The education sector received a major boost in the 2026/27 budget after Treasury Cabinet Secretary John Mbadi proposed Sh784.5 billion to support teachers, learners, infrastructure and higher education.
Presenting the budget estimates before the National Assembly on Thursday, Mbadi said the allocation accounts for 26.4 percent of the ministerial budget and represents a 49 percent increase compared to the previous financial year.
“The education sector has been allocated Sh784.5 billion, representing 26.4 percent of the ministerial budget and an increase of 49 percent compared to the previous financial year,” Mbadi told Members of Parliament.
The Treasury said the increased funding underscores the government’s commitment to improving access to quality and affordable education while strengthening institutions that promote skills development, innovation, and research.
A significant share of the allocation, amounting to Sh484.5 billion has been earmarked for teachers and education personnel. Of this amount, Sh424 billion will be allocated to the Teachers Service Commission (TSC) to cater for teachers’ salaries and related expenditures.
Mbadi said sustained investment in teachers remains essential to maintaining quality learning standards and ensuring efficient service delivery across schools nationwide.
“The allocation to teachers will ensure that learning institutions continue to operate effectively while supporting the welfare of educators who play a key role in national development,” he said.
The budget further proposes Sh136.6 billion for basic education and Sh163.9 billion for higher education. Technical and Vocational Education and Training (TVET) institutions are set to receive Sh58.5 billion, while Sh1.3 billion has been allocated for science, innovation, and research initiatives.
According to the Treasury, the funding is designed to strengthen the education system from early learning through higher education and technical skills training.
To enhance access to education and ease the financial burden on parents, the government has proposed Sh7 billion for Free Primary Education, Sh54.6 billion for Free Day Secondary Education, and Sh30.7 billion for Junior Secondary School capitation.
The allocation is expected to support the continued implementation of the Competency-Based Curriculum (CBC) while ensuring uninterrupted learning in schools across the country.
In addition, the Treasury has earmarked Sh9.9 billion for the administration of national examinations, a move expected to support the smooth conduct of assessments and examinations nationwide.
Recognizing the role of nutrition in education outcomes, the government has also allocated Sh3 billion for the school feeding programme. The initiative is expected to improve attendance and learning outcomes, particularly in food-insecure regions.
Teacher recruitment and employment featured prominently in the budget proposals. The government has allocated Sh4.9 billion to facilitate the conversion of 20,000 intern teachers to permanent and pensionable terms beginning January 2027.
“We have proposed Sh4.9 billion for the conversion of 20,000 intern teachers to permanent and pensionable terms from January 2027,” Mbadi said.
The Cabinet Secretary further announced that 24,000 newly recruited intern teachers will also be absorbed into permanent and pensionable employment from July 2027. To support the programme, the Treasury has proposed an additional Sh8.2 billion for intern teachers.
“The recruitment and conversion of intern teachers will help address staffing gaps in schools and improve learning outcomes across the country,” he added.
To improve learning environments and expand access to education, the budget sets aside Sh4.1 billion for the development of primary and secondary school infrastructure. The funds will support the construction and rehabilitation of classrooms and other educational facilities.
Another Sh2.1 billion has been allocated for the construction and equipping of TVET centres aimed at strengthening technical training and equipping young people with market-relevant skills.
The government has also proposed Sh7.1 billion for the Kenya Primary Education Equity in Learning Programme and Sh4.7 billion for the Kenya Secondary Education Quality Improvement Programme.
Mbadi said the initiatives are intended to enhance equity, quality, and inclusivity within the education sector while improving learning opportunities for students from disadvantaged backgrounds.
Higher education financing also received substantial support, with Sh56.6 billion allocated to the Higher Education Loans Board (HELB) to provide loans to university and TVET students.
The Treasury said the funding will help increase access to higher education by supporting students from financially challenged backgrounds.
In addition, university scholarships have been allocated Sh30.9 billion, while Sh9.2 billion has been earmarked for TVET scholarships.
To address pending financial obligations in public universities, the government has allocated Sh6.7 billion for Collective Bargaining Agreement (CBA) arrears arising from the 2021/22 CBA cycle. A further Sh5.9 billion has been proposed for ongoing university development projects.
“These investments expand access to education and strengthen human capital development for a competitive economy,” Mbadi stated.
By Shanel Kwamboka and Sitna Omar
