A plan by the Treasury to clear long-standing payments owed to media houses has hit a setback after the National Assembly declined to approve the Sh866.4 million allocation, leaving several firms waiting longer for money tied to government advertising services.
The funds had been proposed in Supplementary Estimates No. 1 for the 2025/26 financial year under the State Department for Broadcasting and Digital Economy, with the intention of settling accumulated bills. However, lawmakers opted to cut the allocation during their review of the budget proposals.
In a report presented on the supplementary estimates, Budget and Appropriations Committee chair Samuel Atandi directed that the allocation be reduced. “Reduce Sh826 million for re - current from pending bills to media houses (Treasury Addendum),” the report stated, effectively removing most of the planned payment.
The Treasury had earlier signaled approval of the Sh866.4 million meant to address pending obligations within the department. While defending the budget before the National Assembly Committee on Communication, Information and Innovation, Principal Secretary Stephen Isaboke explained that the money was intended to clear debts at the headquarters level.
He noted that Sh866 million had been set aside in the revised supplementary budget to handle pending bills. According to him, Sh833.3 million of that amount was earmarked for eight media houses that publish the government-backed MyGov advertising feature, which appears weekly across multiple outlets.
A breakdown presented to the committee shows that Nation Media Group is owed Sh410.6 million, Standard Group PLC Sh228.5 million, and Media Max Limited Sh191.18 million. Kenya Yearbook Editorial is owed Sh19.52 million, while the Star Publication Limited is owed Sh941,129. North Eastern Media (Star FM) is owed Sh580,000, Baite Television Network Sh1.48 million, and Le deux republic-Sema FM Sh255,000.
In addition to media houses, the government owes 14 other service providers a combined Sh13.07 million. Among them, Lavington Security has the highest claim at Sh7.8 million.
The committee also reviewed pending obligations linked to the Kenya Broadcasting Corporation, where total liabilities stand at Sh109.3 billion. This includes a Japan government loan of Sh90.7 billion, Sh13.7 billion owed to the Kenya Revenue Authority, Sh3.7 billion in pension dues, Sh472.9 million for Communication Authority licenses, and Sh649.34 million owed to creditors.
Appearing before the committee chaired by Dagoreti South MP John Kiarie, Isaboke said recent legislative changes have affected operations within the sector. “We have reviewed the budgetary allocation under the State Department for Broadcasting and Telecommunications, and it is our considered view that additional budgetary funding of Sh5.69 billion is needed to finance priority areas that are critical to the discharge of the core mandate of the State Department,” Isaboke said.