The Kenyan government is set to introduce a new system to monitor development partner funding flows, as the National Treasury prepares a record budget of KSh5.323 trillion for the 2027/28 fiscal year. The proposed budget, which includes a KSh1.321 trillion deficit, marks a significant increase in public spending.
The Treasury has accelerated the budget process to align with the upcoming election timetable, with officials working to finalize the proposal ahead of schedule. The budget allocates 73% of funds for recurrent expenses, reflecting ongoing pressures on public services and infrastructure.
Officials emphasize the need for improved transparency in tracking international development aid, which is expected to play a key role in supporting the country’s economic growth. The new system aims to enhance accountability and ensure efficient use of resources.
The budget also highlights growing concerns over domestic borrowing, as the government seeks to balance fiscal responsibility with investment in key sectors.
