Kisumu County leases out hospital to private firm – Business Daily

Kisumu Governor Anyang’ Nyong’o at a past event. FILE PHOTO | NMG
A private investor has taken over the management of Victoria Annex Hospital in Kisumu in an effort aimed at revitalising the performance of the sub-county facility.
Oasis Doctors Plaza won the bid to operate the hospital that has been an annex of Jaramogi Oginga Odinga Teaching and Referral Hospital (JOOTRH).
The medical facility that has 18 branches countrywide will run the project for a renewable period of five years.
Kisumu County is leasing out the facility under a revenue share plan that is expected to generate up to Sh45 million for the county administration during the contract period.
Oasis has indicated that it will make a capital investment of Sh236 million in the plan, which will be executed in two phases.
“Phase one will entail renovations, revamp the offices and purchase of basic equipment done with a projected cost of Sh50 million starting June 2022,” said the firm in documents seen by the Business Daily.
The second phase will entail set-up of a comprehensive radiology centre with MRI and CT-Scan, specialised units including a cancer centre and a Critical Care Unit at a cost of Sh186 million.
The devolved unit aims at optimising service delivery at the facility by improving quality, increasing the profile of specialty services, increasing diagnostic imaging and fundraising for social welfare. Victoria Sub County Hospital has been operating as an annex of JOOTRH.
However, the county noted that the approach has failed largely due to the proliferation of private hospitals in the region and policies that bar part-time private practice by clinicians in government-owned facilities.
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