National Treasury Cabinet Secretary John Mbadi has proposed the allocation of Sh45.6 billion to the Sports, Culture, Recreation and Tourism sector in the 2026/27 financial year.
Of this, Sh25.2 billion will go to the Sports, Arts and Social Development Fund (SASDF), and Sh14.3 billion to the Tourism Fund. In the financial year ending in June 2026, the Sports Fund was allocated Sh18.38 billion.
The Sports Fund was established under the Public Finance Management (Sports, Arts and Social Development Fund) Regulations of 2018. Its aim is to support the development and promotion of sports and arts in the country.
“To harness national talent and promote Kenya as a regional cultural hub, I propose Sh45.6 billion for Sports, Culture, Recreation and Tourism including Sh25.2 billion for Sports, Arts and Social Development Fund, Sh14.3 billion for Tourism Fund,” said Mbadi in his speech at the National Assembly on Thursday.
“These allocations will stimulate jobs, community development and foreign exchange earnings.”
Although the Sports Fund allocation has increased by Sh6.8 billion, officials at the State Department for Sports will remain dissatisfied as they had previously criticised the significant budget deficit facing the sector.
On May 19, Sports Principal Secretary Elijah Mwangi informed the National Assembly’s Committee on Sports and Culture that the Fund's cash flow was severely restricted due to significant financial commitments.
According to the report on the 2026/27 Annual Estimates of Revenue and Expenditure that Mwangi presented to the committee, these commitments are: annual loan repayment for Talanta Sports City (Sh6.29 billion); participation in and hosting of sports events (Sh6 billion); establishment of community sports grounds (Sh1.4 billion); and establishment of constituency sports academies (SH2.1 billion).
The report states that preparations in Kenya for co-hosting the 2027 Africa Cup of Nations (Afcon) finals are among the sectors affected by the budget deficit. Kenya is set to co-host the tournament with Uganda and Tanzania from June 19 to July 17, 2027. In the report, PS Mwangi noted that, while the contractual cost of upgrading the stadiums and training venues earmarked for Afcon was Sh15.11 billion, only Sh3.74 billion had been paid.
“The total contractual cost of the earmarked stadium projects is Sh15.11 billion, out of which Sh3.74 billion has been paid, leaving an outstanding balance of Sh11.37 billion, which constitutes an unfunded priority that requires additional exchequer support,” Mwangi told the committee.
The Afcon 2027 stadium projects that Mwangi was referring to are Kasarani Stadium (Phase one and two), Nyayo Stadium (Phase one and two), Kipchoge Keino Stadium in Eldoret, Police Sacco Stadium and Ulinzi Sports Complex. The projects include pitch equipment and stadium signage for Kasarani and Nyayo.
