April 25, 2019

Shyira Hospital In Debt Trap Involving Kenyan Bank

Trustworthy and indepth news stories are more important now than ever.
Support our newsroom by MAKING A CONTRIBUTION HERE
This new Shyira District Hospital was opened on July 1, 2017. However, it found a huge debt accumulated by the old facility which is located a distance far away

The magnificent Shyira District Hospital unveiled by President Paul Kagame in July 2017 is back in the news, but for all the wrong reasons; it paid a Kenyan Bank some Rwf 91m as repayment for a loan yet it did not acquire that loan.

In addition, the Rwanda Social Security Board (RSSB) is deducting money it is supposed to refund monthly to the hospital for medical services provided to the more than 200,000 local resident in Nyabihu district, north-western Rwanda.

As a result, these issues are leaving the hospital management with no time to concentrate on their core mission, instead they are busy looking for solutions to get out of the debt trap.

The situation goes back to before this new hospital was built.

In 2015, the Anglican Church reportedly obtained a loan of Rwf 175m from Kenya Commercial Bank (KCB) in Rwanda. The loan was to purchase the land on which Shyira hospital sits today.

Government and the Church had agreed to build a new hospital to replace a dilapidated one built by the British Anglican Church Missionary Society in 1931.

Government agreed to put up the facility and provide everything else to keep it operational, while the Church would provide the land. That is how the land on which the hospital is located in Shyira sector was bought.

Fast forward, the 140-bed hospital was opened on July 1, 2017, after less than two years of construction by the Rwanda Defence Forces (RDF) at a cost of $7m.

However, the old Shyira hospital had been in the debt situation from 2015.

In late 2015, RSSB transferred Rwf 165m to the account of Shyira Hospital. The money was way more than the actual transfer the hospital was supposed to have received.

On December 16, 2015, Kivu Diocese got wind of the new cash and directed Shyira Hospital management in a meeting to transfer Rwf 51m reportedly to buy land on which a new facility was to be built.

In March the following year 2016, Kivu Diocese held another meeting with Shyira Hospital management in which it was agreed that the hospital pays half of the Rwf 175m loan from KCB.

As a result, between March-September 2016, a total of Rwf 91million was transferred to KCB from Shyira account.

Shyira Hospital was required to transfer money monthly to the account of Kivu Diocese, in which Shyira region and the hospital fall.

Bishop Nahimana Augistin, head of Kivu Diocese and chair of the Board of Shyira Hospital says the decision to have the hospital repay a diocesan loan was done in the best interest of the hospital.

The Chronicles was not able by press time to speak to Bishop Nahimana, but he did speak this week to state broadcaster RBA.

“When we suddenly saw money on the account, it was like manna from God. We thanked God for the money and went ahead to pay the loan,” said Bishop Nahimana, with laughter, in interview with RBA.

It was in late 2017, more than a year later, that RSSB realised that it had transferred a lot more money to Shyira Hospiral. It demanded that the hospital brings back the money totaling about Rwf 144m.

With the hospital unable to find such money, the Ministry of Finance and RSSB settled that the latter will be deducting 20% monthly from the total transfer the hospital is supposed to get from the provider for services offered to patients who are on health insurance.

RSSB has therefore been deducting Rwf 4.9m from RSSB transfers every month, leaving the hospital with a large hole which is affecting its ability to buy medicines and take care of other expenses.

“At the moment, we are unable to pay pharmacies and for other medical supplies because of the shortfall caused by the 20% which RSSB deducts from what they transfer to us,” said Major Emmanuel Kayitare, the director of Shyira District Hospital.

Aerial view of Shyira District Hospital, which is currently facing serious financial difficulties born from a loan of Kenya Commercial Bank Rwanda (KCB Rwanda) which it did not acquire as the hospital

As the situation stands at the moment, the hospital is stuck with a debt of Rwf 144m it owes RSSB, yet it had no role in accumulating the debt. The whole case arose from the original loan which the Anglican Church got from KCB bank Rwanda.

