Kenya has announced a significant healthcare funding initiative, allocating Sh21 billion to support free outpatient services in Level 2, Level 3, and Level 4 public hospitals across the country. The move aims to ease the financial burden on citizens seeking medical attention while strengthening the nation’s universal healthcare goals.
The government directive ensures that patients visiting outpatient departments in these facilities will receive treatment without incurring additional charges. The allocation will be used to reimburse hospitals for services rendered, ensuring continuity of care and operational sustainability.

The announcement came during a tour of Migori County to inspect the progress of key health projects. These include the construction of Kehancha Level 4 Hospital, the upgrading of Uriri Sub-County Hospital, and the equipping of Migori County Referral Hospital under the National Equipment Services Programme (NESP). These investments are expected to enhance healthcare access and improve service delivery in the region.
Progress on the Social Health Authority (SHA) registration was also highlighted during the visit. In Migori County, 467,927 residents representing 41.96% of the local population have already enrolled. The SHA is a key component of Kenya’s broader healthcare reforms, designed to streamline coverage and ensure that all citizens can access essential services without financial hardship.

The new funding initiative aligns with the government’s commitment to improve health outcomes nationwide, particularly in underserved rural areas. By removing outpatient fees at the lower-tier hospitals, the policy aims to encourage early medical consultations, reduce the strain on higher-level facilities, and prevent the escalation of treatable conditions.
Healthcare stakeholders have welcomed the measure, noting that it could significantly boost attendance at primary and secondary healthcare facilities while reducing out-of-pocket expenses for households. The focus on equipping hospitals and expanding infrastructure in counties is expected to further complement the policy, ensuring that the facilities can handle increased patient numbers effectively.
This strategic investment is seen as a vital step towards achieving equitable healthcare access, reinforcing Kenya’s commitment to universal health coverage and sustainable health financing.