President Ruto rolls out Ksh.200B medical upgrade plan for hospitals

National and county government hospitals will now benefit from a new medical equipment initiative that will provide modern health machines.

The new initiative, which will run for seven years, is underpinned by a fee-for-service model, which means neither national nor county governments will buy the medical equipment.

Instead, suppliers will provide the necessary equipment and the Social Health Authority (SHA) will pay for each service provided.

Launching the programme at State House Nairobi on Thursday, President Ruto said: "Our private sector partners will bear the cost of installation, servicing and maintenance, placing no financial burden on public health facilities."

The new programme replaces the Medical Equipment Scheme, which he said required significant upfront capital and lacked clear service agreements, leading to frequent downtimes and compromised care.

So far, 45 counties have signed the Intergovernmental Participatory Agreement (IPA), a critical step in the rollout of the project.

Since June 2025, President Ruto said over 60,000 medical services have already been delivered in 29 health facilities across 18 counties under this project.

He described the new initiative as a good example of what can be achieved through collaboration between National and County governments.

Through the new programme, the President said Kenya is shifting from a fragmented and costly medical equipment supply system to a smart and collaborative approach to healthcare delivery.

"This cost-effective and sustainable model guarantees that equipment is not only installed, but also consistently maintained, thereby ensuring continuous and reliable service," he said.

He flagged off the delivery of 14 CT scanners, two ultrasound machines, 30 dialysis machines, and digital X-ray systems to various hospitals in the counties.

"In the next two months, we expect to deploy an additional 58 digital X-rays, 65 ultra-sound machines, 19 CT scanners, 100 theatre equipment, and 100 laboratory systems, all under the innovative model," he said.

President Ruto said the government is firmly on course to overhauling the delivery of health services in the country.

Alongside infrastructure, he said the government is building a comprehensive digital backbone for healthcare.

He pointed out that 25.2 million Kenyans have registered with SHA, which has contracted over 11,000 healthcare providers, including hospitals, clinics, and health centres nationwide.

Furthermore, he noted that since October 2024, SHA has paid a total of Ksh.56.4 billion, comprising Ksh.49.7 billion from the Social Health Insurance Fund and Ksh.6.7 billion under the Primary Healthcare Fund.

"This digital transformation is giving Kenyans faster, more transparent and more dignified access to healthcare," he said.

The President explained that the digital infrastructure being put in place will not only deliver services efficiently, but also eliminate fraud in the health sector.