The Committee on Public Debt and Privatization on Tuesday, June 18, 2024 met with Principal Secretary for Medical Services, Mr. Harry Kimtai who apprised the Committee on the status of three loans acquired by the Government for use by the State Department.

The Committee led by Chairperson, Hon. Abdi Shurie (Balambala), wanted to know the status of the first loan, a UA14 million that was acquired back in April 2022 between the Government and the Africa Development Fund (ADF). This loan was meant to finance phase I of the East Africa Centre of Excellence for Skills and Tertiary Education in Biomedical Sciences Project.

Mr. Kimtai told the Committee that this loan will ensure full operationalization of the Centre, disclosing that the progress in implementation is within the stipulated timelines.

The second loan that the Committee was interested in is a EUR19.37 million loan that was acquired on 12^th September 2022 between the Government and Mihuzo Bank Europe N.V.

This loan was meant to finance a project called the Turnkey Medical Equipment and Refrainment Package Contract-Upgrading Maternal and NewBorn Care Units.

According to the PS, the objective of the project was to refurbish, equip and train staff at 20 health facilities and to reduce maternal and infant mortalities by creating a conducive delivery and nursing environment for mothers and newborns.

“The project started on 13^th September 2023 and is anticipated to terminate in September 2025. It is being implemented across 12 counties thus; Nyandarua, Embu, Samburu, Elgeyo-Marakwet, Nyamira, Nyeri, Murang’a, Kisii, West Pokot, Narok, Makueni and Kwale,” Mr. Kimtai said.

While seeking further clarification, Members sought to know the criteria used to select the 12 counties that benefited from the project.

In response the PS told the Committee that a survey on the Kenya demographic was conducted and the benefitting counties were found to be facing most of the challenges to be addressed by the project.

On the third loan, the PS said the State Department was not aware of the loan facility. This is a loan of USD.100 million (Facility B) and EUR 93 million (Facility C) acquired on 5^th April 2022, between the government and Citibank, N.A, London Branch, Rand Merchant Bank, the Standard Bank of South Africa Limited and the Standard Chartered Bank. It was meant to finance the phase I of the East Africa Centre of Excellence for Skills and Tertiary Education in Biomedical Sciences Project.

“I wish to state that the State Department has no knowledge of the above loan facility as per the records availed from our finance department. However, I have requested the National Treasury for clarification of the same. I shall revert to the Committee once I receive the response,” he said.