Economy

State Expenditure on Education to Drop 1.2% to Ksh.594 Billion

The projected decline is mainly attributed to a 1.7 percent reduction in recurrent expenditure, which will contract to Ksh.566.1 billion. This component primarily covers salaries and daily operational costs.

Government expenditure on education is projected to fall from Ksh.601.5 billion in the 2023/24 financial year to Ksh.594.2 billion in 2024/25, a 1.2 percent reduction.

This comes amid an expanding education landscape marked by a 38.3 percent increase in basic learning institutions, which rose to 129,463 in 2024, largely driven by the rollout of junior secondary schools.

The decline comes at a time when schools, spanning colleges and universities are expected to rise, according to the latest Economic Survey 2025.

The projected decline is mainly attributed to a 1.7 percent reduction in recurrent expenditure, which will contract to Ksh.566.1 billion. This component primarily covers salaries and daily operational costs.

In contrast, development expenditure is expected to rise by 9.8 percent to Ksh.28.1 billion, reflecting the government’s continued investment in infrastructure and learning facilities.

Despite the budget squeeze, Education Cabinet Secretary Julius Ogamba has assured stakeholders of the government’s commitment to timely disbursement of capitation funds.

Speaking earlier this week, CS Ogamba announced that approximately Ksh.21 billion would be released to public schools to support operations in the second term.

“We are working to ensure capitation for this term is released as soon as possible. The ministry does not allow any institution to levy charges outside government policy, even in times of delays,” said Ogamba.

He attributed the delay to competing priorities across government departments but maintained that the funds would be released imminently.

Also Read: Treasury Sets Aside 27.6% of Ksh.3.92 Trillion Budget for Education

Kenya’s capitation policy allocates funds to schools in three phases—50 percent in the first term, 30 percent in the second, and 20 percent in the third.

In March, schools received the balance of Ksh.14 billion for Term One.

Even so, concerns persist among school administrators regarding the adequacy of the allocated amounts. Some principals have flagged discrepancies between official student enrolment figures and capitation disbursements, leading to budget shortfalls and financial strain.

Meanwhile, student enrolment across the board continues to surge, with pre-primary enrolment having risen to 2.91 million in 2024 from 2.88 million the previous year. Primary and junior school enrolment grew by 3.2 percent to 10.73 million, while secondary school numbers climbed 5.2 percent to 4.32 million.

Technical and Vocational Education and Training (TVET) institutions recorded a significant 10.4 percent increase to 709,885 students.

At the university level, enrolment is projected to rise to 629,100 students from 579,000, as two new universities namely National Intelligence Research University and Tangaza University were granted charters, bringing the total number of universities to 72.

TVET institutions increased by 6.9 percent to 2,756, supported by the accreditation of new vocational training centres.

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Collins Ogutu

Nairobi based Digital Journalist, Corporate Communication Expert and Digital Marketer with a wealth of experience in multimedia. Accredited member of the Media Council of Kenya.

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