Private hospitals have called on Treasury Cabinet Secretary John Mbadi to urgently release Sh5.3 billion owed by the Social Health Authority (SHA), warning that prolonged delays are crippling healthcare services across the country.
The appeal by the Rural and Urban Private Hospitals Association of Kenya (Rupha) follows a formal request by Defence Cabinet Secretary Aden Duale, who asked Treasury to include the funds in the upcoming Supplementary Budget.
Duale explained that the money is meant to settle pending claims of facilities owed less than Sh10 million each, forming part of the Sh33 billion debt inherited from the now-defunct National Health Insurance Fund (NHIF).
According to Duale, clearing these arrears will ease financial pressure on hospitals, restore trust in Kenya’s public health financing system, and support the government’s Universal Health Coverage (UHC) agenda.
Rupha welcomed the request but stressed that the responsibility now lies with Treasury to translate it into action.
“We cautiously welcome this development as a step in the right direction towards the partial settlement of historical liabilities,” the association said.
The group noted that delayed payments have disrupted hospital operations, making it difficult to sustain essential services. They also reminded CS Mbadi that Treasury already has an internal policy prioritizing the clearance of pending bills below Sh10 million.
On the issue of claims verification, which President William Ruto ordered earlier this year, Rupha stated that it supports the process but urged that it should not drag further.
“Hospitals request that you move with characteristic speed to establish a team and initiate the verification mechanism,” the association said.
Rupha emphasized that releasing the funds would safeguard the survival of hospitals and reassure healthcare providers of the government’s commitment to settling its obligations.