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The agriculture sector will receive Sh47.6 billion in the 2025/26 financial year, marking a decrease from the Sh54.6 billion allocated in the previous year.
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Treasury Cabinet Secretary John Mbadi announced the figures while delivering his first budget under the Kenya Kwanza government at Parliament Buildings on Thursday.
Despite the reduced funding, Mbadi emphasized that the allocation will support crucial initiatives aimed at boosting food security, increasing productivity among farmers, and improving resilience to climate change.
He highlighted that, even though agriculture is a devolved function, the national government remains committed to supporting the sector through input financing, subsidies, and extension services.
“Our goal is to shift from food deficits to surplus production, reduce dependency on food imports, and revive key export crops,” Mbadi said.
Key beneficiaries of the agriculture budget include:
- National Agricultural Value Chain Development Project (NAVCDP) – Sh10.2 billion
- Fertiliser Subsidy Programme – Sh8 billion (same as previous year)
- Food Systems Resilience Project – Sh5.8 billion
- Blue Economy Projects – Sh5.2 billion
- Settlement of the Landless – Sh3.8 billion
- Sugar Sector Reforms – Sh1.5 billion
- Pastoral Economies Support (DRIVE programme) – Sh2.3 billion
- Kenya Livestock Commercialization Programme – Sh1.6 billion
- Food Security and Crop Diversification – Sh1.2 billion
Additional funding includes:
- Processing and Issuance of Title Deeds – Sh1.1 billion
- Digitization and Construction of Land Registries – Sh900 million
- Small Scale Irrigation and Value Addition – Sh800 million
- Towards Ending Drought Emergency initiative – Sh300 million
Agriculture contributes 22.5% to Kenya’s GDP and sustains the livelihoods of millions, yet its allocation accounts for only about 3% of the national budget. This is well below the 10% target outlined in the Malabo and Kampala Declarations, to which Kenya is a signatory.
Observers and analysts have consistently pointed out that inadequate funding is a major factor behind persistent food insecurity and the poor performance of the country’s agricultural exports.
