Duale reveals NHIF left behind Ksh10B debt crippling hospitals

By , October 29, 2025

Health Cabinet Secretary Aden Duale has revealed that the now-defunct National Health Insurance Fund (NHIF) left behind a staggering debt of Ksh10 billion, a financial burden he says continues to cripple operations in hospitals across the country.

Appearing before the National Assembly’s Departmental Committee on Health on Wednesday, October 29, 2025, Duale said the debt has mainly affected faith-based, private, and county health facilities, some of which are now on the verge of closure.

“The Cabinet has decided that we start by clearing claims below KSh10 million, which represents the largest portion of the debt, subject to verification,” Duale told MPs.

Health Cabinet Secretary Aden Duale during a sitting with the Parliamentary committee: PHOTO/facebook.com/adenduale

According to the CS, Ksh5.3 billion of the total debt relates to unpaid claims of below Ksh10 million per facility. The smallest individual claim is Ksh300, while the highest stands at Ksh9.9 million.

He said verification of all claims is ongoing, with the Ministry working closely with the Social Health Authority (SHA) to ensure that only legitimate payments are made.

“Once the Supplementary Budget is passed and the KSh5.3 billion is released, it will be easy to pay these claims. I am ready to share with the Committee a breakdown of the Ksh5.3 billion by county, and verification has already begun in collaboration with the Social Health Authority (SHA),” he said.

Duale emphasised that the verification process is crucial, noting that some claims are suspiciously small.

“So we were just looking for the people, whether these are real people. So every day they are coming to SHA, and we are verifying within one month, we are through the 5.3 billion because we have to verify at least every payment. This is public money, and these are claims that are under 10 million,” he said.

He appealed to lawmakers to support the government’s efforts to clear the arrears, saying the financial strain has left many hospitals struggling.

“I urge Members to support us, because the biggest challenge health facilities are facing today is not SHIF, but the old NHIF debt,” Duale said.

He cited St. Mary’s Mumias Mission Hospital in Kakamega as one of the facilities affected, saying it still carries an NHIF debt of nearly KSh40 million despite receiving recent payments from SHA.

“We now have more than 15 doctors deployed to support verification, and the system has been fully taken over. Within a month, by the time the Supplementary Budget is presented to the House, we expect the verification to be complete and a final list of facilities to be paid ready,” Duale added.

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