The United States Agency for International Development (USAID) and Global Fund have threatened to withdraw Ksh400 billion aid for Kenya following a series of grand theft at the Kenya Medical Supplies Agency (Kemsa).
The two international donors early this week wrote to the government informing that they are pulling out on supporting malaria, tuberculosis (TB) and HIV/AIDS epidemics for the next three years.
This communication came barely a week after a grand heist at Kemsa was unravelled by an expose by NTV on Sunday.
The expose dubbed #Covid19Millionaires detailed how a consignment of Personal Protective Equipment (PPEs) donated by Chinese billionaire Jack Ma ended up being sold to private businessmen.
USAID and Global Fund said it is concerned by continued misappropriation of donor funds meant to mitigate the effects of COVID-19.
The aftereffect of the withdrawal of the donor funds by the two agencies will see Kemsa lose out Ksh2 billion.
Kemsa has been on the spotlight for selling PPEs at inflated prices. In its warehouses, there are millions of PPEs which risk expiring before being put into use.
According to Citizen TV, the stockpiled PPE are worth Ksh6 billion. Kemsa, in the wake of renewed scrutiny, is rushing to release the stock at Ksh4 billion.
Kemsa CEO Dr Jonah Manjari has been suspended and is expected to appear before Senate’s Health Committee to answer how the agency has run into losses as well as the flawed procurement process.
A report released last week showed that Kemsa procured N950 masks at double the market price – Ksh1,300 per piece – and ordered 5,000 pieces.
Further, the agency procured KN95 masks at Ksh700 per piece while the market price is Ksh450. An order of 1,836,400 masks was placed
Last month, US ambassador to Kenya Kyle McCarter warned that US donors would pull out aid for Kenya due to incessant corruption.
