NAIROBI, Kenya, April 7 – The government has projected the 2022/23 budget at Sh3.3 trillion which will be spread across the recurrent expenditure at Sh2.3 trillion and development expenditure of Sh715.5 billion.
While issuing the 2022/23 budget statement, Treasury Cabinet Secretary Ukur Yattani said development expenditures will include allocations to foreign-financed projects, Contingency Fund, and conditional transfers to County Governments.
“This funding is expected to accelerate the completion of ongoing infrastructure projects. ,” he said adding that the equitable share to Counties is projected at Shs 370.0 billion.
The projected total revenue collection for the next financial year is projected at Sh2.4 trillion equivalent to 17. 5 percent of GDP.
Ordinary revenue is projected at Sh2.14 trillion.
The fiscal deficit is projected to decline to Shs 862.5 billion equivalent to 6.2 percent of GDP in the financial year 2022/23 from Shs 1,024.3 billion equivalent to 8.1 percent of GDP in the FY 2021/22
The fiscal deficit will be financed from external financing of Sh280bn and net domestic financing of Sh581 mn.
As part of its medium-term fiscal deficit policy, he said the government seeks to reduce the fiscal deficit to sh634mn in the 2025/26 fiscal year.
