NHIF To SHIF: Kenyans React As Safaricom Announces KSh 104b Investment In New Health Cover

• The government announced plans to fully roll out Social Health Insurance Fund (SHIF) in October 2024
• On Saturday, September 21, Safaricom PLC cleared the cloud on its involvement in Kenya's new healthcare programme
• The KSh 104 billion investment from the country's top telecommunications firm sparked debate among Kenyans

TUKO.co.ke journalist Wycliffe Musalia has over five years of experience in financial, business, and technology reporting and offers deep insights into Kenyan and global economic trends.

Kenyans have raised concerns after Safaricom announced its involvement in the government's social health scheme.

President William Ruto's administration directed all Kenyans to register for Social Health Insurance (SHIF) by October 1, 2024, ahead of the transition from the National Hospital Insurance Fund (NHIF).

How is Safaricom investing in SHIF?

Safaricom is part of a consortium contracted to implement the Integrated Healthcare Information Technology System (IHTS).

The consortium, including Apeiro Limited and Konvergenz Network Solutions, will invest over KSh 104 billion over ten years to roll out, maintain, and support the IHTS.

Safaricom said it will provide digital solutions to enhance public health facilities, improve pharmaceutical supply chain transparency, and ensure secure healthcare data infrastructure.

What Kenyans said about Safaricom's investment in SHIF

The announcement by Kenya's leading telecommunications firm sparked debate among Kenyans, with some questioning the value of investment.

John Orimbo wrote:

"Great move that was long overdue though I'm really concerned about the KSh 104 billion capital—something feels exaggerated about it!"

Ngigi Mungai argued:

"Safaricom has done so well over the years, that one we cannot deny its a fact. However, Safaricom and the government doing deals after deals after deals seems fishy to me."

Wachira Arap Josephat asked:

"Why does it appear over-budgeted and when does its operationalization begin? Is it also a PIP project?

Abraham Maritim wondered:

"That’s where the intention of changing from NHIF to SHIF. It was all about capital expenditure of the system. What was so wrong with NHIF that could not be corrected?"

Mutembei Kathiari Snr claimed:

"Continue breaching our privacy with this Gov't, you're overspeeding, soon leaking locked savings to KRA,spying our private communications."

@KiproMw noted:

"Apiero doesn't seem to even have a website...”consortium”."

@clement_kemboi asked:

"So the technological shift from NHIF to SHIF will cost KSh 104 billion?"

@reggaeholic_ questioned:

"Can you justify this cost to the last coin because it looks like looting to me over 100B for one system? What is it going to do?"

Is there penalty for late SHIF registration?

This followed directives from NHIF acting Chief Executive Officer (CEO) Elijah Wachira, requiring employers and individuals to register for SHIF before October 1, 2024.

Wachira explained that the monies remitted after November 9, 2024, will be credited to the Social Health Authority (SHA).

The announcement sparked debate among Kenyans, with some raising concerns over court orders blocking the implementation.

Proofreading by Mercy Nyambura Guthua, journalist and copy editor at TUKO.co.ke

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