Kenya’s Plans for New Minimum Taxable Salary Will Cost KES35b

May 11, 2026, 10:35 AM UTC

Kenya plans to increase the minimum taxable monthly income for salaried workers by 25% to 30,000 shillings, according to Treasury Secretary John Mbadi.

  • That will create a budget hole of 35 billion shillings, Mbadi tells reporters in the capital, Nairobi
  • Treasury will compensate for the forfeited revenue by collecting more from personal income tax and rental earnings
  • Targets 120 billion shillings tax revenue, “it is a bit more realistic”
  • “We have cut our revenue projections due to what is happening, because of the external shocks”
  • Kenya no longer planning to take a loan from a UAE sovereign wealth fund
  • NOTE: ...

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