Performance of government revenue in Kenya

The story of Kenya’s revenue collection over the last seven years is one of resilience in the face of significant global and domestic headwinds.

Revenue as a percentage of GDP serves as a vital pulse check on the government's ability to fund its operations without over-relying on borrowing. In 2018/19, the country maintained a relatively strong position at 18.3%.

However, the subsequent years brought a visible dip, bottoming out at 15.8% during the 2020/21 cycle—a clear reflection of the economic paralysis caused by the global pandemic.

Since that low point, there has been a concerted effort to rebuild the tax base and streamline collection. 

Revenue climbed back to 17.3% in 2021/22, and despite a slight cooling off the following year, the trajectory is once again pointing upward.

The projection for 2024/25 stands at 17.6%, suggesting that aggressive tax policy changes and a broadening of the tax net are beginning to yield results.