Penda Health: High quality Affordable Primary Care for lower income families in Kenya
A successful financially sustainable healthcare provider that operates at scale, Penda Health is a prime example of healthcare business that meets EfD’s criteria and deserves our support. After much trial and error it has identified and rolled-out a chain of healthcare clinics that offer timely, appropriate quality healthcare services at prices that lower income households in Kenya can afford. By designing services that are efficient yet low cost, Penda clinics can cover their costs and make a contribution to funding overheads once volumes have built up. Starting with just 2 clinics in 2014, the number has now grown to more than 20 and there are firmly funded plans to expand over time to 50. Hence Penda is now able to provide high-quality affordable healthcare services while also being financially sustainable and able to scale.
Penda provides high-quality affordable primary health care services for lower income families in poorer parts of Nairobi, Kenya. Why then does Penda need grant support from EfD? The funding provided by private sector patient capital investors is focused on financial sustainability and scale over the medium term. However it did not include funding sufficient to also invest in certain improvements in quality of care. Therefore EfD decided to provide grant support specifically to invest in the quality improvements that private investors were not currently willing to fund.
EfD support for a patient-focused Electronic Medical Record system
By 2016 it had become clear to Penda that operating efficient, low-cost services across multiple sites while maintaining consistently high quality care would require adoption of an on-line Electronic Medical Record (EMR) system. Penda were keen to develop an “impact-led” EMR that in addition to business operations (patient scheduling, financial management, stock control etc.) could also capture real-time patient information so as to improve the quality of patient care and safety. Its core funders were willing to fund only the “business focused” components of the EMR so in 2017 EfD agreed to fund the extra costs to develop and implement the patient quality-focused components.
The EMR was rapidly and successfully implemented in early 2018 and now provides a wealth of information that has enabled Penda not only to maintain efficient and high quality care for its rapidly increasing number of patient visits per annum but also to use the patient information in ways that enhance the quality and safety of care while preserving data confidentiality.
EfD support for a proactive targeted Preventative Healthcare Delivery programme
Building on its success so far in 2019 Penda was successful raising additional capital to further grow its healthcare services. Certain quality improvement programmes which Penda wished to pursue were not included in the core funding plan. Penda approached EfD to see whether we would be willing to support a preventative healthcare programme aimed at proactively reaching out to patients who already trust Penda Health, and offering already proven preventative healthcare services in a targeted way. The proposed approach would take advantage of the patient focused components of their highly effective electronic medical record (EMR) system, and qualified, empathetic medical providers, to accurately identify, reach out to, and recommend preventative healthcare services to those groups of patients who would actually benefit from them. After appropriate due diligence EfD approved the proposal later in 2019 and the programme is currently underway. View a summary of the proposal approved by EfD.
2020 update
Penda’s expansion programme is well underway with the target of 1,000,000 patient visits per annum clearly in sight. Because Penda’s costs have been kept very low, they are now able to provide services to many of those patients who are covered by the national health insurance fund even though funding per patient is just $1 per month. This will not only provide high quality services for these patients but will also help Penda generate the revenue which will allow it to extend services to even more patients.
Transforming Patient Care in 2025 - Groundbreaking AI Healthcare Study
When EfD first provided grant funding to Penda Health for their pioneering work into AI-powered Clinical Decision Support Systems in 2022, we believed in the transformative potential of artificial intelligence to improve healthcare outcomes in underserved communities. Our early support was instrumental in helping Penda develop and refine their innovative approach to clinical decision support, laying the groundwork for what would become a globally significant breakthrough.
Penda Health, in partnership with OpenAI, has now completed a comprehensive study of 40,000 patient visits, making it the largest-ever study of clinical AI in actual practice. This groundbreaking research, published as a peer-reviewed study and available under Related Documents, represents a direct evolution from the foundational work our grant funding helped support.
A World-First Achievement
The results speak for themselves.The study's findings are nothing short of remarkable:
Significant Error Reduction
The AI-powered clinical decision support tool achieved substantial reductions in medical errors: 16% fewer diagnostic errors and 13% fewer treatment errors across the study period. These aren't just statistics – they represent real improvements in patient safety and care quality.
Massive Scale Impact
In absolute terms, the study showed that introducing AI Consult would prevent diagnostic errors in 22,000 visits and treatment errors in 29,000 visits annually at Penda alone. The implications for scaling this technology globally are profound.
Clinician Empowerment
Perhaps most importantly, all surveyed clinicians reported that the AI tool improved the quality of care they delivered, with 75% saying the effect was "substantial". Rather than replacing human expertise, the system enhanced clinical decision-making while preserving physician autonomy.
The Journey from Grant to Global Recognition
Our grant funding was crucial in enabling Penda Health to:
- Develop Initial Prototypes: Supporting the early conceptual work and technical development of AI-powered clinical decision support
- Conduct Safety Audits: Ensuring the technology met rigorous safety standards before broader deployment
- Refine User Interface: Iterating on the system to seamlessly integrate into clinical workflows
- Build Local Capacity: Training teams and establishing the infrastructure necessary for successful implementation
A Model for Healthcare Innovation
The study, conducted across 15 clinics in Nairobi with 106 clinicians and spanning nearly 40,000 patient visits, used rigorous methodology comparing outcomes between clinicians with and without access to the AI system. This represents the kind of evidence-based approach to healthcare innovation that our grant funding was designed to support.
Global Implications
The success of this AI clinical copilot in Kenya's healthcare system demonstrates how technology can dramatically reduce medical errors and improve patient safety, particularly in resource-constrained settings where the need for clinical decision support is greatest.
The study's publication and recognition by major outlets including TIME Magazine and coverage across international medical journals underscores the global significance of this work – work that began with our early grant funding.
Looking Forward
This achievement exemplifies the multiplier effect of strategic grant funding in healthcare innovation. Our initial investment in Penda Health's Clinical Decision Support System has not only improved care for thousands of patients but has also contributed to the global body of knowledge about AI in healthcare.
The study provides "a practical framework for advancing responsible adoption" of AI in real-world health systems, potentially influencing healthcare delivery across continents.
Our Commitment Continues
The success of Penda Health's groundbreaking study reinforces our commitment to supporting innovative healthcare solutions that have the potential for transformative impact. By identifying and funding promising early-stage work, we can help turn visionary ideas into world-changing realities.
As we celebrate this remarkable achievement – from our initial grant to global recognition – we're reminded of the profound difference that strategic, early-stage funding can make in advancing healthcare for all.
This milestone represents more than just a successful research study; it demonstrates how targeted grant funding can catalyze innovations that improve healthcare outcomes on a global scale. We are delighted to have played a role in supporting the foundational work that made this breakthrough possible.