By Dorothy Musyoka
In a significant move towards enhancing transparency and accountability in government financial management, Principal Secretary Harry Kimtai of the State Department of Medical Services has appeared before the Public Debt & Privatization Committee, chaired by Hon. Shurie Abdi Omar.
The session aimed to provide detailed explanations regarding recent national government loans that support crucial healthcare projects in Kenya.
PS Kimtai began by addressing the UA 14 million loan from the African Development Fund (ADF). He clarified that the loan was received on December 16, 2022, and was originally signed as additional financing on April 5, 2023.
“The UA 14 million loan from the Africa Development Fund (ADF) was received on December 16, 2022. Originally signed on April 5, 2023, as additional financing, its legal opinion was confirmed on June 27, 2023, and the loan took effect on August 18, 2023. This funding supports the development of the East Africa Centre of Excellence for Skills and Tertiary Education in Biomedical Sciences,” explained PS Kimtai.
Furthermore, Mr. Kimtai acknowledged the communication from the National Assembly regarding another EUR 19.37 million loan obtained from Mizuho Bank Europe N.V earmarked for the Turnkey Medical Equipment and Refurbishment Package Contract.
“This loan finances the Turnkey Medical Equipment and Refurbishment Package Contract aimed at enhancing maternal and new born care units across 20 sites in Kenya,” said the PS.
The project agreement, formalized on August 24, 2021, involves VAMED Health Projects Finland OY as the responsible contractor, ensuring the delivery and installation of state-of-the-art medical equipment and refurbishment of existing facilities.
“The project agreement was formalized on August 24, 2021, involving VAMED Health Projects Finland OY as the responsible contractor,” noted PS Kimtai.
These loans represent significant investments in Kenya’s healthcare sector, promising to improve medical services and education.
The committee’s engagement with PS Kimtai underscores the government’s commitment to transparency and effective use of borrowed funds for national development.