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Budget policy at a crossroads: How sustainable is Ruto's budget plan?

Will President Ruto's budget plan for 2025 ensure stability and avoid renewed protests?

The Kenyan government faces the challenge of ensuring economic stability and social justice through its 2025 budget. Tax increases and the associated rise in the cost of living, as well as rising debt, are putting a strain on the population and the economy. At the same time, investments in infrastructure, education and health are intended to promote growth, but it remains questionable whether these measures will be sufficient to reduce social inequalities. Another hurdle is corruption and economic mismanagement in the public sector. Inefficient allocation of funds and a lack of transparency in major projects undermine trust in the government. The burden of the high cost of living has already led to protest movements in the past. This paper analyses whether the planned reforms could lead to renewed nationwide unrest or whether they are the cornerstone of economic recovery.

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Jan-Ole Voß

Jan-Ole_Voß

Deputy Head of the Kenya Office and Project Manager

jan-ole.voss@kas.de +254 1166100-21/-22/-23

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