Governors have lost their bid to control the Sh38 billion funds for HIV, Malaria and TB.
They had requested the Global Fund — which finances most of Kenya’s HIV, malaria and TB programmes — to send money directly to the counties because health is now devolved.
The governors, backed by the Ministry of Health, had requested an initial Sh1 billion out of the current Sh38 billion grant for 2018-2021.
However, the Fund last month turned down the proposal saying it presents accountability risks as auditing multiple programmes in 47 counties would be laborious.
The Geneva-based fund said the current model, where funds are sent to the Treasury and managed by MoH, Amref and the Kenya Red Cross Society, is better.
“The proposed structure will require the use of a significant proportion of grant funds for additional assurance and control measures thereby reducing the funding available for essential programme-related activities," Linden Morrison, head of High Impact Africa II department at Global Fund said.
He said the Ministry of Health is managing its money so well that there is no need to change.
“Global Fund grants in Kenya are performing well under current architecture and have demonstrated tremendous results in the quality of health outcomes and the strengthening of health systems in the fight against the three diseases," Linden told Health PS Susan Mochache, in a letter seen by Star.
Another official told the Star 80 per cent of the assistance to Kenya comes as health commodities such as mosquito nets, condoms, diagnostics and drugs, which are distributed across all counties.
“Only about 20 per cent of Global Fund resources are received in the form of money. That 20 per cent is mainly for training of health workers and for supervision costs,” John Ochero, senior fund portfolio manager in charge of Kenya programmes, said.
The decision has enraged the Council of Governors.
“The GF disapproval to engage with the counties under the proposed framework was ill-advised and an erroneous interpretation of the constitution and counties do not agree with the decision,” CoG chief executive officer Jacqueline Mogeni said.
Mogeni said the CoG will write to the fund to challenge the decision.
Their stance was supported by Nephak, a network of local NGOs working among people living with HIV.
Nephak chairman Nelson Otuoma said the Fund made its decision without consulting the civil society.
“We emphasise that the decision on Global Fund funding arrangements in Kenya should be a responsibility of the country structures and systems and the fund should not take up this role,” he said.
The Star has learned that a team from the Global Fund is expected in Kenya this month to meet the CoG, Treasury, the Ministry of Health among other partners to provide clarifications.