In a renewed push to revitalize the tourism industry, the government has allocated a combined Sh13 billion to support tourism sector growth in the 2025/2026 financial year.

The allocation, announced during the budget presentation in Nairobi, includes Sh8.2 billion for the Tourism Fund and Sh4.8 billion for the Tourism Promotion Fund. The move is part of broader efforts to stimulate post-pandemic recovery, strengthen Kenya’s global brand as a premier travel destination, and unlock job creation opportunities in the hospitality and service industries.

“The tourism sector remains a key pillar of our economy, with immense potential for job creation, foreign exchange earnings, and rural development. This allocation reflects our commitment to reviving the sector and ensuring it continues to contribute meaningfully to national growth,” said Treasury Cabinet Secretary John Mbadi during the budget reading.

Tourism, one of Kenya’s leading foreign exchange earners, has faced mounting challenges in recent years. These include global economic uncertainty, climate-related disruptions, and increased regional competition. The government now hopes that sustained investment in destination marketing, infrastructure, and capacity building will restore momentum in the sector.

The Sh8.2 billion Tourism Fund will be channeled toward enhancing infrastructure, upgrading hospitality training institutions, and supporting tourism development projects across the country. A portion of the funds is expected to support the renovation of key tourist sites, improve standards in tourism services, and build resilience in the sector.

Meanwhile, the Sh4.8 billion allocated to the Tourism Promotion Fund will be used to finance strategic marketing campaigns in key international markets and attract new investment into the sector. Officials say this will position Kenya more competitively on the global tourism map, especially as travel trends shift toward cultural, eco, and adventure tourism.

Kenya’s tourism industry is already experiencing a strong rebound, according to a new report that shows the sector surpassing its pre-pandemic performance and positioning itself as one of Africa’s leading travel destinations.

The latest World Travel & Tourism Council report shows that tourism generated $9.2 billion in 2024, a rise from $8.8 billion in 2023. This represents 7.2 percent of the country’s GDP while supporting 1.7 million jobs. During the same period, tourist spending increased from $2.1 billion to $2.2 billion.