Kenya's Billion-Dollar Health Deal Halted Over Data Privacy Concerns

A Kenyan court has paused a $1.6 billion health funding agreement with the U.S., pending a court hearing on data privacy concerns raised by the Consumers Federation of Kenya. The deal requires increased domestic health spending and has sparked debates over data protection laws.


Devdiscourse News Desk | Nairobi | Updated: 11-12-2025 14:29 IST | Created: 11-12-2025 14:29 IST
Kenya's Billion-Dollar Health Deal Halted Over Data Privacy Concerns
  • Country:
  • Kenya

A Kenyan court has suspended a substantial $1.6 billion health funding agreement between the Kenyan government and the United States, initially formalized on December 4. This suspension will remain in place until a data privacy lawsuit filed by a consumer protection group is resolved. Notably, the agreement was the first of its type under U.S. foreign aid reforms ushered in during President Donald Trump's tenure.

Following Kenya's lead, other African nations, such as Rwanda and Uganda, have entered into similar accords. These agreements condition the receipt of U.S. health funds upon increased domestic allocation to health budgets. The Consumers Federation of Kenya has pushed the High Court to pause the agreement, citing unaddressed concerns regarding the security of citizens' health data.

The Federation has vocalized that decisions informed by Kenyan health data should be transparent, auditable, and involve consumer representation to ensure proper data processing and independent oversight. Consequently, High Court Judge Bahati Mwamuye has ordered a temporary halt to the agreement until the court hears the case. President William Ruto has assured Kenyans that their data privacy will be respected and upheld.

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