Since independence in 1963, the National Treasury has been the quiet engine of state power. It has shaped Kenya’s development, funded its politics, fuelled its scandals, and determined the opportunities—or crises—faced by each generation.
To follow the Treasury is to follow the true story of Kenya: the hopes of independence, the patronage networks of the one-party era, the painful reforms of the 1990s, the ambitious mega-projects of the 2010s, and today’s fiscal reckoning.
1. Independence and the Search for Economic Direction (1963–1969)
James Gichuru – The Foundation Builder
Kenya’s first Finance Minister, James Gichuru, took office at a time when the country still mirrored the colonial economy. Cash-crop revenue, British commercial dominance, and unequal development patterns shaped every decision.
Treasury in this era focused on:
- Africanising the civil service
- Managing settlement schemes after land transfers
- Funding early national projects
- Establishing revenue systems for a new republic
The decisions of this period influenced Kenya’s regional inequalities—echoes still evident today.
(Interlink: How Kenya Got Independence)
2. Mwai Kibaki’s Technocratic Era (1969–1978)
Kibaki – The Economist Who Modernised the Treasury
In 1969, President Jomo Kenyatta appointed Mwai Kibaki as Finance Minister. A London School of Economics graduate, Kibaki turned Treasury into Kenya’s most technocratic institution.
Key achievements:
- Strengthening of the Central Bank of Kenya
- First long-term national development plans
- Expansion of agricultural parastatals like KTDA
- Early diversification of foreign borrowing
Kibaki’s decade at Treasury remains one of the most stable periods in Kenya’s financial history.
(Interlink: Mwai Kibaki – A Comprehensive Profile)
3. The Early Moi Years: Patronage and Political Survival (1978–1982)
Arthur Magugu & John Michuki
When Daniel arap Moi became president, he initially retained GEMA-aligned technocrats before gradually reshaping the Treasury in his own image.
Treasury in this era became part of Moi’s wider political strategy:
- Rewarding loyalists
- Expanding provincial administration financing
- Increasing centralised procurement
- Consolidating presidential control
The attempted 1982 coup had major economic aftershocks. Inflation soared, donor confidence collapsed, and Treasury entered a prolonged crisis-management mode.
(Interlink: The 1982 Failed Coup – 30 Images)
4. Structural Adjustment and the Hard Years (1983–1999)
Prof. George Saitoti, Musalia Mudavadi, Chris Okemo
The 1980s and 1990s were defined by IMF and World Bank policies known as Structural Adjustment Programmes (SAPs). Under SAPs, Kenya was required to:
- Privatise parastatals
- Cut civil service payrolls
- Remove subsidies
- Liberalise markets
- Devalue the shilling
Treasury became an enforcer of austerity.
Musalia Mudavadi, who held the Finance docket during the most turbulent period, grappled with severe currency shocks and the fallout of the Goldenberg scandal—the biggest financial scandal in Kenya’s history.
Chris Okemo (1999–2001) began modernising procurement and revenue collection systems as donor pressure intensified.
(Interlink: The Birth and Evolution of Kenya’s Multiparty Democracy)
5. The Kibaki Administration and a Decade of Reform (2003–2013)
David Mwiraria → Amos Kimunya → Uhuru Kenyatta
The Narc government entered power in 2003 with a reformist agenda. Treasury was central to this transformation.
Major reforms included:
- Strengthening KRA into a modern tax authority
- Rolling out IFMIS for digital financial management
- Streamlining procurement law
- Reintroducing free primary education
- Financing major infrastructure, including Thika Road
- Massive expansion of the middle class
When Uhuru Kenyatta became Finance Minister (2009–2012), the Treasury managed the largest budgets in Kenya’s history up to that point, fuelling infrastructure expansion that transformed Nairobi and its surrounding regions.
6. Jubilee Era: The Age of Mega-Projects and Heavy Borrowing (2013–2022)
Henry Rotich → Ukur Yatani
The Uhuru Kenyatta–William Ruto administration defined the most ambitious spending era since independence.
Signature features:
- The Standard Gauge Railway (SGR)
- Eurobond borrowing (Kenya’s first sovereign bond)
- Major expressways and urban upgrades
- Massive devolution transfers
- Record national debt accumulation
Rotich, and later Ukur Yatani, oversaw an era of high investment—and high debt, which Kenya continues to grapple with.
(Interlink: Kenya’s Colonial Administration – Foundations of Economic Power)
7. The Ruto Era and Fiscal Reckoning (2022–2024)
Prof. Njuguna Ndung’u
Under President William Ruto, the Treasury initially attempted to stabilise the economy by:
- Removing subsidies
- Increasing taxation
- Negotiating debt restructuring
- Expanding domestic borrowing
- Facing high inflation and rising cost of living
Prof. Njuguna Ndung’u, a seasoned economist, navigated volatile economic conditions and public discontent. His tenure was marked by difficult fiscal choices that dominated national debates.
8. The 2024 Realignment and the Rise of John Mbadi (2024–Present)
John Mbadi – The Consensus Candidate
In 2024, a political rapprochement between Kenya Kwanza and ODM reshaped the Executive. As part of the settlement, President William Ruto appointed Hon. John Mbadi as the new Cabinet Secretary for the National Treasury, replacing Prof. Njuguna Ndung’u.
Mbadi, long respected for his command of budgetary matters in Parliament, brings both political neutrality and fiscal discipline to the role.
His tenure so far has focused on:
- Restoring market confidence
- Reducing borrowing costs
- Managing debt obligations more transparently
- Building bipartisan consensus on economic recovery
- Stabilising the shilling through improved investor relations
With Mbadi at the helm, Treasury has entered a new phase defined by political inclusion rather than confrontation—a striking departure from the contentious fiscal politics of 2022–2023.
9. How the Treasury’s Role Has Shifted Over Time
| Era | Treasury Identity | Key CS / Minister |
|---|---|---|
| 1960s | Africanisation, stabilisation | James Gichuru |
| 1970s | Technocratic planning | Mwai Kibaki |
| 1980s | Patronage + IMF pressures | Saitoti, Magugu |
| 1990s | Austerity, SAPs, scandals | Mudavadi, Okemo |
| 2000s | Reform, digitisation | Mwiraria, Kimunya |
| 2010s | Mega-project era | Uhuru Kenyatta, Rotich, Yatani |
| 2020s | Fiscal crisis & restructuring | Njuguna Ndung’u, John Mbadi |
The Treasury has moved from a technical office to the central battleground of Kenya’s political and economic future.
People Also Ask
Who was Kenya’s first Finance Minister?
James Gichuru.
Who is Kenya’s current Cabinet Secretary for the National Treasury?
Hon. John Mbadi, appointed in 2024.
Which Finance Minister served the longest?
Mwai Kibaki (1969–1978).
When did Kenya start accumulating heavy debt?
Debt expanded sharply after 2013 during the mega-project era.
What was the biggest financial scandal handled by Treasury?
The Goldenberg scandal of the early 1990s.