Government Spokesperson Isaac Mwaura has announced plans to settle billions owed to farmers, as the state steps up efforts to stabilise key agricultural sectors and support economic growth.
Speaking during a press briefing, Mwaura said the government will clear a KSh 6.8 billion debt in the coffee sector, with KSh 2 billion already allocated in the current budget to begin payments to farmers. He added that similar interventions are underway in the sugar industry, where KSh2 billion has been set aside to ease a KSh 10 billion debt burden.
Beyond agriculture, the government is pushing an ambitious energy expansion plan aimed at increasing Kenya’s installed power capacity from 3,271 megawatts to at least 10,000 megawatts within the next five years. As part of this strategy, nuclear energy projects are being fast-tracked in Kilifi and Siaya counties to diversify the country’s power sources.
Mwaura said construction of the Siaya nuclear plant is expected to begin in March 2027, with the project projected to create between 5,000 and 12,000 jobs during the building phase, alongside long-term technical roles once operational.
On the economy, he pointed to stable inflation as a sign that government policies are working. Inflation has remained at about 5.3 percent between March and early April, supported by tighter fiscal measures, improved debt management, and targeted interventions in key sectors. This stability, he noted, has helped lower the cost of food and energy while strengthening the Kenyan shilling against the US dollar.
The government is also projecting stronger economic performance, with real GDP expected to grow by 5.5 percent in the 2025/26 financial year, driven largely by recovery in agriculture and resilience in the services sector.
Mwaura further highlighted gains in tourism, which recorded 7.9 million visitors last year, marking a 9 percent increase. Domestic tourism rose by 5.2 percent, while international arrivals grew by 2.7 percent. He linked this growth to policy changes such as the introduction of the Electronic Travel Authorisation visa-free regime, alongside continued improvements in the country’s tourism offerings.
