Kenyans will for the first get the highest budgetary estimates amounting to Sh4trillion since independence out of which struggling Kenyans are expected to contribute Sh3.3trillion as taxes amid mounting public outcry on the current tax regime.
Today, the National Treasury Cabinet Secretary Professor Njuguna Ndung’u is expected to present the national budget this afternoon.
According to the draft budget, the national government could get 2.2trillion shillings, the consolidated fund services that is mainly used for servicing debts gets Sh1.2trillion while counties will share out Sh400billion.
The Executive will get the lion’s share allocated at Sh2.24 trillion comprising a recurrent allocation of Sh1.5trillion and development expenditure at Sh724.4billion.
On the other hand, the Judiciary has been allocated about Sh23.6billion while Parliament is to receive Sh44billion.
The draft budget projects revenue collection at Sh3.3trillion with the difference bridged by borrowing comprising net borrowing at Sh300billion and net external borrowing of Sh306billion.
Education is expected to get the lion’s share of the budget at about Sh700 billion, national security at Sh373.5billion, roads earmarked Sh178 billion and health gets Sh128.7billion.
Among the notable inclusions in the proposed 2024/2025 budget is introduction of motor vehicle tax at 2.5 per cent of the value of the vehicle or a minimum Sh5,000 and capped at Sh100,000 standardising VAT, introduction of eco levy on electronics, diapers, lithium batteries and tyres.
The Bill further proposes the lifting of the restriction of sale of affordable housing units without the consent of the Affordable Housing Board, meaning if passed one will be able buy and sell units under the affordable housing program.
