was built with inclusive public participation—from Gen Z to grassroots communities.

7:50 AM – As he leaves for Parliament, Mbadi calls Budget Day his “date with Kenyans” and expresses confidence in what’s to come.