Martha Karua Tears Into Government Spending: "Kenya Does Not Have a Revenue Problem"

Martha Karua Tears Into Government Spending: Kenya Does Not Have a Revenue Problem

As Kenya's budget season gathers momentum, People's Liberation Party (PLP) leader Martha Karua has launched a scathing attack on the Kenya Kwanza administration, accusing it of wasteful spending, misplaced priorities, and punishing taxpayers while delivering fewer services.

In a powerful Rescue Budget press briefing delivered on June 8, 2026, Karua argued that the country's economic crisis is not caused by a shortage of revenue, but by what she described as "fiscal indiscipline, corruption, waste, and poor priorities."

Her message was simple but striking: Kenyans are paying more, but receiving less.

A Nation Taxed to the Limit

According to Karua, budget season should be a period of hope, where citizens look forward to improved healthcare, better schools, new opportunities, and economic growth. Instead, she said, many Kenyans now approach budget announcements with fear.

"Instead of hope, Kenyans anticipate new taxes. Instead of relief, they expect more pain," she declared.

Karua accused the government of continuously expanding its appetite for taxation while ordinary citizens struggle with the rising cost of food, fuel, healthcare, housing, and education.

In one of the most memorable lines from her address, she stated that "the social contract between citizens and government is being steadily eroded."

The KSh 304 Billion Question

One of the strongest points in Karua's presentation was her focus on stalled public projects.

Citing findings from the Auditor-General, she noted that more than KSh 304 billion remains trapped in stalled projects across the country.

For Karua, this figure exposes what she calls the real problem facing Kenya.

"This is not evidence of insufficient revenue. It is evidence of poor stewardship."

She questioned how government can continue demanding sacrifices from taxpayers while billions of shillings remain tied up in projects that have failed to deliver value to citizens.

Her criticism extended to what she termed luxury spending, excessive travel, political patronage, and non-priority expenditures, all taking place while critical sectors remain underfunded.

Standing With Gen Z

Karua also used the platform to address growing youth frustration.

Referencing the Gen Z protests of 2024, their commemorations in 2025, and the continuing demand for accountability, she argued that government cannot suppress legitimate concerns through force.

"Violence cannot silence legitimate demands for accountability. Intimidation cannot extinguish the aspirations of a generation."

She openly declared solidarity with young Kenyans, saying they are not demanding special treatment but rather accountability, dignity, opportunity, and leadership.

The Rescue Budget

At the heart of Karua's address was her alternative economic blueprint, which she calls the Rescue Budget.

Unlike the government's draft budget, she says her proposal is designed around wananchi rather than political elites.

The Rescue Budget proposes increased investment in education and healthcare, including restoring adequate school capitation, improving learning conditions, expanding affordable healthcare access, and reducing national health insurance contributions to KSh 500 per family.

She promised to eliminate corruption and cartel influence within the health sector while improving working conditions for healthcare workers.

Farmers, Businesses, and Jobs

Karua proposed allocating KSh 285 billion to agriculture, focusing on affordable fertilizer, quality seeds, irrigation, climate-smart farming, value addition, and strengthening cooperatives.

She argued that farmers have been neglected despite remaining the backbone of the economy.

On business, she highlighted the KSh 525.44 billion in pending bills owed to suppliers, saying the government's failure to pay legitimate debts has crippled thousands of businesses and destroyed jobs.

Her proposed solution includes auditing and settling pending bills, maintaining predictable taxation, supporting SMEs, and introducing a two-year tax holiday for youth-led start-ups.

"A growing economy generates more revenue than excessive taxation ever can," she stated.

Housing Levy Under Fire

Among the most politically significant promises was her pledge to abolish the Housing Levy.

Karua described the levy as an additional burden on workers that has failed to provide benefits proportional to what contributors are paying.

Her argument was clear: government must first demonstrate responsible use of existing resources before demanding more money from citizens.

A Direct Challenge to Kenya Kwanza

Karua framed the debate as a choice between two competing visions.

According to her, the Rescue Budget offers fair taxation, fiscal discipline, stronger healthcare, better education, support for farmers, growth for businesses, and opportunities for youth.

By contrast, she portrayed the current government's approach as one built on more taxes, more borrowing, more waste, and greater inequality.

Looking Back to the Kibaki Era

In her closing remarks, Karua drew comparisons with the administration of former President Mwai Kibaki, where she served as a senior government official.

She pointed to the period's economic growth, infrastructure expansion, and educational progress as evidence that disciplined leadership and sound economic management can transform a nation.

"The suffering facing Kenyans today is not inevitable," she said. "It is the consequence of poor policy choices and failed leadership."

Whether one agrees with her proposals or not, Martha Karua's Rescue Budget has added a powerful voice to Kenya's national budget debate. Her challenge to the government is likely to resonate with many Kenyans who feel squeezed by taxes, frustrated by waste, and increasingly impatient for accountability.

As Parliament prepares to debate the national budget, the question Karua has placed before the country is simple: Does Kenya need more taxes—or better leadership?