By Dorothy Musyoka
President William Ruto has signed into law the Supplementary Appropriation Bill (National Assembly Bill No. 8 of 2025), unlocking critical additional funding for Kenya’s education, health, security, and infrastructure sectors.
The new law, which was passed by the National Assembly on March 14, 2025, provides for the withdrawal of funds from the Consolidated Fund to address emerging financial needs while maintaining fiscal discipline.
The Bill, sponsored by Deputy Speaker and Chairperson of the Liaison Committee, Hon. Gladys Boss, was developed in response to evolving domestic and global economic conditions.
With Kenya’s economy stabilizing—evidenced by declining inflation, lower interest rates, a stronger shilling, reduced food prices, and falling global oil prices—the adjustments in government spending aim to align national financial priorities with economic realities.
A significant portion of the newly allocated funds will go toward strengthening Kenya’s education system.
The Teachers Service Commission (TSC) has been allocated Kshs. 18 billion to support teacher promotions, personnel emoluments, and insurance needs.
Other key education allocations include:
- Kshs. 8 billion for the State Department for Technical and Vocational Education and Training (TVETs) following an upward revision of Appropriation-in-Aid.
- Kshs. 16 billion for university education, including funding for the implementation of the Universities Collective Bargaining Agreement (CBA) and an upward revision of universities’ Appropriation-in-Aid by Kshs. 6.48 billion.
- Kshs. 6.5 billion for the Kenya Primary Education Equity in Learning Program, supported by the World Bank.
To enhance the delivery of healthcare services, the new law allocates Kshs. 1.5 billion for the recapitalization of the Kenya Medical Supplies Authority (KEMSA) and Kshs. 3 billion each for the Primary Healthcare Fund and the Emergency, Chronic, and Critical Illness Fund. Additionally, Kshs. 1.5 billion has been set aside for stipends to healthcare interns.
Major referral hospitals will also receive additional funding to address personnel emolument gaps:
- Moi Teaching and Referral Hospital (Kshs. 1 billion)
- Kenyatta National Hospital (Kshs. 1.7 billion)
- Kenyatta University Teaching, Referral and Research Hospital (Kshs. 1.4 billion)
The security sector is set to benefit significantly from the new budget allocations, with Kshs. 7.5 billion directed to the National Police Service.
- Kshs. 5 billion will address insurance shortfalls for police officers.
- Kshs. 2.5 billion will support Kenya’s peacekeeping mission in Haiti.
Beyond education, health, and security, the law also provides:
- Kshs. 5 billion for drought relief interventions.
- Kshs. 16 billion for roads infrastructure projects.
- Kshs. 4.6 billion for the State Department for Tourism.
- Kshs. 8 billion to address personnel emolument shortfalls at the Kenya Revenue Authority (KRA).
The enactment of the Supplementary Appropriation Bill, 2025, also regularizes expenditures incurred under Article 223 of the Constitution, ensuring that all government spending is properly accounted for with parliamentary approval.
The Bill was signed into law in the presence of National Assembly Speaker Hon. Moses Wetangula, Majority Leader Hon. Kimani Ichung’wah, Budget and Appropriations Committee Chair Hon. Samuel Atandi, Majority Whip Hon. Naomi Waqo, First Chairperson Hon. Martha Wangari, and Clerk of the National Assembly Mr. Samuel Njoroge.
This financial boost reaffirms the government’s commitment to strengthening key sectors, fostering economic growth, and improving service delivery for all Kenyans.