By Shadrack Nyakoe

Nairobi Senator Edwin Sifuna has sharply criticized the Nairobi County Government’s decision to move all health facility accounts from top-tier banks to a lesser-known tier-three financial institution, terming the move a clear indication of corruption and poor governance.

Sifuna, who also serves as the ODM Secretary-General, questioned the logic behind the directive that compels all county hospitals to close their existing accounts with reputable banks and instead open new ones with Sidian Bank, recently designated as the county’s “principal banker.”

“The health facilities in Nairobi have been banking with tier-one banks with solid history and reputation. How you wake up one day and direct all of them to move to a tier-three bank cannot be explained any other way than that corruption is at play,” said Sifuna in a statement issued on Wednesday.

His remarks follow a circular dated November 5, 2025, from the Office of the County Secretary and Head of County Public Service, Godfrey Akumali, addressed to all Chief Executive Officers of Level 4 and 5 hospitals and officers in charge of county health facilities.

The letter, reference number NCC/CS/GA/1011, communicated a resolution made during the 69th Nairobi City County Executive Committee meeting held on October 28, 2025, to designate Sidian Bank as the new principal banker for all county health facilities.

“This correspondence hereby serves to communicate the resolution of the County Executive Committee to request that you complete the attached forms to facilitate the opening of your respective accounts,” the circular reads in part.

Health facility managers were given until November 7, 2025, to submit all documents required to open the new accounts under the supervision of the County Executive Committee Member for Finance and Economic Planning.

The move has sparked widespread criticism from county employees, health administrators, and civil society groups, who argue that shifting accounts to a smaller bank could expose public funds to risk and potential manipulation.

Senator Sifuna demanded that the Ethics and Anti-Corruption Commission (EACC) and the Controller of Budget intervene to investigate the circumstances surrounding the decision, calling it “a blatant misuse of administrative power.”

“We cannot allow Nairobi County to be turned into a cash cow through backdoor banking schemes. Public money must remain safe and accountable,” he added.

County officials have yet to respond to Sifuna’s allegations. However, sources within City Hall insist that the change was part of a broader “financial restructuring plan” aimed at improving efficiency and centralizing revenue management.

Meanwhile, health workers and facility administrators remain uneasy, saying the abrupt transition could disrupt service delivery and delay payments for essential medical supplies and staff allowances.
The controversy adds to growing concerns over transparency in Nairobi’s financial operations, with the county government already under scrutiny from oversight bodies for past procurement and revenue collection irregularities.