Principal Secretary for Public Health, Dr. Ouma Oluga, has sounded the alarm over rampant overpricing in Kenya’s private hospitals, accusing them of burdening citizens with inflated medical bills. Speaking during a radio interview on Tuesday, August 26, Oluga revealed that many facilities are engaging in fraudulent practices, including overcharging for medicines and diagnostic scans.
He cited the example of Panadol, a common painkiller that hospitals procure at about Ksh30 but sell to patients at an astonishing Ksh1,500. “The fraud in medical facilities in Kenya is anything between 20 and 35 percent, and it happens in small and big ways,” Oluga stated.
According to the PS, the malpractice extends to advanced services such as CT scans. “You find that the CT scan costs Ksh16,000, but the hospital is charging Ksh35,000 for the same service. That is criminal, and that’s why we are cracking down on these facilities,” he added.
Oluga described the situation as systemic, stressing that the exploitation of patients has reached unacceptable levels. “Basic healthcare services are being exploited, and it is our duty to ensure citizens are not defrauded,” he said.
The Ministry of Health, he disclosed, has already taken stern action against offending institutions. So far, 728 facilities have been shut down, with the majority being private hospitals. An additional 301 facilities, largely public, have been downgraded after being found to have been politically upgraded without meeting the required standards.
Oluga further exposed a common practice where hospitals register with trained doctors and nurses on paper, only for the professionals to leave once the facilities are licensed. “Most hospitals open facilities, submit a trained doctor’s CV, submit nurses’ CVs, provide good medical facilities, and after registration, all the facilities, nurses, and doctors leave,” he explained.
To address these challenges, the Ministry, in coordination with the Social Health Authority (SHA), has intensified audits and oversight. Oluga emphasized that the goal is to streamline healthcare services and ensure affordability for all Kenyans.
“This crackdown is not about punishing hospitals but about protecting Kenyans from exploitation and restoring integrity in the health system,” the PS concluded.
