Safaricom has successfully boxed the government into submission regarding the Social Health Authority (SHA) system, effectively making the state powerless in its management.
The Safaricom-led consortium, which includes Apeiro Limited and Konvergenz Network Solutions, secured a KSh 104 billion contract to develop and run the Integrated Healthcare Information Technology System (IHITS) for SHA.
President William Ruto speaking dyuring a past event. Photo: William Ruto Source: Facebook
However, the contract terms overwhelmingly favor the private consortium, leaving the government with little to no control over the system despite its crucial role in public healthcare.
According to the Auditor General’s repornot, the deal was structured in a way that prohibits the government from developing a competing system, regardless of future technological advancements or changing national needs.
Additionally, Safaricom and its partners retain ownership of the system, intellectual property, and all components, ensuring long-term dependency on them.
William Ruto delivers a keynote speech during a past event. Photo: Tuko Source: Instagram
The report also raised concerns over the financing model, which deducts 5% from claims made by health facilities, increasing healthcare costs for Kenyans without prior public participation.
This arrangement has left President William Ruto’s administration with no direct authority over the system, which was intended to enhance Universal Health Coverage (UHC).
Despite mounting criticism, Ruto has defended the SHA program, insisting that it will work in the long run, though many Kenyans remain skeptical.
Beyond the SHA issue, concerns about Safaricom’s recent actions extend further.
Safaricom CEO Peter Ndegwa speaks during a past interview. Photo: Nation Source: Facebook
The company has not been the Safaricom that Kenyans once knew, especially since the June 2024 anti-government protests.
Allegations have surfaced that Safaricom has been sharing Call Data Records (CDR) with rogue police officers accused of abducting, torturing, and even killing government critics.
These claims have fueled public outrage, with opposition leaders and human rights organizations demanding accountability.
Ministry of Health CS Deborah Mulongo. Photo: Citizen Digital Source: Facebook
Moreover, Safaricom has been at the forefront of resisting the entry of Starlink, Elon Musk’s satellite internet provider, which offers faster and cheaper hybrid internet.
By using regulatory influence and lobbying, Safaricom has ensured Starlink faces numerous bureaucratic hurdles, limiting Kenyans’ access to affordable and high-speed internet.
With the SHA system controversy, data-sharing accusations, and the blocking of fair competition in the telecom sector, Safaricom’s role in Kenya’s economy and governance is under growing scrutiny.
