Budget debate sparks tax concerns, calls for equity in allocations

Chairman of the National Assembly Budget Committee, Samuel Atandi, addresses the media on the 2025/26 Budget at KICC. May 20, 2025. [Boniface Okendo, Standard] Members of the National Assembly began debating the 2025/26 budget estimates, with calls to increase funding for critical underfunded sectors such as education. As the debate opened yesterday, some MPs praised the estimates for addressing previously overlooked areas in the national budget, while others urged greater support for key sectors. Speaker of the National Assembly, Moses Wetang'ula, said debate on budget estimates for Financial Year 2025/26 will pave the way for consideration in the Committee of Supply, even as he noted a variance on the global figure being sought to be issued on the Consolidated Fund. Next Tuesday, the Committee of Supply will sit to consider the budget estimates, which will then pave the way for the publication of the appropriations bill and budget reading on Thursday. "The conclusion of this will pave the way for consideration of estimates in the committee of supply pursuant to the provisions of Standing Order 240. As earlier directed, this will be undertaken on Tuesday, June 10, on a priority basis. I have directed the clerk to avoid loading the order paper with too many issues so that after preliminary issues, we will go straight to the Committee of Supply," Wetang'ula said. The House adopted report of the Budget and Appropriations Committee (BAC) on its consideration of the estimates of revenue and expenditure and the Medium Term for the Financial Year 2025/2026, presented on Wednesday pursuant to the provisions of Article 221 of the Constitution, section 39 of the Public Finance Management Act, 2012 and Standing Order 239. BAC is chaired by Alego Usonga MP, Samuel Atandi. Kathiani MP, Robert Mbui, called for caution on the wording contained in the estimates because a lot of people are still pained at the level of taxation in the country. "When you look at the wording on Section 31 when it says "this increased revenue is reflecting optimism in the ongoing tax policy reforms and enhanced revenue administration measures", that isn't the truth. A lot of people out there have been complaining about the disposal income and how much lower it has gone as a result of those increased taxations," he said. He also said that an increase in appropriations in aid is a challenge because it means that the cost of government services is also going up, and many people may not be able to afford the basic services that are supposed to be provided. "When we are celebrating an increase in revenue and collections by government agencies, then we forget that this is money coming out of the pockets of Kenyans who were promised that they would have much more money in their pockets," he noted. He also said there is still a deficit in the budget of about Sh876.1 billion to be plugged by borrowing. "I go back two, three years and I remember our political leaders were very categorical when they said "we will not borrow in the future: but every single budget that is brought to this house, we have to borrow, we are still borrowing," he stated. Ruaraka MP, Tom Kajwang, said he has compared the budget report against the policy and the initial submissions by the National Treasury Cabinet Secretary and lauded the Budget committee for doing a 'tremendous job' to change what Treasury brought and given a product which looks like Kenya. He said proposals on the budget have been balanced to have comparative budgets across the country "It is a good thing to have experts such as you (Atandi), we have donated you to be able to give your professional services to this exercise so that we can have a country that is ours. In the budgets that I have gone by, we have been crying of skewed budgets of some regions taking more than the lion's share than other parts," Kajwang said. Homa Bay Town MP, Peter Kaluma, said the budget estimates have restored the power and authority of the departmental committees' participation in the budget-making process, even as he stated that allocations have not been fair and just to all parts of the country, as has happened this time round. "Unlike before, the recommendations that come from committees in charge of various ministries and sectors have been carried out this time. This is unique, in the past we were complaining about BAC, and whatever they recommended was not being carried," he said. Nyeri Town MP, Duncan Mathenge, called for the need to resolve the challenges the country is facing today without demonising one section or area of the country. "From the onset, I want to say that I support this budget. However, I must dissuade some of the members of this August House from deciding that because of coming from Mt Kenya now, I am guilty of what my forefathers did," he said. He added, "At independence, when Sessional Paper No. 10 was made, we had representation in the cabinet from across the country. It was a government that was formed across regions and the ethnic divide, the wisdom of our forefathers cannot be used to make us guilty today." Kisumu West MP, Rozah Buyu, said there has been no time in the history of the country since 1965 than now, when Kenyans have come back together to say it is time to look at the other areas that had not been given the privilege in 1965, which led to discrepancies in terms of development. "I dare say that Kenyans are not against paying taxes, but Kenyans are against paying taxes when they do not see benefits from those taxes. Today, I am happy to see that for the first time we have Sh110 million being set aside to purchase a ferry for Lake Victoria," she said.

Budget debate sparks tax concerns, calls for equity in allocations

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