Government disburses Sh22 billion to hospitals under SHIF

The government has distributed Sh22 billion from the Sh31.5 billion collected under the Social Health Insurance Fund (SHIF) to hospitals across the country, aiming to support healthcare service delivery.

According to the National Development Implementation Committee (NDIC), the funds have been allocated to different healthcare providers, ensuring the continuity of medical services.

Faith-based hospitals received Sh3.5 billion, public hospitals were allocated Sh7.2 billion, while private healthcare providers got Sh11.4 billion.

NDIC emphasized that the funds have been instrumental in easing financial pressure on hospitals and maintaining essential services.

Additionally, under Taifacare, the government’s healthcare registration initiative, over 20.6 million Kenyans have been registered, with 16.6 million actively enrolled.

A further 4 million people have undergone means testing to determine their eligibility for financial assistance.

It was also revealed that Taifacare has settled Sh8.63 billion in outstanding NHIF debts, alleviating some of the financial burdens on medical facilities.

NDIC stressed the importance of efficiency in handling claims to ensure that funds reach the necessary areas promptly.

The government aims to expand Taifacare coverage to improve healthcare access for all Kenyans.

“The government is committed to ensuring that every Kenyan receives quality healthcare without financial strain,” NDIC stated.

On Wednesday, Prime Cabinet Secretary Musalia Mudavadi chaired the committee’s meeting at the Kenya School of Government, where concerns over pending hospital bills were discussed.

The government has pledged to settle outstanding claims to prevent disruptions in healthcare services.

Last month, President Ruto instructed that all hospitals with pending claims of Sh10 million and below be paid in full.

“Pay all hospitals with total claims of Sh10 million and below in full, representing 91% of all facilities contracted by NHIF,” he said.

Faith-based healthcare providers, which play a crucial role in Kenya’s medical system, have expressed concern over delayed payments.

Nairobi Diocese Archbishop Philip Anyolo recently warned that faith-based hospitals might be forced to shut down due to unpaid debts owed by the Social Health Authority (SHA).

“The non-payment of pending bills cripples the hospitals, and they’re no longer able to continue operating normally,” Archbishop Anyolo said.

Faith-based hospitals provide over 40% of healthcare services in Kenya, particularly in rural areas where medical facilities are scarce and access is generally a challenge. Any disruption in their operations would severely impact vulnerable communities.

Similarly, private healthcare providers have raised concerns over delayed payments.

The Rural and Urban Private Hospitals Association of Kenya (RUPHA) cautioned that failure to clear outstanding bills could destabilize the healthcare sector.

RUPHA Chairman Brian Lishenga revealed that negotiations with the government over Sh30 billion in unsettled claims had stalled, raising fears about the financial viability of private hospitals.