An analysis of Kenya's revenue collection and spending habits from the year 2005 to 2024 adjusted for inflation.
# Kenya Government Revenue & Expenditure Analysis (2005–2024)
This repository contains an in-depth analysis of Kenya’s government revenue and expenditure over a 20-year period—from 2005 to 2024. The goal of this project is to offer clear insights into fiscal trends, budget deficits, and the evolving structure of public finance in Kenya.
## 📌 Overview
The project focuses on understanding how Kenya generates and allocates public funds. By examining historical government finance data and adjusting for inflation, this analysis brings all financial values to constant terms—allowing for meaningful year-over-year comparison and interpretation.
Key findings include:
* **Total revenue collected**: KES 235.01 trillion
* **Total government expenditure**: KES 299.74 trillion
* Resulting in a **20-year cumulative budget deficit** of **KES 64.73 trillion**
Despite consistent revenue growth, spending—particularly on recurrent costs and debt servicing—has outpaced revenue generation, contributing to a widening fiscal gap.
## 📊 Data & Methodology
### 🔗 Data Sources
* **Primary source**: Central Bank of Kenya – Government Finance Statistics
* CPI and inflation data were used to adjust all revenue and expenditure figures to constant prices.
### 🔧 Process
1. **Data Cleaning**
Raw datasets were cleaned and structured for analysis, resolving inconsistencies across years.
2. **Inflation Adjustment**
CPI was used to normalize historical figures to real (current) values, ensuring accurate comparisons across time.
3. **Analysis**
Breakdown of revenue sources and expenditure categories was performed, with key metrics tracked over time.
4. **Visualization**
All insights were brought to life in Power BI through interactive dashboards.
## 💡 Key Insights
* **Revenue Sources**: Income Tax (39.5%) and VAT (24.6%) dominate Kenya’s revenue structure, with Non-Tax Revenue contributing another 13.2%. Project and programme grants together accounted for just 2.2%.
* **Expenditure Priorities* …