Mbadi’s Budget Highlights: A kinder explanation

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Treasury Cabinet Secretary John Mbadi on Thursday presented Kenya's Budget Highlights for Financial Year 2025-2026.

No New Taxes

CS Mbadi said: “We’re not asking for any new money from people.” 

That means no extra charges or taxes this time.

Instead, he is asking the tax people to find hidden money and make sure everyone pays what they should--not add fresh taxes.

Starting All Budgets From Zero

Imagine every school starts with an empty lunchbox each morning. That’s what Mr Mbadi did with ministries, departments, and agencies--they had to show why they need every shilling from scratch.

This is called Zero-Based Budgeting: no “just add 5pc more each year”--you must explain every cent.

Fix Spending and Cut Waste

He wants to stop money leaks in buying things, taking care of buildings, and paying people--to make sure we get real value for every shilling.

It is like making sure no one takes extra snacks without asking.

Smart Money Management

The government wants to reduce borrowing and pay down debt. It is like if you borrow pocket money, you want to borrow less and pay it back quicker.

Here, the broad-based government is aiming to make borrowing a smaller part of the country's “piggy bank”--from over 5pc of the money the country earns (GDP) down to 4.5pc.

No Tax on Everyday Food

Some people (Kenyans, visitors, and residents) were worried about being taxed on bread, milk, or unga (maize flour). However, Mr Mbadi says that is not true--there is NO new tax on these staples.

Everyone Gets to Have a Say

This time, people all over Kenya--farmers, shopkeepers, teachers--were invited to say what they think should be in the budget. It is like a school suggestion box where every voice can be heard!