Although the introduction of the Kenya Roads Board in 2000 and the subsequent enactment of the Kenya Roads Act in 2007, with its provision for the creation of the KeNHA, KURA, and KeRRA, has been seen as a step towards improving the legal and institutional structures related to road development and preservation, the quality of road assets is still below the expected standards.  If the current situation on road asset maintenance is not addressed, it will be difficult for Kenya to achieve SDG 11.2 and the Kenya Vision 2030. This study sort to determine the mediating effect of budgetary allocation on the relationship between road assets maintenance and the performance of road agencies in Kenya. The study was guided by administrative management theory, The Budgeting Theory and the agency theory. Positivism research philosophy and cross-sectional research design was used. The study target population comprised of the five road agencies in Kenya. The unit of observation comprised of 251 staff from the five road agencies in Kenya. The data was collected using self-administered questionnaires and used SPSS version 26 for diagnostic tests, descriptive, and regression analysis. The correlation analysis results showed that there is moderate positive and significant correlation (r=0.546, p<0.05) between Budgetary Allocation and performance of road agency. The results show coefficient of determination of outcome variable budgetary allocation was R-squared change of R2=0.2878 implying road assets maintenance contributes a variation effect of 28.78% on budgetary allocation. The partial effect of road asset maintenance on budgetary allocation was positive and significant (β=0.5391, p-value<0.005). Similarly, the coefficient of determination for outcome variable road agencies performance was R2=0.3314 and significant at 95% significance level (p<0.005) implying road assets maintenance and budgetary allocation both contributes 33.14% variation in road agencies performance in Kenya. The researcher concluded that there is indeed a significant a partial mediation effect of budgetary allocation on the relationship between Road asset maintenance and performance of road agencies in Kenya. These findings highlight the significant role of budgetary allocation in influencing the relationship between road assets maintenance and the performance of road agencies. It underscores the importance of effective budget planning, timely approval of key policy documents, and the allocation of adequate funds to support road assets programs and projects. The research also suggests that road agency management should exhibit a considerable degree of inventiveness, adaptability, and ingenuity in their approach to road maintenance, with the ultimate objective of attaining cost-effectiveness and the overarching goal of enhancing the countrys road transport network.

Road Asset Maintenance

Budgetry Allocation

Performance of Road Agencies

Kenya