President William Ruto has dismissed claims that billions of shillings have been lost under the new healthcare financing system, insisting the government is making record payments to hospitals while implementing measures aimed at lowering the cost of living for Kenyans.
Speaking during a Parliamentary Group meeting, the President urged lawmakers to ignore what he termed as misleading headlines suggesting that up to KSh50 billion had been lost under the country’s new healthcare framework.
“Forget about the propaganda in the headline of the news that we lost some 50 billion. You know People are mad. If we lose 50 billion it means there will be nothing to pay hospitals,” Ruto said.
The President said the government is currently making the highest healthcare payments ever recorded under any administration.
According to Ruto, the government paid KSh16.2 billion in a single week to support healthcare services under the Social Health Insurance Fund (SHIF) and the Primary Healthcare Fund (PHC).
“This week alone we are paying 16.2 billion shillings for PHC and SHIF. This week alone we are paying the highest amounts of money to any hospital that has ever been paid under any other administration or program,” he said.
The President emphasized that the reforms are part of the government’s broader strategy to cushion citizens from rising living costs by lowering healthcare expenses.
Health Ministry Accuses Media of Misrepresenting SHA Figures
Meanwhile, the Ministry of Health Kenya has issued a strong press statement accusing Nation Media Group of misrepresenting financial figures relating to the Social Health Authority (SHA).
The ministry said recent reports suggesting that KSh50 billion had been lost under SHA were based on a misunderstanding of statutory accounting processes and transitional financial adjustments.
Health Cabinet Secretary Aden Duale insisted that no funds had been misappropriated and that the figures cited represented standard financial provisions and legally mandated transfers during the transition from the National Hospital Insurance Fund (NHIF) to SHA.
The ministry clarified that some of the figures referenced in the reports involved routine transfers of assets and funds from the former NHIF accounts into new accounts managed by SHA, as required by the Social Health Insurance Act 2023.
It dismissed claims of irregular transfers, arguing that SHA is the statutory authority responsible for managing three healthcare funds: the PHC Fund, the Emergency, Chronic and Critical Illness Fund (ECCIF), and the SHIF.
According to the ministry, transferring funds between these accounts during the transition was part of the legal process of establishing the new healthcare financing system.
‘Unsupported Claims’ Explained
The ministry also addressed claims that KSh26.8 billion in “unsupported claims” indicated missing funds.
The CS explained that the amount represents Outstanding Claims Reserves, funds set aside to pay hospitals for treatments already provided but whose invoices had not yet been submitted by the close of the audit period.
The Ministry of Health urged media houses to present healthcare financing data accurately to avoid causing unnecessary public concern.
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