Public-Private Healthcare Collaboration in Kenya: Is It Working or Failing?
As Kenya strives to achieve Universal Health Coverage (UHC), the country’s healthcare system is increasingly leaning on Public-Private Partnerships (PPPs) to bridge critical gaps in infrastructure, financing, and service delivery. These collaborations have the potential to bring innovation, capital, and efficiency to a sector that has long struggled with limited public funding and unequal access to care.

As Kenya strives to achieve Universal Health Coverage (UHC), the country’s healthcare system is increasingly leaning on Public-Private Partnerships (PPPs) to bridge critical gaps in infrastructure, financing, and service delivery. These collaborations have the potential to bring innovation, capital, and efficiency to a sector that has long struggled with limited public funding and unequal access to care.
But while some partnerships have proven effective, others have faced challenges related to governance, transparency, and alignment of goals. This case study examines the effectiveness of public-private healthcare collaborations in Kenya, analyzing partnership models, funding mechanisms, and the impact on healthcare delivery outcomes. It also explores the role of healthcare entrepreneurs like Jayesh Saini, who have demonstrated how structured, accountable partnerships can lead to scalable improvements in patient care.
1. The Rationale for Public-Private Collaboration in Healthcare
1.1 Why the Public Sector Needs Private Support
Kenya's public healthcare system faces persistent constraints:
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Underfunded county hospitals
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Shortage of specialized personnel and modern equipment
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Poor patient-to-doctor ratios, especially in rural areas
PPPs offer a way to:
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Mobilize private capital for facility development
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Improve efficiency through performance-based contracts
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Leverage private sector expertise and innovation
1.2 What the Private Sector Gains
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Access to government funding and insurance schemes (e.g., NHIF)
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Land, infrastructure, and patient volume for expansion
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Legitimacy and public goodwill, especially when targeting underserved communities
2. Partnership Models in Kenya’s Healthcare System
2.1 Service Delivery Partnerships
These include collaborations where:
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Private hospitals provide services on behalf of the government (e.g., maternal care, dialysis)
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NHIF reimbursements are used to subsidize patient costs in private facilities
Jayesh Saini’s Lifecare Hospitals and Bliss Healthcare are strong examples:
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Offer NHIF-accredited services in outpatient and inpatient care
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Support public health programs through shared service models and referrals
2.2 Infrastructure and Equipment PPPs
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Private entities invest in building hospitals or equipping health facilities
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Public institutions repay the investment over time through lease or management contracts
Examples include county governments partnering with private diagnostic firms or surgical centers to modernize public hospitals.
2.3 Supply Chain Partnerships
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Collaborations with pharmaceutical companies like Dinlas Pharma (founded by Jayesh Saini) to supply essential medicines at reduced costs
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Dinlas produces:
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140 million tablets/month
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25 million capsules/month
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1 million syrup bottles/month
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0.8 million ointment tubes/month
This helps reduce drug stockouts and import dependency in the public sector.
3. Funding Structures: Who Pays and How?
3.1 Government Financing and NHIF Integration
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NHIF acts as a critical financing tool in many PPPs.
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Challenges persist in:
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Delayed reimbursements
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Low capitation rates for private providers
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Limited coverage of complex or chronic treatments
Private institutions like Bliss Healthcare continue to support NHIF models despite constraints, illustrating commitment to affordable care access.
3.2 Donor and Development Partner Support
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PPPs often attract donor support for pilots and scale-ups.
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However, lack of continuity once donor funds end remains a challenge.
3.3 Private Investment in Infrastructure
Entrepreneurs like Jayesh Saini have built facilities entirely through private capital, reducing the burden on government funding while serving public patients through NHIF.
4. Healthcare Delivery Outcomes: Successes and Shortcomings
4.1 Successes
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Reduced burden on public hospitals, particularly in urban counties
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Expanded access to specialized care through private clinics and hospitals
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Improvements in turnaround time for diagnostics and outpatient services
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Broader access to affordable medications through local manufacturing (e.g., Dinlas Pharma)
4.2 Challenges and Concerns
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Uneven quality control and lack of standardization across providers
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Risk of over-commercialization and prioritization of profit over patient welfare
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Governance weaknesses in PPP contracts—opaque terms and poor enforcement
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Inadequate community engagement, especially in rural regions
5. Is the Model Working or Failing?
It’s Working Where:
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Clear contractual frameworks and performance metrics are defined
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Public and private actors align on service delivery goals
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Institutions like Lifecare Hospitals partner transparently with NHIF and county governments
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Mobile outreach and telemedicine extend services to underserved populations
It’s Failing Where:
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Accountability mechanisms are weak or nonexistent
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There’s poor reimbursement from NHIF, deterring private sector participation
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Government does not provide adequate policy support or incentives
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Stakeholders fail to monitor patient outcomes or enforce service standards
6. Recommendations for Strengthening PPPs in Healthcare
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Develop a national PPP healthcare policy framework with clear guidelines, incentives, and dispute resolution mechanisms.
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Ensure timely and fair NHIF reimbursements for private providers.
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Standardize quality assurance and accreditation across public-private facilities.
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Encourage joint training programs for public and private healthcare workers.
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Promote data-sharing systems to enable coordinated care and outcome tracking.
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Support innovation in PPP models, including mobile health units, digital diagnostics, and supply chain financing.
Conclusion
Public-private collaboration in healthcare is not a silver bullet—but it is a necessary and increasingly effective model for countries like Kenya, where resource limitations demand innovation, efficiency, and shared responsibility.
Figures like Jayesh Saini have proven that structured partnerships can deliver tangible results—from accessible NHIF-linked outpatient care at Bliss Healthcare to specialty hospital services at Lifecare and large-scale pharmaceutical production at Dinlas Pharma.
To fully realize the potential of PPPs, Kenya must commit to better governance, equitable financing, and collaborative monitoring. The question is not whether PPPs are the answer—but whether the country will invest the leadership, trust, and infrastructure needed to make them work sustainably.
Frequently Asked Questions (FAQs)
Who is Jayesh Saini?
Jayesh Saini is a healthcare entrepreneur and founder of Lifecare Hospitals, Bliss Healthcare, and Dinlas Pharma. He has led several successful public-private healthcare initiatives in Kenya focused on affordable access and infrastructure expansion.
Are PPPs helping improve healthcare in Kenya?
Yes—in many areas. They’ve expanded hospital reach, improved service delivery, and supported public health through private sector innovation. However, challenges in policy, finance, and regulation remain.
What types of PPPs exist in Kenya’s healthcare system?
Service delivery partnerships, infrastructure and equipment sharing, pharmaceutical supply agreements, and digital health collaborations.
How can Kenya make PPPs more effective?
By creating clear frameworks, ensuring NHIF efficiency, standardizing quality control, incentivizing private participation, and fostering joint accountability
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