The Ministry of Health (MoH) has dismissed allegations by the Rural & Urban Private Hospitals Association of Kenya (RUPHA) that the government owes them Ksh30 billion. In a statement on Tuesday, February 25, MoH clarified that a consultative meeting held a day prior resolved key issues to enhance service delivery in RUPHA facilities.
“A consultative meeting was held on February 24, 2025, between the Ministry of Health and RUPHA leadership, where key resolutions were made to enhance service provision in RUPHA facilities. We wish to clarify that the Government does not owe RUPHA Ksh30 billion, as asserted,” the statement read in part.
Government’s Recognition of Private Hospitals’ Role
The ministry acknowledged the vital role played by RUPHA and the Kenya Association of Private Hospitals (KAPH) in providing healthcare services to Social Health Authority (SHA) beneficiaries. To improve the efficiency of claim processing, MoH announced that RUPHA facilities will receive training on claim management to minimize errors and prevent delays.
Additionally, the ministry urged RUPHA members to continue working with SHA to ensure seamless healthcare service delivery.
Commitment to Settling NHIF Claims
MoH reiterated its commitment to settling pending National Health Insurance Fund (NHIF) claims, emphasizing that the government is actively working on undisputed claims.
“The government remains committed to honoring undisputed NHIF claims. As of October 4, 2024, Ksh10 billion out of Ksh19 billion in undisputed NHIF claims has already been paid,” the ministry stated.
The ministry added that SHA is collaborating with healthcare providers to finalize NHIF pending claim reconciliations, which are currently 60% complete. Healthcare facilities must provide proof of archived claims to facilitate verification before payments are processed.
KAPH’s Suspension of SHA Credit Services
The MoH statement followed an announcement by the Kenya Association of Private Hospitals (KAPH) to indefinitely suspend all credit arrangements under the SHA insurance scheme and Medical Administrator Kenya Limited (MAKL).
KAPH raised concerns over financial instability caused by inefficiencies in the NHIF-SHA transition, along with an unclear reimbursement framework for outpatient services.
RUPHA’s Planned Suspension of SHA Services
On February 20, 2025, RUPHA declared its intention to suspend SHA services in its facilities due to outstanding NHIF payments. The association expressed frustration over the government’s failure to clear more than Ksh30 billion in NHIF debt despite previous commitments.
“As healthcare professionals, our first duty is the welfare of our patients. However, the continued failure to address critical challenges in the SHA transition is now directly endangering the quality and sustainability of care in our hospitals,” RUPHA stated.
The association noted that multiple engagements with the government had failed to yield solutions, forcing them to take decisive action.
Conclusion
The Ministry of Health’s clarification seeks to dispel concerns over SHA funding while reaffirming its commitment to supporting private hospitals. However, tensions persist as private healthcare providers push for urgent resolution of outstanding payments. As the NHIF-SHA transition continues, healthcare stakeholders will be closely monitoring the government’s actions to ensure financial stability and uninterrupted patient care.
