KEMSA Fixed Amount Reimbursement Agreement (FARA) Implementation Letters

Kenya Medical Supplies Agency (KEMSA FARA IL) is a customer-focused integrated medical logistics provider for all public health facilities in Kenya.

As a State Corporation, KEMSA is a secure source of value-for-money drugs and other medical supplies to over 5,000 facilities.

KEMSA has also received substantial TA and support from USAID in human resource capacity building through the deployment of key advisors in areas of business development, procurement, IT and supply chain management.

With USAID support, KEMSA has invested in an effective Enterprise Resource Planning (ERP) system that has led to the full automation and integration of KEMSA operations and overall business processes, resulting in greater efficiency and improved service delivery.

KEMSA's fully automated central warehouse in Nairobi is now functioning under the platform of a Warehouse Module System hosted by the ERP. This has significantly improved efficiency in inventory management and processing of health facilities requirements.

KEMSA has successfully implemented the Framework Contract system, and all current procurements are aligned to KEMSAs strategic and business plan with enhanced visibility of all health care commodities in the supply chain.

Currently KEMSA has a total allocation of KES 5.3 Billion ($60m) for essential medical supplies, approximately KES7.0 billion ($85m) for programs such as HIV, malaria and tuberculosis.

KEMSA has been appointed as the procurement agent for the GFATM R10 procurements, and the USG is confident that KEMSA is re.ady to start handling some PEPFAR commodities. This is a new award, and no vehicle procurement is planned. This activity supports GHI/LLC and is funded primarily with pipeline funds in this budget cycle.