TSC Supplementary Budget 2026: President Ruto Approves KSh 24.2B for Teachers’ Salaries, Medical Cover and Arrears

Teachers across Kenya are set to benefit from a major financial boost after William Ruto approved a supplementary budget allocating KSh 24.2 billion to the TSC. The funding is aimed at addressing salary shortfalls, improving medical cover, and settling long-standing arrears in the education sector.

The Supplementary Appropriation Bill, approved at State House on Wednesday, April 8, signals a significant government intervention to ease the financial strain teachers have faced for years. A large portion of the allocation will go toward bridging salary gaps that have been a persistent concern among educators, many of whom have raised issues over delayed payments and insufficient remuneration.

In addition to salary adjustments, the government has earmarked KSh 3 billion specifically to clear pending medical bills for teachers. This move is expected to significantly improve access to healthcare services for educators, addressing one of the most pressing welfare concerns within the profession. Teacher unions have consistently called for better health coverage, making this allocation a timely response to their demands.

The funding directed to the TSC is also expected to restore confidence among teachers, many of whom have expressed frustration over inconsistencies in benefits and compensation. By addressing both salary and healthcare concerns, the government aims to stabilize the teaching workforce and enhance productivity in schools across the country.

Beyond the TSC allocation, the education sector received additional support through funding directed at higher learning institutions. The Higher Education Loans Board (HELB) has been allocated KSh 4.1 billion, bringing its total funding to KSh 45.6 billion. This increase is expected to benefit thousands of university students who rely on HELB loans to finance their education.

To further address challenges in the education sector, the government has set aside KSh 3.88 billion to settle salary arrears for university staff. These arrears date back to the 2017–2021 Collective Bargaining Agreement (CBA) and have been a major source of industrial unrest in recent years. Clearing these dues is expected to reduce strikes and disruptions in public universities.

Additional allocations include KSh 6 billion for higher education institutions such as Moi University and Kabarak University, aimed at strengthening institutional capacity and ensuring operational stability. The government has also allocated KSh 1.5 billion to the University Funding Board to further support higher education financing.

The supplementary budget also highlights continued investment in education access programmes. Funding will support initiatives such as the Wings to Fly programme, particularly through Technical and Vocational Education and Training (TVET) institutions, expanding opportunities for students from disadvantaged backgrounds.

In the health sector, the government approved KSh 4.7 billion through the State Department for Medical Services. Of this, KSh 4 billion has been allocated to clear pending bills under the now-defunct National Hospital Insurance Fund (NHIF). Additionally, KSh 654 million will go toward upgrading Level Four hospitals across the country, improving healthcare infrastructure and service delivery.

Support for healthcare workers has also been prioritized, with KSh 5.4 billion allocated to fund the intern doctors’ programme. Meanwhile, Moi Teaching and Referral Hospital will receive KSh 2.5 billion to enhance its operations, while KSh 2.6 billion has been set aside for the national vaccine programme.

Under governance and security, KSh 3.9 billion has been approved for security operations, including KSh 2 billion for compensation of victims affected by recent demonstrations.

Overall, the supplementary budget underscores the government’s focus on addressing critical gaps in the education and health sectors. For the TSC, the allocation represents a crucial step toward resolving long-standing financial challenges, improving teacher welfare, and ensuring stability within Kenya’s education system.