The Finance Ministry, Health Ministry and Parliament have all resolved that Kivu Diocese take ownership of this RSSB debt and pay from its coffers. But the Diocese is not bothered.

The Chronicles has established that the Finance Ministry has informed the Anglican Church that if government pays the entirety of the RSSB debt, then the Church will lose its seat on the ownership of the hospital. It will be 100% owned by government.

Meanwhile, it has also emerged that as of April, there is no Government representative on the Board of Shyira hospital.

We can't do quality journalism without your support

Perhaps it goes without saying — but producing quality journalism isn't cheap. At a time when newsroom resources and revenue are declining, The Chronicles remains committed to "Serving Your Right To Know The Truth". Stand with us as we document Rwanda's remarkable journey for you and the future generation. Do you value our journalism? We can't do it without you. Show us with your support by CONTRIBUTING HERE.
Email your news TIPS to info@chronicles.rw or WhatsApp +250788351327.
You can also find us on Signal


  1. Buying a verified Binance account can be an attractive option for those looking to get started in cryptocurrency trading without
    the hassle of going through the verification process.
    However, it is important to exercise caution when considering such a purchase.

    Verifying an account on Binance ensures security and compliance with regulations, safeguarding your assets.
    It is recommended to follow the proper procedures and go through
    the necessary verification steps to prevent
    any potential risks.

  2. Looking to buy a verified Binance account? Look no further!
    Purchasing a verified Binance account can provide you with easy access to the world of cryptocurrency trading.
    Save time and hassle by opting for a pre-verified account that
    comes with enhanced security and without any
    verification delays. Don’t miss out on lucrative investment opportunities
    – buy your verified Binance account today!

  3. Buying a verified Binance account can offer several advantages
    for cryptocurrency enthusiasts. With a verified account, users can enjoy higher withdrawal limits, enhanced
    security features, and access to additional trading options.

    However, it is essential to be cautious when purchasing accounts to ensure legitimacy and protect personal

  4. Buying a verified Binance account can offer several advantages.
    Firstly, it saves you the time and effort required to go
    through the verification process. Secondly, it provides access to additional features and higher trading limits.

    However, it is crucial to exercise caution and ensure the legitimacy of the seller before purchasing.

  5. Buying a verified Binance account can provide traders with instant access to one of the
    most popular cryptocurrency exchanges. With a
    verified account, users can enjoy increased security measures,
    higher withdrawal limits, and a seamless trading experience.
    However, it is essential to buy from reputable sources to ensure the account’s authenticity.

    Be cautious and research thoroughly before
    investing in a verified Binance account.

  6. Buying a verified Binance account can save time and effort involved in the verification process.
    With a verified account, users can access all the features and benefits without any hassle.
    It provides a secure and convenient method to trade cryptocurrencies, ensuring a smooth experience.
    Invest in a verified Binance account and unlock the full potential of this popular cryptocurrency exchange.

  7. Looking to buy a verified Binance account? It’s essential to exercise caution when engaging in such transactions.
    Purchasing verified accounts can be risky and may violate
    Binance’s terms of service. It’s always recommended to create your own account and follow legitimate procedures to ensure
    the security of your investments.

  8. Are you tired of waiting in long queues to get your Binance account verified?

    Well, worry no more! Now you can buy a verified Binance account hassle-free.
    Enjoy seamless trading and take advantage of all the features
    without any verification delays. Don’t miss out on this opportunity!

  9. Buying a verified Binance account has become a popular
    option for cryptocurrency enthusiasts. With a verified account, users
    gain access to advanced features and higher withdrawal limits.
    It eliminates the hassle of going through the verification process and provides peace of mind.
    However, it is important to ensure the legitimacy and credibility of the seller before
    making any purchase.

  10. Buying a verified Binance account can provide numerous benefits to cryptocurrency traders.
    Verified accounts ensure secured transactions and increased trust.
    With a verified account, users can enjoy higher withdrawal limits
    and access to exclusive features. It’s a wise investment
    for anyone looking to enhance their trading experience on the Binance platform.

Leave a Reply

Your email address will not be published. Required fields are marked *