The government urgently requires over Sh 350 million to settle salary arrears owed to Ministry of Health employees.
Medical Services Permanent Secretary James Ole Kiyapi said the money was needed to address salary issues and other matters touching on the ministry's staff welfare.
Ole Kiyiapi disclosed that KNH staff was owed sh98 million, Kenya Medical Training College sh73 million, Kenya Medical supplies Agency sh72 million and Moi referral - Eldoret hospital Sh106 million among other institutions.
The PS was addressing the press after an assessment tour of the stalled Nyayo wards in Kariobangi and Pangani estates of Nairobi city.
The PS warned that a strike looms in other hospitals across the country if the monies are not cleared.
Unionisable staff at KNH on Wednesday downed their tools for five hours protesting over non-payment of their accrued two year salary arrears amounting to sh98 million.
The hospital's Chief Executive Officer Dr Jotham Micheni told the workers that the money would be paid in a month's time.
He said he had managed to secure from the treasury partial payment for staff who have since returned to work and urged the personnel in the other institutions to be patient.
Ole Kiyapi assured that all the arrears accrued from the previous collective bargaining agreement would be settled before the end of this financial year.
He expressed optimism that the Treasury would allocate funds to clear the arrears in the awaited supplementary budget.
The PS toured the newly constructed ultra modern Nairobi East district hospital in Kayole estate which is nearing completion.
The hospital with modern operations theatre, special children's and pediatric wards among other amenities is being constructed at a cost of sh554 million funded through a grant from the Chinese government.