National Treasury boss, John Mbadi. /FILEThe Rural and Urban Private Hospitals Association of Kenya has urged Treasury Cabinet Secretary John Mbadi to move with speed in releasing Sh5.3 billion to clear debts owed to health facilities by the Social Health Authority.
The appeal comes after Defence Cabinet Secretary Aden Duale formally wrote to the Treasury requesting that the money be factored into the upcoming Supplementary Budget.
In his statement, Duale explained that the funds are intended to settle pending medical claims of facilities owed less than Sh10 million.
These liabilities, which amount to Sh5.3 billion, form part of the larger Sh33 billion debt that the SHA inherited from the now-defunct National Health Insurance Fund (NHIF).
According to Duale, clearing these arrears will ease the strain on service providers, restore confidence in the public health financing system and support the government’s commitment to achieving Universal Health Coverage (UHC).
Rupha welcomed the move but said the onus is now on the Treasury to translate the request into actual payments.
“We cautiously welcome this development as a step in the right direction towards the partial settlement of the historical liabilities of the Social Health Authority,” the association said.
The group added that prolonged delays in settling claims have disrupted operations across the health sector, with hospitals struggling to maintain essential services.
“We thank you for acknowledging that unpaid medical claims have constrained the provision of healthcare services in Kenya and are a threat to the national dream of Universal Healthcare,” it noted.
Rupha pressed CS Mbadi to act urgently, observing that the Treasury already operates an internal policy that prioritises the clearance of pending bills below Sh10 million.
“We urge CS John Mbadi to act expeditiously on your request as it’s in line with the National Treasury’s internal policy on retiring pending bills whose value is below Sh10m,” it added.
On the separate issue of claims verification, which President William Ruto ordered earlier this year, the association said it had no objection but stressed that the process must not be delayed further.
“We only ask for the process to begin now. Hospitals request that you move with characteristic speed to establish a team and initiate the verification mechanism in line with the guidance provided to you via the High Court,” Rupha stated.
The association emphasised that clearing the arrears would not only safeguard the survival of hospitals but also reassure healthcare providers that the Government is committed to settling its obligations.
