Top officials from the Ministry of Trade, Industry and Investments have raised the alarm over looming disruptions to critical government programmes, following significant cuts to their proposed budget allocations.
Appearing before the National Assembly’s Trade, Industry and Cooperatives Committee, the Principal Secretaries Juma Mukhwana (Industry), Hassan Abubakar (Investment Promotion), and Regina Ombam (Trade) warned that numerous development initiatives are now at risk of stalling due to limited funding for the 2025/26 financial year.
The committee, chaired by Ikolomani MP Bernard Shinali, was scrutinising the latest budget estimates, which revealed reduced allocations for all three departments. The State Department for Industry has been earmarked Sh8.6 billion, falling short of its original request. Meanwhile, Investment Promotion is set to receive Sh2.1 billion figures that could disrupt flagship programmes tied to economic growth and industrial development.
Industry PS Juma Mukhwana told the committee that his department alone is staring at a Sh610 million budget gap after receiving Sh8.7 billion instead of the Sh9.1 billion proposed in the 2025 Budget Policy Statement.
“This Sh610.2 million shortfall will likely stall several critical projects,” Mukhwana cautioned. “These include programmes designed to enhance job creation, value addition in manufacturing, and broader economic growth. Without the necessary funding, progress will be significantly slowed.”
The concerns come as Parliament continues to balance spending priorities in a tight fiscal environment. However, ministry officials emphasized that underfunding key economic drivers could undermine the government’s long-term development goals.
