NAIROBI, Kenya – President William Ruto has officially assented to the 2025 Finance Bill, signing it into law Thursday morning at State House, Nairobi, in a move that gives the National Treasury the green light to implement the Ksh.4.2 trillion budget for the 2025/26 financial year.
The signing comes just a week after Members of Parliament passed the contentious legislation, which—though it steered clear of introducing new taxes—sparked public debate over several proposed clauses, particularly those concerning taxpayer surveillance.
One of the most controversial provisions would have granted the Kenya Revenue Authority (KRA) powers to access personal and financial data of taxpayers without a court order.
However, MPs dropped the clause during voting, following widespread pushback from civil society and data protection advocates.
In addition to the Finance Bill, Ruto also signed the 2025 Appropriations Bill, authorizing the withdrawal of Ksh.1.88 trillion from the Consolidated Fund to finance government operations in the new fiscal year.
The budget allocates Ksh.672 billion in Appropriation-in-Aid (AIA)—internally generated revenue collected by ministries, departments, and agencies—to be used for recurrent and development expenditure.
Earlier this month, Treasury Cabinet Secretary John Mbadi tabled the budget in Parliament, stating that the government aims to raise at least Ksh.30 billion in additional revenue through the new finance law, despite avoiding any major tax hikes.
“This year’s budget is anchored on fiscal consolidation, efficiency in revenue collection, and economic recovery,” Mbadi said during his budget speech.
