The Kenyan government spent more than KSh206 billion through unplanned expenditure during the first nine months of the 2025/26 financial year, according to a report by the Office of the Controller of Budget.
The spending, approved under Article 223 of the Constitution, represents a sharp increase from previous years and was largely directed toward debt repayment and recurrent government expenditure.
Debt Repayment Consumed Largest Share
The report shows that the National Treasury requested KSh276 billion in additional expenditure, with KSh206 billion eventually approved by the Controller of Budget.
Of the approved amount:
- KSh144 billion was used to repay public debt.
- KSh185.3 billion went to recurrent expenditure.
- KSh19.5 billion was allocated to development projects.
The approved withdrawals represent a 490 percent increase compared to the same period in the previous financial year.
State House Spending Raises Questions
Among the institutions that received additional funding, State House Kenya recorded one of the highest levels of supplementary expenditure.
The report indicates that State House spent KSh4.45 billion beyond its approved budget allocation during the period under review.
By December 2025, State House had already utilized more than 90 percent of its annual allocation of KSh8.5 billion. By March 2026, total expenditure had reached KSh12.07 billion—equivalent to 140 percent of its original budget.
Records show that between January and February 2026 alone, State House withdrew approximately KSh2.5 billion through a series of approvals classified under “other expenses.”
The withdrawals included:
- KSh353 million on January 19
- KSh380 million on January 30
- KSh396 million on February 5
- KSh258 million on February 11
- KSh291 million on February 19
- KSh390 million on February 26
- KSh381.8 million on February 27
Other Major Beneficiaries
Several government departments also received substantial supplementary allocations, including:
- State Department for Internal Security and National Administration — KSh6.1 billion
- State Department for Special Programmes — KSh5.6 billion, largely for drought-related interventions
- Teachers Service Commission — KSh7 billion
- State Department for Sports — KSh3.9 billion in development expenditure
Public Debt Continues to Rise
The report also highlights the growing burden of public debt, which has now risen to approximately KSh12.8 trillion.
The findings are likely to intensify debate over government spending priorities, particularly the extensive use of Article 223 provisions, which are intended to cater for urgent and unforeseen expenditures that arise after the national budget has already been approved.
Analysts note that while the Constitution allows emergency spending, the scale of withdrawals during the current financial year is among the highest recorded in recent years, raising questions about budget planning, fiscal discipline, and transparency in public expenditure.
