HomeBusinessU.S. Suspends Ksh200 Billion Health Deal With Kenya Ahead of Court Ruling

U.S. Suspends Ksh200 Billion Health Deal With Kenya Ahead of Court Ruling

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The United States government has said it will only proceed with the Ksh200 Billion Health Deal With Kenya with Kenya once the High Court makes a full determination on the matter.

Speaking during a press briefing in Nyeri on Thursday, December 12, the Chargé d’Affaires at the U.S. Embassy in Nairobi, Susan Burns, stated that President Donald Trump’s administration cannot move forward with implementation of the agreement until the Kenyan courts give direction.

“It is up to Kenya to decide how they want this funding and how they want it implemented. These are discussions that we need to have with the government, but at the moment, the matter is for the court to decide,” Burns said.

She emphasised that while the deal is currently suspended, engagement between Washington and Nairobi remains ongoing to prepare for possible rollout once legal hurdles are cleared.

“We have a lot of work to do in the implementation, and we will continue to have this conversation with the government, of course, respecting any decision that comes from the court. There is a chance to relearn how to do things and scale them up,” she added.

Deal Signed in December

The multi-billion-shilling agreement was signed on December 4, 2025, by Prime Cabinet Secretary Musalia Mudavadi and U.S. Secretary of State Marco Rubio, with President William Ruto witnessing the ceremony at State House.

The framework was designed to strengthen Kenya’s healthcare system by enhancing digitisation of health infrastructure, improving emergency preparedness, and boosting the healthcare workforce and supply chain systems. The funds were to be disbursed directly through government institutions in phases over five years.

However, just a week after the signing, the High Court issued conservatory orders suspending implementation of the agreement.

Justice Bahati Mwamuye halted the deal, citing concerns over provisions relating to the transfer and sharing of medical and personal health data, which had sparked public debate and concern among Kenyans.

“A conservatory order is hereby issued suspending, staying, and restraining the respondents, whether by themselves, their agents, or assigns, from implementing or giving effect to the Health Cooperation Framework executed between the Government of Kenya and the Government of the United States of America,” Justice Mwamuye ordered.

“This suspension applies insofar as the agreement provides for or facilitates the transfer, sharing, or dissemination of medical, epidemiological, or sensitive personal health data.”

Alternative Support to Continue

Despite the suspension, Burns assured that the U.S. government will continue supporting Kenya’s healthcare sector through other established channels, including the U.S. Embassy’s Office of Foreign Assistance and the Centers for Disease Control.

The court’s final determination is now expected to shape the future of one of the largest bilateral health cooperation deals between Kenya and the United States, particularly in areas touching on digital health systems and data governance.

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