Aasai

The government will start paying Social Health Authority (SHA) contributions for Kenyans who cannot afford it, President William Ruto has announced. The President said the move follows the completion of the performance appraisal process. He noted that this move will ensure that no one is left out of the universal health coverage scheme.

 He informed that those who can afford to pay contribute 2.75 percent of their income, making the scheme equitable. Therefore, the government has been collecting enough funds to serve those who cannot afford it. "The National Hospital Insurance Fund (NHIF) was discriminatory. Mama Mboga was paying Ksh.500, equivalent to 10 percent of their income. I was paying Ksh.1,700, which was equivalent to 0.01 percent of my salary," he said. 

He said this during a meeting with grassroots leaders from Meru County at State House, Nairobi, on Friday. Deputy President Kithure Kindiki, Meru Governor Isaac Mutuma, National Assembly Majority Leader Kimani Ichungwa, MPs and MCAs were in attendance. The President said SHA has so far registered 25.8 million Kenyans compared to the defunct NHIF, which had seven million members. Stating that SHA serves all Kenyans who have registered, the President explained that outpatient services at dispensaries, health centres and sub-county hospitals are free. 

The President also announced that the NYOTA business support scheme will benefit 70 small business owners in each of the 1,450 wards in the country, totaling 100,000 in the country. "This programme will be launched on September 18, 2025. Youths should dial *254# to register," he said. 

On the economy, President Ruto maintained that Kenya is on a good track and can support priority development programmes. He said the stabilization measures he initiated when he came to power in 2022 are now bearing fruit, with Kenya rising from the eighth largest economy in Africa to the sixth. 

The President explained that the government reduced borrowing and spending and began repaying its $2 billion Eurobond debt that had put the country at risk of default. These measures, he said, have yielded results. Inflation has declined from 9.6 percent to 4 percent, with the shilling strengthening from Ksh.167 to the dollar and stabilizing at Ksh.129. Foreign exchange reserves at the Central Bank have risen to Ksh.1.5 trillion ($11.8 billion) over five months of import cover - from $5.7 billion (Ksh.738 billion). "Kenyas economy in 2022 is very different from the economy in 2025," he said. "That is why you see our fortunes changing. We now have funds for road construction, a total of Ksh.170 billion, and contractors are back on site," he added.

 On national savings under the National Social Security Fund, the President explained that Kenyans had saved Ksh.320 billion between 1966 and 2023 when employees and employers were contributing Ksh.200 each month.But when employee and employer contributions were increased to 6 percent each in 2023, the total savings doubled to Ksh.640 billion in two years. “By 2027, savings will have risen to Ksh.1 trillion,” he said.

 He also highlighted the reduction in Treasury Bill interest rates from 16 percent to 8 percent as evidence of economic stability. He urged Kenyans to expect bank lending rates to fall to below 10 percent. On agricultural reforms, the President said the government has registered 6.5 million farmers, making it easier to support them with fertilizers and seeds to increase food production and productivity. “As a result, the cost of food has come down because we have subsidies for production and not consumption,” he said.

 The President also noted that reforms in the dairy sector have made Kenya a major dairy leader in Africa. On education, he said the Government has employed 76,000 teachers, addressed the challenges of Competency-Based Education and Training, and introduced a new funding system for colleges and universities to ensure that no student is left behind. 

To address the challenge of unemployment, President Ruto cited the Affordable Housing Scheme and the construction of modern markets as ways to create jobs. “A total of 170,000 units of the Affordable Housing Scheme are being built, employing 340,000 youth,” he said. President Ruto also said more opportunities have also been created through the digital economy under the ICT hubs of Jitume and workforce mobility initiatives. On the Hustler Fund launched on November 30, 2023, the President said it has disbursed Ksh.75 billion to over 26 million Kenyans. The provision of these unsecured loans, he explained, has enabled small entrepreneurs to grow their businesses. and introduced a new funding model for colleges and universities to ensure that no student is left behind. 

To address the challenge of unemployment, President Ruto cited the Affordable Housing Scheme and the construction of modern markets as ways to create jobs. "A total of 170,000 units of the Affordable Housing SchemeOn education, he said the Government has employed 76,000 teachers, addressed the challenges of Competency-Based Education and Training, and introduced a new funding system for colleges and universities to ensure that no student is left behind.