President William Ruto has unveiled an ambitious economic transformation agenda, pledging to cut poverty and unemployment in Kenya by half as part of a measurable national mission.
Speaking during a New Year State of the Nation address in Eldoret, the President announced that the National Infrastructure Fund and the Sovereign Wealth Fund will be fully established and operationalized in January 2026 to drive development while reducing reliance on borrowing and taxation.
In his address, President Ruto drew lessons from countries that deliberately chose a path of structured economic growth, citing South Korea, Singapore and Malaysia as examples of nations that transformed their economies through long-term planning and sustained execution.
“History shows us that countries like South Korea, Singapore, and Malaysia made national transformation a deliberate choice,” Ruto said, noting that they organised their economies around “work, industry, exports, and skills,” while investing heavily in infrastructure and people.
He acknowledged that these countries were not spared hardship, but said their success was anchored on “elevated ambition, relentless determination and sustained action over time.”
According to the President, Kenya has chosen a similar path. “That is the path we have chosen for Kenya. That is the future we are determined to build,” he said.
Ruto outlined two key national targets, describing them as central to the government’s development mission. “We are committing ourselves to a measurable national mission number one, to cut the number of Kenyans living below the poverty line by half, lifting millions into dignity and opportunity, and to cut unemployment by half,” he said.
He added that the goal is to ensure millions of citizens are productive, earning, and contributing to the country’s growth.
The President stressed that the targets would be achieved without overburdening taxpayers or passing on unsustainable debt to future generations.
“We will do this without taxing taxpayers or burdening our children with unsustainable debt,” he said, explaining that this approach underpins the decision to operationalize the National Infrastructure Fund and the Sovereign Wealth Fund.
Ruto said the National Infrastructure Fund will act as the “central engine” for aligning financial resources with Kenya’s development priorities through domestic resource mobilization, modernization of public assets, and disciplined national savings.
“All proceeds, and I repeat, all proceeds, from privatization will be ring-fenced and invested strictly in public infrastructure projects that generate and preserve long-term value,” he said.
He added that the Sovereign Wealth Fund will, for the first time, secure intergenerational equity by saving for the future, protecting the country from external shocks, and investing in strategically growing national wealth, in line with Article 201 of the Constitution.
According to the President, the two funds will significantly enhance financing for Kenya’s development agenda and accelerate the bottom-up transformation agenda.
“Through this framework, 2026 becomes the year of execution at scale,” Ruto said, as he reaffirmed the government’s commitment to economic freedom and competitiveness in a fast-changing global economy.
