The State Department for Social Protection and Senior Citizen Affairs has requested an additional Sh4.18 billion under the FY 2025/26 Supplementary Estimates No.1 to support key social protection programmes, including medical insurance for vulnerable households, personnel costs, and operational activities tied to new legislation.
In a presentation to the National Assembly Departmental Committee on Social Protection, chaired by Alice Ng’ang’a, Principal Secretary Joseph Motari said the additional resources are necessary to sustain social safety net interventions targeting older persons, persons with disabilities, and other vulnerable groups.
“FY 2025/26 Supplementary Estimates No.1 has considered an additional gross budget of Sh4.18 billion under the recurrent budget, out of which Sh423 million will cater for a shortfall in personnel emoluments, Sh3.56 billion will cater for indigents’ medical cover under the Social Health Insurance Fund (SHIF), Sh150 million will support the development of regulations for the Social Protection Act 2025, and Sh50 million will cater for additional Appropriation-in-Aid due to improved projected collections,” Motari told lawmakers.
The department explained that the largest share of the additional funding, Sh3.56 billion, is meant to finance annual medical insurance cover for 450,000 indigent Kenyans under SHIF.
According to the PS, the funds had already been withdrawn under Article 223 of the Constitution, which allows the government to access funds before parliamentary approval in urgent circumstances.
“The additional budget under use of goods and services includes Sh3.56 billion for medical insurance cover, which was withdrawn under Article 223 of the Constitution to cater for 450,000 indigents’ SHIF annual cover at a rate of Sh660 per month.”
The department also indicated that Sh423.98 million is required to address a personnel emoluments shortfall after part of the wage allocation was temporarily used to pay salaries for staff under the State Department for Children Services following delays in separating payroll systems.
“The personnel emoluments budget provision for FY 2025/26 was partly utilised to pay salaries for the State Department for Children Services for four months up to October 2025. This was caused by delays in separating their payroll from that of this State Department,” Motari said.
In addition, the department has set aside Sh150 million to finance operational activities linked to the formulation of regulations for the Social Protection Act, 2025, including stakeholder consultations and public participation.
The department further noted that part of the supplementary request is meant to strengthen programme delivery, monitoring, and field operations across the country.
Beyond the recurrent budget, the State Department is also seeking Sh20.23 million under the development budget for two projects.
These include Sh10 million for preparatory activities under the Kenya Social and Economic Inclusion Project II (KSEIP II), a World Bank-supported programme aimed at strengthening the country’s adaptive social protection system and improving economic resilience among poor and vulnerable households.
The department noted that the project, which became effective on February 27, 2026, has an estimated cost of Sh19.46 billion, with Sh16.92 billion financed by the World Bank and Sh2.55 billion from the Government of Kenya.
However, Motari warned that the current allocation is far below the amount required to kick-start the programme.
“This allocation is insufficient and will significantly affect the planned preparatory activities of the project, since it was declared effective on February 27, 2026.”
He added that funds are also required for the renovation of offices that were damaged by fire.
“The offices were badly damaged by fire, hence the allocation to renovate them and create conducive work premises for Social Development Officers. Approval for corrective capture during the FY 2025/26 Supplementary Budget was received from the National Treasury of Kenya.”
According to the department, the project had initially been wrongly captured under the State Department for Children Services during the separation of functions under Executive Order No. 1 of June 2025, necessitating its correction in the supplementary budget.
The department also reported that the financial year began with pending bills amounting to Sh70.26 million, out of which Sh47.8 million has already been cleared as a first charge against the FY 2025/26 budget.
Motari said the additional funding will help sustain programmes such as Inua Jamii Cash Transfer Programme, disability inclusion initiatives, and social development services aimed at supporting vulnerable populations while strengthening the country’s social protection system.
