NAIROBI, Kenya — Wiper leader Kalonzo Musyoka has pledged to scrap a controversial Sh104 billion health technology project linked to the Social Health Authority (SHA) if the opposition takes power, as he unveiled a Sh4.32 trillion alternative budget aimed at reducing public debt and easing the cost of living.
Speaking on behalf of the United Alternative Government on Wednesday, Kalonzo launched what the opposition has dubbed the “People’s Budget 2026,” positioning it as a people-centred alternative to the government’s proposed Sh4.82 trillion spending plan.
Kalonzo accused President William Ruto’s administration of prioritising costly projects at the expense of essential services, arguing that Kenya’s growing debt burden has squeezed funding for healthcare, education and social protection.
“Nothing, in all these years of public life, has prepared me for the cruelty of this budget,” Kalonzo said while presenting the opposition’s proposals.
The former Vice President singled out the SHA-linked health technology programme, which he said would be among the first projects his administration would terminate if elected.
“SHA, in its current form, is not a health policy. It is a compulsory tax with a hospital logo,” he said.
Kalonzo argued that billions allocated to the programme should instead be redirected to public hospitals, medicines and frontline healthcare services. He claimed the project lacked transparency and had failed to demonstrate value for money.
The opposition leader used the example of a small-scale trader in Nairobi’s Mathare area, saying many Kenyans continue to struggle despite contributing to health insurance schemes and other government programmes.
The People’s Budget proposes total expenditure of Sh4.32 trillion for the 2026/27 financial year, nearly Sh500 billion lower than the government’s projected spending.
According to Kalonzo, the plan seeks to reduce the fiscal deficit and limit the country’s reliance on borrowing. He criticised the government’s budget framework, saying projected revenues of Sh3.63 trillion against expenditure of Sh4.82 trillion would leave a financing gap of about Sh1.1 trillion.
He also raised concern over the rising cost of debt servicing, noting that approximately Sh1.5 trillion has been allocated to debt repayments and pensions.
“We are increasingly spending more on servicing debt than on providing services to citizens,” he said.
Under the opposition proposal, no new taxes would be introduced. Instead, the coalition plans to increase tax compliance, seal revenue leakages and cut what it describes as wasteful expenditure.
Education features prominently in the plan, with commitments to fully fund free basic education, increase capitation to schools and reduce the financial burden on parents. The coalition also pledged to restore key health programmes and strengthen support for vulnerable populations.
The budget further proposes an Sh80 billion youth employment programme aimed at tackling unemployment and stimulating grassroots economic growth.
Kalonzo said the proposal represents a shift away from debt-driven spending towards investments focused on basic needs, economic stability and inclusive development.
