Budget Committee Questions MDAs’ Capacity to Absorb Increased Allocations in Supplementary Estimates

By Ahmed Salat Ali | AARAN TV KE 

 The National Assembly’s Budget and Appropriations Committee has raised concerns over the ability of Ministries, Departments and Agencies (MDAs) to effectively absorb increased budgetary allocations proposed under the Supplementary Estimates No. 1 for the 2025/2026 Financial Year.

The Committee, chaired by Hon. Samuel Atandi, questioned the persistently low absorption rates in development expenditure across several MDAs, warning that the trend has slowed progress on key national projects. Members cautioned that allocating additional funds without addressing implementation challenges could further delay critical development initiatives.

The concerns emerged during a consultative meeting between the Budget and Appropriations Committee and chairpersons of various National Assembly Departmental Committees. The departmental heads appeared before the committee to present and defend budget proposals for the MDAs under their respective oversight.

Despite the committee’s reservations, several departmental chairpersons expressed confidence that the concerned MDAs would be able to utilize the additional allocations within the remaining period of the current financial year. 

They also outlined priority funding areas and appealed for more resources to address existing budgetary gaps in their sectors.

According to the proposed Supplementary Estimates No. 1 for FY 2025/26, the national budget is set to increase by KSh 316.7 billion, rising from the initially approved KSh 4.3019 trillion to KSh 4.6186 trillion. Of this adjustment, KSh 287.4 billion will go to the national government budget, while KSh 29.3 billion will be allocated to Consolidated Fund Services.

Reports presented before the committee indicate that the majority of MDAs stand to benefit from the additional allocations.

 However, the committee also noted that several institutions will experience budget reductions under the revised estimates.

Among those affected are the State Department for Housing and Urban Development, which faces a net reduction of KSh 816 million, the Commission on Administrative Justice, whose allocation will drop by KSh 8.9 million, and the Kenya National Commission on Human Rights, which will see a reduction of KSh 9 million. The Emergency, Chronic and Critical Illness Fund will also experience a significant cut of KSh 2 billion, among other adjustments.

Departmental committee chairpersons who appeared before the Budget and Appropriations Committee included Hon. John Kanyuthia Mutunga (Agriculture and Livestock), Hon. Rindikiri Mugambi (Housing, Urban Planning and Public Works), Hon. Nelson Koech (Defence, Intelligence and Foreign Relations), Hon. Alice Ng’ang’a (Social Protection), Hon. James Nyikal (Health), Hon. George Murugara (Justice and Legal Affairs), and Hon. Ken Chonga (Labour).

The committee is expected to continue receiving submissions from other departmental committees as the review process progresses. Further presentations are scheduled for Tuesday, March 24, 2026, as lawmakers scrutinize the supplementary budget before it is tabled for approval.

The deliberations come at a time when Parliament is under pressure to ensure that additional public funds translate into tangible development outcomes across the country.