The Cabinet of Kenya, led by President William Ruto, has endorsed a comprehensive budget policy statement for the fiscal year 2026/27, which details total expenditures of 4.7 trillion Shillings and expected revenues of 3.5 trillion Shillings. This proposed budget reflects a significant investment in recurrent expenditure, amounting to approximately 3.46 trillion Shillings, while also allocating funds for development initiatives and county government transfers. Specifically, 749.5 billion Shillings is designated for development projects, showcasing the government's commitment to infrastructural and socio-economic growth.

The allocations under the budget are structured to fulfill constitutional requirements, particularly regarding the transfers to county governments. The Division of Revenue Bill outlines that county governments will receive an equitable share of 420 billion Shillings, amounting to 21.9% of the most recently audited revenue. Additionally, 15.2 billion Shillings is budgeted for the Equalisation Fund, ensuring that resources are equitably distributed across the counties to promote balanced regional development.

Furthermore, the proposal includes an additional 75.7 billion Shillings under the County Governments Additional Allocation Bill, bringing the total transfers to county governments to 495.7 billion Shillings. This allocation underscores the government's focus on decentralizing funds to enable local governments to better respond to their specific development needs. The financial plans laid out by the Cabinet aim to catalyze growth and reinforce economic stability in Kenya while addressing the challenges faced by various sectors within the community.