Wamuzi News Ke
Former Deputy President Rigathi Gachagua has criticized President William Ruto’s decision to transition the National Health Insurance Fund (NHIF) to the newly established Social Health Authority (SHA), arguing it was a missed opportunity to improve the existing system.
According to Gachagua, the SHA initiative, which has sparked widespread public backlash, has already consumed an estimated Ksh110.9 billion—Ksh6.1 billion for the SHA framework and Ksh104.8 billion for the required technological infrastructure.
Speaking during a TikTok live session on Thursday morning, Gachagua revealed that under the proposed NHIF reforms, Kenyans would have paid as little as Ksh300 to secure healthcare coverage for their entire family. He criticized the SHA project, launched in October last year, as rushed and poorly executed.
“Experts estimated that reforming NHIF would have cost about Ksh800 million. Why implement a new healthcare system at an astronomical Ksh104 billion?” he questioned.
He further highlighted that the Kenya Kwanza government initially proposed lowering monthly family healthcare contributions from Ksh500 to Ksh300, expanding coverage to include chronic illnesses and other medical conditions.
“The idea was solid, but the execution has been deeply flawed due to inadequate consultation and hasty implementation,” he remarked, reiterating that the original plan aimed to reduce costs while enhancing access.
Under the SHA system, salaried workers are now required to contribute 2.75% of their gross monthly income, with a minimum payment of Ksh300 and no cap on the maximum contribution. Informal workers face the same percentage requirement based on their annual household income, with Ksh300 as the minimum contribution.
Despite mounting criticism, President Ruto remains optimistic about the SHA’s success. However, Gachagua insists that reverting to NHIF remains a viable option.
“The government can still pivot back to NHIF, which had a clear and cost-effective reform plan,” he concluded.
