Treasury to disburse Ksh23B to schools ahead of reopening

By , August 25, 2025

The National Treasury and Economic Planning Cabinet Secretary John Mbadi has announced that the National Treasury will, on Tuesday, August 26, 2025, release Ksh23 billion in school funds to the Ministry of Education to avert disruptions as schools prepare to reopen.

Speaking on Monday, August 25, 2025, during the launch of the FY 2026/27 and Medium-Term Budget Preparation Process at the Kenyatta International Convention Centre (KICC), Treasury Cabinet Secretary John Mbadi said the funds will support both school capitation and examinations.

“Tomorrow we are releasing the money to the Ministry of Education, we are giving Ksh17 billion for school capitation plus Ksh5.9 billion for examinations, which brings the total to Ksh23 billion,” Mbadi stated.

Capitation shortfalls acknowledged

Mbadi admitted that the government has not been disbursing adequate funds for school capitation over the past seven years, a situation that has left institutions struggling.

“We are not giving enough money for capitation; we have not been doing it for seven years, and I have no apologies to make. I have sat with the CS and PS for Education under the instruction of the President, and we have seen the gap,” he said.

An empty classroom used for illustration.
An empty classroom. Image used for illustration purposes only. PHOTO/Pexels

The CS noted that efforts were underway to mobilise more resources to ensure schools receive consistent and sufficient funding going forward.

HELB support promised

Alongside the school funds, Mbadi said the Treasury will also release additional resources to the Higher Education Loans Board (HELB) within the week to support students ahead of the September intake.

“We will also look for money for HELB this week so that our children can go to school,” Mbadi told the gathering.

His announcement comes just weeks after Education CS Julius Ogamba dismissed claims that the government had slashed capitation funding for learners.

The move is expected to bring relief to school heads who have consistently raised alarm over late or incomplete disbursements of capitation funds.

According to the Kenya Secondary School Heads Association (KESSHA), delays have left schools in debt and forced administrators to lay off qualified Board of Management teachers.

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