Nairobi City County has unveiled a Sh44.6 billion budget for
the 2025/2026 financial year, with officials confirming that no new taxes will
be introduced.
Finance and Economic Planning CEC Charles Kerich presented
the budget before the County Assembly, stating that the decision to maintain
current tax rates was aimed at shielding Nairobi residents from the strain of
the current economic climate.
“Due to financial constraints, the taxes will not be
increased to protect our people from the tough economic times,” said Kerich.
The budget includes KSh31.2 billion for recurrent
expenditure and KSh13.4 billion for development. The development allocation
represents 30% of the total budget, in line with the Public Finance Management Act,
2012, which requires counties to allocate at least 30% of their budgets to
development.
Kerich noted that instead of raising rates, the county had
broadened its tax base by identifying new sources of revenue, allowing the
government to improve services without additional financial pressure on
residents.
During the session, Receiver of Revenue Tiras Njoroge
reported a significant increase in own-source revenue.
The county collected Sh13.7 billion in the 2024/2025
financial year, up from Sh12.8 billion in the previous year and Sh12.1 billion
in 2022/2023. This reflects a steady rise from Sh10 billion collected in
earlier years.
“It has been a tough year, especially with frequent protests
in the CBD which affected revenue collection. Nevertheless, we managed to
collect KSh13.7 billion,” said Njoroge.
Finance Chief Officer Asha Abdi said the county was
optimistic about continued growth under the leadership of Governor Johnson
Sakaja.
She highlighted several priority areas in the new budget,
including Sh700 million for the school feeding programme, which currently
supports over 316,000 learners.
“We shall continue to fund key projects and programmes,
notably the school feeding program and the construction and rehabilitation of
markets to create a better business environment,” said Abdi.
The county has allocated Sh2.155 billion to ward development
programmes, with 145 projects completed in the past year.
Additionally, Sh2.8 billion has been invested in road
construction and rehabilitation, while Sh1.033 billion has been set aside for
upgrading sports complexes and stadiums across Nairobi.
The 2025/2026 budget prioritizes public service delivery,
infrastructure development, and social support, while maintaining fiscal
discipline and complying with legal financial management requirements.
