Home Africa Kenya : Court lifts orders barring Ruto’s social health insurance fund

Kenya : Court lifts orders barring Ruto’s social health insurance fund

Kenya : Court lifts orders barring Ruto’s social health insurance fund

By Rédaction Africa Links 24 with Africanews
Published on 2024-01-19 17:13:44

The Court of Appeal in Kenya has recently overturned a previous ban on the controversial Social Health Insurance Fund (SHIF), giving President William Ruto the green light to continue with his plans to implement the scheme. Championed by Ruto as a vital policy to offer affordable healthcare to all Kenyans, the SHIF has faced criticism from those who view it as a new tax.

The SHIF’s rollout was initially halted in November following a petition from businessman Joseph Enock Aura, who challenged certain aspects of the scheme. However, on Friday, a three-judge bench lifted the ban, emphasizing that the suspension posed a “real and present danger to the health rights of countless citizens.”

The SHIF is set to replace the long-standing National Health Insurance Fund (NHIF), which had suffered from corruption-related losses. Despite the lifting of the ban, the court has suspended sections mandating compulsory registration to the scheme. While workers are now required to contribute 2.75% of their salaries to the new health fund, the law does not address the situation of those unable to afford contributions. President Ruto assured that his government would cover the costs for such individuals.

Critics argue that the 2.75% deduction is a substantial increase compared to what they paid to the NHIF, especially considering recent hikes in fuel prices and living costs. There are also concerns about the allocation of funds, with fears that administrative expenses may overshadow direct healthcare costs.

The decision to lift the ban on the SHIF has sparked debate among Kenyans, with some supporting the move as a step towards more accessible healthcare, and others expressing skepticism about the financial implications and equity of the scheme. time will tell how the implementation of the SHIF unfolds and whether it will effectively provide affordable healthcare to all Kenyans as intended.

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