President William Ruto has signed the Finance Bill 2026 into law, raising the duty-free allowance for returning travellers from Ksh.39,000 to Ksh.260,000—a more than sixfold increase. The move, he said, responds to concerns from Kenyans abroad and other travellers bringing in gifts and personal effects.

Assenting to the Bill at State House, Nairobi, Ruto also signed the Appropriation Bill and Supplementary Appropriation Act, stating the two laws provide the legal and funding framework for Kenya's Bottom-Up Economic Transformation Agenda.

He dismissed opposition claims of new taxes, clarifying there are no levies on mitumba, freehold land, rental income, bottled water, M-Pesa, mobile phones, airtime, or data. Instead, he said the Act closes loopholes, strengthens compliance, and targets tax avoidance—not ordinary citizens. He highlighted incentives for electric buses, solar batteries, locally assembled phones, and motorcycles.

Key budget allocations include:

• Education: Ksh.784 billion (up from Ksh.526 billion in 2022), with 24,000 new teachers and 20,000 contract teachers made permanent.

• Health: Ksh.175.5 billion, with Ksh.19.1 billion for primary care and Ksh.21 billion for KEMSA medical supplies.

• Agriculture: Ksh.63 billion, including Ksh.20 billion for fertiliser subsidies, keeping prices at Ksh.2,500 per bag.

• Youth & Women: Ksh.110 billion committed, including Ksh.25 billion in cash transfers for 1.2 million households.

• Judiciary: Ksh.30 billion, up from Ksh.16 billion.

• Housing: Ksh.138 billion.

• Infrastructure: Ksh.225 billion for roads, Ksh.52 billion for transport, and Ksh.20.8 billion for SGR extension to Kisumu and Malaba.

• Fuel stabilisation: Ksh.21.5 billion.

• Digital economy: Ksh.10.5 billion.

• Water & environment: Ksh.112.4 billion.

• Sports: Ksh.26.4 billion for stadiums and AFCON 2027 preparations.

Ruto also announced a sugar import duty hike from Ksh.7.50 to Ksh.40 per kilo to protect local producers, and a six-month tax amnesty waiving penalties and interest on outstanding taxes.

Present at the event were Deputy President Kithure Kindiki, Prime CS Musalia Mudavadi, Speaker Moses Wetang'ula, and other leaders.