A storm is brewing in Homa Bay County after revelations that Nyandiwa Hospital, a facility that locals insist has remained closed for over a decade, was listed among health centers that received Ksh20 million in August 2025 disbursements from the Social Health Authority (SHA).
Residents expressed shock upon learning of the allocation, stating that they have long been forced to seek treatment in Rachuonyo due to the non-operational state of the hospital. “That is a surprise and breaking news to me. It is very concerning that the hospital is receiving funds, yet we have never seen the hospital working. This is a waste project,” said one resident. Another added, “What I can tell the government is, open the hospital, so that it can now start operating. It can be very beneficial to us who live near it.”
Images and videos circulating online appear to confirm that the hospital is still inactive, further fueling suspicions of financial mismanagement. The revelations have sparked debate over accountability within SHA and the Ministry of Health.
In a swift response, SHA CEO Dr. Eva Mwangangi dismissed the reports, branding them as misleading and harmful to public trust. “The Social Health Authority has noted with concern a misleading article alleging that SHA disbursed Ksh20 million to a ghost facility. These claims are false, misleading, and undermine basic principles of responsible journalism,” Mwangangi said in a statement.
However, Health Cabinet Secretary Aden Duale appeared to offer a conflicting narrative, suggesting that the hospital’s inclusion in the disbursement list may have been an error, deepening confusion over the matter.
The Rural and Urban Private Hospitals Association, which has been pushing for long-overdue payments from the defunct NHIF, seized on the scandal to highlight what it describes as systemic failures at SHA. “These gaps are among many examples of the authority’s inefficiencies,” the association said.
The conflicting accounts from residents, government officials, and SHA have left unanswered questions over whether Ksh20 million was indeed funneled into a dormant facility. As pressure mounts, Kenyans are calling for an independent investigation to uncover the truth and ensure accountability in the management of public health funds.