Kenya raises fiscal deficit target by Ksh8.4bn as revenue shortfalls persist

• Revised gap now Ksh876.1bn, driven by weak collections and slower growth
• Domestic borrowing to fund nearly three-quarters of 2025/26 shortfall

Nairobi, Kenya – Kenya’s National Treasury has revised its fiscal deficit projection upward by Ksh8.4 billion ($65 million), reflecting continued challenges in meeting revenue targets amid sluggish economic expansion.