The Rural Private Hospitals Association of Kenya (RUPHA) has welcomed Health Cabinet Secretary Aden Duale’s request to the Treasury for Sh5.3 billion to clear arrears owed to health facilities by the defunct National Health Insurance NHIF, but maintained that its suspension of SHA services remains in place until the debts are settled.
In a statement on Thursday, RUPHA described the CS’s appeal to Treasury CS John Mbadi as an important step in easing the financial burden inherited from the defunct NHIF.
“We cautiously welcome this development as a step in the right direction towards the partial settlement of the historical liabilities of the Social Health Authority,” RUPHA said.
The association thanked Duale for acknowledging that unpaid claims have constrained hospitals and undermined the government’s universal health coverage (UHC) agenda.
“We thank you for acknowledging that unpaid medical claims have constrained the provision of healthcare services in Kenya and are a threat to the national dream of Universal Healthcare,” the statement read.
However, RUPHA Chairperson Brian Lishenga was more blunt, warning that without immediate disbursement, the CS’s letter would remain symbolic.
“Yes. This is just a letter, just like the letter the President wrote in March 2025. It doesn’t mean anything,” Dr. Lishenga told KMB Media.
The association urged Treasury to act quickly, noting that the proposal is consistent with its internal policy on prioritizing pending bills valued below Sh10 million.
“We urge CS John Mbadi to act expeditiously on your request as it’s in line with the National Treasury’s internal policy on retiring pending bills whose value is below KSh 10 million,” RUPHA noted.
At the same time, RUPHA reiterated that its suspension of SHA services remains in force as announced on September 22, 2025.
The group said the suspension covering private facilities countrywide was unavoidable due to billions in unpaid claims and persistent system failures. Patients seeking treatment are now required to pay cash upfront, with hospitals saying they can no longer sustain operations without reimbursement.
“Hospitals are on the brink of collapse due to non-payment of claims and a failing SHA system. We can no longer continue offering services without settlement of arrears,” RUPHA said.
While RUPHA expressed no objection to President William Ruto’s directive on verification of claims, it demanded that the process begin immediately in line with a May 2025 High Court ruling.
“Hospitals request that you move with characteristic speed to establish a team and initiate the verification mechanism in line with the guidance provided to you via the High Court in Gikenyi B & 3 others v Committee & 23 others (Petition E011 of 2025),” RUPHA stated.
CS Duale had earlier written to Treasury CS Mbadi seeking Sh5.3 billion in the upcoming supplementary budget to pay hospitals owed arrears of under Sh10 million, noting the debts cut across public, faith-based, and private facilities in all 47 counties.
In response to RUPHA’s outcry, Duale urged the association to engage through formal channels rather than the media.
“Today, I want to listen to you. Nobody will be discriminated or treated unfairly because you have done investment. You have borrowed from banks. As you do your part of the bargain, Dr Mercy Mwangangi (CEO , SHA) must do her part of the bargain for the business to run and for Kenyans to get that health access. But if you people go and address us through the TV, first we will not respond to you. Because you have an individual contract to be shared. So how do you address a contractual obligation? Through social media or that?”
He argued that clearing the debts would “restore confidence among service providers, sustain essential health services, and reinforce the government’s commitment to UHC.”
