Fresh scrutiny has emerged over government spending after a report indicated that State House has already exhausted Sh10.4 billion within seven months, exceeding its full-year allocation of Sh7.7 billion.
The spending surge comes at a time when the Kenya Revenue Authority is intensifying tax enforcement on small businesses and professionals, while the National Treasury warns of a widening revenue deficit and growing debt strain.
According to the report, the expenditure is nearly one-third higher than the annual budget, raising concerns about fiscal discipline and government priorities as the country grapples with rising borrowing costs and limited revenue inflows.
Breakdowns of the spending reveal sharp increases in several operational areas.
Domestic travel costs jumped to Sh293 million in the 2025/26 period, up from Sh43 million in 2024/25. Hospitality expenses also rose significantly to Sh199 million from Sh76 million the previous year.
Personnel-related costs remained substantial, with employee expenses recorded at approximately Sh716 million compared to Sh690 million previously.
Expenditure on motor vehicles increased to Sh55 million from Sh28 million, while fuel and lubricants spending climbed to Sh98 million, up from Sh39 million.
The surge in operational expenses comes as taxpayers face tighter compliance measures and increased enforcement efforts aimed at improving revenue collection.
Economic analysts warn that continued overspending beyond approved allocations risks undermining fiscal consolidation efforts and could weaken public confidence in public finance management.
Kenya is currently balancing competing priorities, including servicing public debt, funding development projects, and supporting social programs amid a challenging economic climate.
The latest figures are likely to intensify debate over spending controls, transparency, and accountability within the executive branch as policymakers seek to stabilise the country’s fiscal outlook.