Nairobi Hospital Dismisses Collapse Claims, Affirms Financial Stability and Operational Strength

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By Irene Mwende 



The Nairobi Hospital has moved to reassure the public of its stability and continued service delivery, firmly dismissing claims of financial distress and institutional collapse.

Speaking during a press briefing on Thursday, Chief Executive Officer Felix Osano and Board Chairman Barcley Onyambu presented detailed financial and operational data showing that the hospital remains fully functional and on a recovery path.

Osano revealed that the hospital recorded revenues of KES 12.8 billion in 2024 and KES 11.8 billion in 2025, with the slight decline attributed to a temporary insurance suspension in the third quarter of 2025. However, he noted that revenue performance has since rebounded, with monthly collections stabilising at approximately KES 1.03 billion in early 2026.

“Recent trends clearly show recovery. This is a hospital that is functioning, serving patients, and strengthening its performance,” Osano said.
Operational indicators further reinforce this outlook, with admissions rising by about five per cent and oncology services recording growth of over 100 per cent. Bed occupancy currently stands at over 60 per cent, reflecting sustained patient demand and service delivery.

On liquidity, the hospital reported a steady improvement, with supplier debt reduced from KES 1.95 billion to KES 1.72 billion. Staff salaries and payments to doctors remain fully up to date, while KES 6.3 billion was paid to suppliers and KES 1.7 billion to consultants in 2025 alone.

At the same time, the hospital is owed approximately KES 2.4 billion, including KES 514 million from the Social Health Authority and KES 720 million from the now-defunct National Health Insurance Fund. Management said efforts are ongoing to recover these funds.

The hospital also highlighted its strong investment position, with a diversified portfolio valued at KES 1.349 billion as of February 2026, including government securities that have generated significant capital gains.

Chairman Onyambu addressed recent controversies surrounding the institution, describing them as governance challenges rather than operational failures. He criticised the arrest of hospital directors over the past weekend, terming it unprecedented and inconsistent with established legal norms.

“What is being presented as institutional collapse is not reflective of the reality. The Nairobi Hospital remains stable, operational, and committed to quality patient care,” Onyambu said.
He further pointed to longstanding governance disputes, including litigation that has delayed key decisions and disrupted operations. The board accused a small group of individuals of advancing selective narratives and using court processes to stall governance mechanisms.

Despite these challenges, the hospital continues to play a key role in Kenya’s healthcare system, supporting patient overflow from facilities such as Kenyatta National Hospital and Jaramogi Oginga Odinga Teaching and Referral Hospital. It is also expanding services to beneficiaries under the Teachers Service Commission and the National Police Service.

Management reiterated that widely circulated claims of missing billions and undisclosed loans are inaccurate. The audited deficit of KES 2.214 billion in 2024, they explained, was driven by legacy and one-off adjustments that have since been addressed.

Looking ahead, the hospital is investing in system upgrades, including an integrated enterprise resource planning platform, and modern medical technologies to enhance efficiency and patient care.

The Board and Management concluded by reaffirming their commitment to transparency, strong governance, and the continued delivery of world-class healthcare services.

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