Health suffers cut in Kenya Kwanza inaugural budget

By , June 16, 2023

The health sector suffered a blow seeing its budget slashed by Sh5.6 billion from the previous Sh146.8 billion, amid the government’s ambitious Universal Health Coverage (UHC) programme.

Yesterday, the National Treasury asked Parliament to effect the proposal to allocate Sh141.2 billion to the country’s health sector for the next 12 months.

This drop further dents the progress towards achieving the 2001 Abuja Declaration where African heads of state committed to allocate at least 15 percent of their annual budget to improve the health sector in their respective countries, albeit slow.

National Treasury Cabinet Secretary, Prof Njuguna Ndung’u said this year’s budget is anchored on the Kenya Kwanza administration’s bottom-up economic approach, which focuses on a Kenyan at the lowest pyramid.

“Mr Speaker, the Kenya Kwanza Administration is committed and determined to realise the constitutional right to health in the shortest time possible by delivering a Universal Health Coverage (UHC) system,” the CS said in the National Assembly last evening when he presented the country with the Kenya Kwanza government’s maiden budget.

Access to quality healthcare

He said the new Financial Year’s budget entails promoting access to quality and affordable healthcare through the UHC programme, which unfortunately also saw its budget slashed by a colossal Sh44.3 billion to Sh18.4 billion from Sh62.3 billion in the just ended Financial Year.

“Towards this end, Mr Speaker, I propose to the National Assembly to effect budget allocation of Sh141.2 billion to the health sector to support various programmes aimed at supporting Universal Health Coverage,” he proposed in estimates that are expected to raise the eyebrows of non-state actors in the sector.

Over the period 2019/20 – 2021/22, the budgetary allocation for the sector increased from Sh119.2 billion in the 2019/20 Financial Year to Sh120.8 billion in the 2020/21 period and to Sh130.4 billion in the 2021/22 Financial Year.

Analysts put the actual expenditure for the period at Sh107.3 billion; Sh105.7 billion and Sh110.1 billion for 2019/20; 2020/21 and 2021/22 financial years respectively, translating to absorption rates of 90 per cent in the 2019/20 Financial Year, 87 percent in 2020/21 Financial Year and 84 percent in the 2021/22 Financial Year.

Some of yesterday’s specific proposed allocations by the CS for various activities and programmes saw Kenyatta National Hospital (KNH), the region’s largest referral health facility enjoying a huge allocation of Sh25.1 billion from last financial year’s Sh12.8 billion.

“Mr Speaker, specific proposed allocations for various activities and programmes include: Sh3.7 billion for the Kenya Covid-19 Emergency Response Project; Ksh 4.1 billion for Free Maternity Health Care; Sh5.9 billion for the Managed Equipment Services as well as Ksh 1.7 billion to provide medical cover for the elderly and severely disabled persons in our society,” Prof Ndung’u said.

Vaccines and immunisation plan

And to lower cases of HIV/Aids, Malaria and Tuberculosis in the country, the CS asked the National Assembly to effect Sh24.8 billion as proposed under the Global Fund; and Sh4.6 billion to enhance Vaccines and Immunisations Programme in the country.

“Mr. Speaker, to promote early diagnosis and management of cancer, and reduce the burden of treatment among Kenyans, I propose to the National Assembly to effect a budget allocation of Sh1.9 billion for Construction of a Cancer Centre at Kisii Level 5 Hospital; Sh500 million for strengthening of Cancer Centre Management at Kenyatta National Hospital; and an additional Sh155.0 million is proposed for the establishment of Regional Cancer Centres,” the CS said.

Further, to improve health service delivery, he proposed to the National Assembly also to effect budget allocations of Sh12.8 billion for the Moi Teaching and Referral Hospital (MTRH) in Eldoret; Sh8.8 billion for the Kenya Medical Training Colleges (KMTC); and Sh3.3 billion for the Kenya Medical Research Institute (KEMRI).

Constructions at KNH

He also proposed Sh2.4 billion for the construction of Kenya National Hospital Burns and Paediatrics Centre at KNH; Sh1.4 billion for the Equipping of Laboratories and Classroom at KMTC; and also Sh1.1 billion for the renovation of KNH.

In another surprise drop of allocation, Prof. Ndung’u proposed Sh1billion for procurement of family planning & reproductive health commodities, a drop of Sh200 million from last financial year’s allocation of Sh1.2 billion.

“I also propose Sh1.0 billion for procurement of equipment for the National Blood Transfusion Services; and Sh 352 million for the Digital Health Platform,” the CS said.

In the last Financial Year 2022-2023, the government allocated Sh5.2 billion Managed Equipment Services; Sh4.1 billion for Free Maternity Health Care; Sh1.9 billion Medical cover for the elderly and severely disabled in our society; Sh11.7 billion MTRH; Sh7.7 billion for KMTCs, Sh7.7 billion Universal Health Coverage Coordination and Management Unit; Sh5.2 billion Vaccines and Immunisations.

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