Implementation of key health functions is at risk due to a budget shortfall of Sh67.2 billion in the 2025/26 financial year, unless additional funding is secured.
Crucial areas affected by underfunding include persistent salary deficits in Semi-Autonomous Government Agencies (SAGAs), presidential directive projects, Managed Equipment Services, human vaccines production, and the provision of essential medical commodities for strategic health programmes, such as HIV/Aids, family planning, and routine immunisations.
Appearing before the National Assembly Committee on Health, chaired by Dr James Nyikal, the Principal Secretary in the Department of Medical Services, Dr Ouma Oluga, stated that the department requires a total of Sh426.8 billion for the 2025/26 financial year-Sh350.6 billion for recurrent expenditure and Sh76.2 billion for development.
However, under the 2025 Budget Policy Statement, the State Department was allocated Sh172.6 billion (Sh145.1 billion recurrent and Sh27.5 billion development).
