Feb 24 • 08:49 UTC 🌍 Africa AllAfrica

Kenya: Transport Department Projects Sh37.7bn Budget Shortfall

The Kenyan Transport Cabinet Secretary has highlighted a projected Sh37.7 billion budget shortfall for the State Department for Transport in the upcoming financial year, which could affect crucial programs.

In a recent presentation to the National Assembly of Kenya's Committee on Transport, Transport Cabinet Secretary Davis Chirchir expressed serious concerns regarding a substantial budget deficit facing the State Department for Transport for the fiscal year 2026/27. The department has been allocated Sh65.1 billion under the 2026 Budget Policy Statement (BPS), while the actual projected requirement stands at Sh102.7 billion. This results in a staggering shortfall of Sh37.7 billion that threatens to disrupt essential transport programs and initiatives intended to enhance the national transport infrastructure.

Chirchir emphasized the potential impact of this budgetary gap on the implementation of key projects that are vital for Kenya's transport sector, including road and rail improvements as well as initiatives aligned with national priorities. Lawmakers during the session raised questions about the alignment of proposed capital project funding with the resource allocation criteria set by the 2026 BPS, seeking assurances that the limited funds will be utilized effectively.

In response, Principal Secretary for Transport, Mohamed Daghar, assured the committee that the department had strictly adhered to the project prioritization and resource allocation framework outlined in the BPS. He reinforced that the allocations proposed in the budget are consistent with national priorities, including those aimed at fostering economic growth and development. However, without addressing the funding deficit, the efficacy of these initiatives remains uncertain, raising concerns among stakeholders about the future of Kenya's transport infrastructure development.

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