Faith-based hospitals warn of closure over unpaid SHA debts

Faith-based hospitals provide over 40 percent of healthcare services in Kenya, especially in rural areas where medical facilities are scarce.
Faith-based hospitals across Kenya are on the brink of shutting down due to mounting unpaid debts from the Social Health Authority (SHA), a situation that could leave millions of Kenyans without access to critical healthcare services.
Archbishop Philip Anyolo of the Nairobi Diocese on Tuesday warned that if the government does not settle the outstanding payments, these hospitals will be unable to continue operating.
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“It is obvious, if they don’t pay, there will be a shutdown. You know the church has a bigger percentage of medical services to help the government and the people of Kenya,” Anyolo stated.
The crisis comes just weeks after President William Ruto assured faith-based hospitals that their claims would be settled immediately.
Despite this commitment, facilities dependent on SHA reimbursements remain unpaid, pushing them further into financial distress.
Faith-based hospitals provide over 40 percent of healthcare services in Kenya, especially in rural areas where medical facilities are scarce.
Affected communities
The looming closure would disproportionately affect low-income and marginalized communities who rely on these institutions for essential care.
Three weeks ago, the President directed the payment of all hospitals with claims of Sh10 million and below, a move meant to cover 91 percent of facilities contracted under the National Health Insurance Fund (NHIF).
However, faith-based hospitals say they have not received the funds, leading to growing frustration among healthcare providers.
Father Simon Nganga, Board Chair of Mary Help of the Sick Mission Hospital in Thika, said the failure to honor these payments is crippling operations.
“It is going to incapacitate us, and we may not be able to provide services as per the strategic plan. If we get this money, we will be able to run this hospital in a better way,” he said.
Archbishop Anyolo stressed the need for cooperation between the government and faith-based healthcare providers.
“We give services, but we also need to improve on those services, and it’s important that we are also listened to and work together with the Ministry of Health and also the government as such,” he said.
For years, faith-based hospitals have struggled with unpaid NHIF claims. In February, Archbishop Anthony Muheria of Nyeri revealed that these institutions are owed more than Sh250 million, a debt that has pushed many into financial turmoil.
“We still have over Sh250 million owed to us by the government for the last four years. We try, we cry, we appeal, we plead, but we seem to receive noncommittal responses,” Muheria said.
“In any industry or a company, Sh250 million is a debt that paralyses an institution, yet we have continued offering services.”
Muheria urged the government to settle the debts to ensure these hospitals can continue providing care.
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