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This process involves multiple stakeholders such as the Executive, Parliament, and the public.
- CS Treasury issues a circular advising all government agencies on how to prepare the budget for the next financial year.
Image: FILE
The budget-making process in Kenya is a systematic and organized procedure guided by the 2010 Constitution and the Public Finance Management Act of 2012.
This process involves multiple stakeholders such as the Executive, Parliament, and the public.
The budget preparation process is initiated by the National Treasury CS.
This first stage commences on August 30.
CS Treasury issues a circular advising all government agencies on how to prepare the budget for the next financial year.
By September 30, the National Treasury submits the budget review and outlook paper (Brop) to the cabinet for approval.
Brop shows the actual expenditure in the previous financial year and projections for the final year.
The Brop is then tabled in the parliament by October 21 and is to be made public not later than November 5.
The Treasury then takes the budget policy through public participation before seeking cabinet approval in January.
Public participation serves as a catalyst for transiency, accountability and good governance.
In January also, the Commissioner on Revenue allocations submits its recommendation for how much should be distributed to each level of government (National and County ).
These recommendations inform the division of revenue and county allocation of Bills tabled annually by parliament by February 15
The CS National Treasury then tables the budget policy statement and debt management strategy in parliament by February 15.
The national budget estimates will then be tabled by April 30 in the National Assembly.
The finance bill which set out the revenue-raising measures will also be tabled before parliament by April 30
The Ntional Assembly then starts a public hearing on the budget estimates in May.
After the public hearings, the Treasury CS then presents the budget statement in parliament highlighting the revenue-raising measures in the Finance Bill.
This is usually in mid-June. This year the budget is read on June 13.
The budget is then expected to be approved by the parliament by June 30 which is usually the end of the financial year.