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KNH was established as a State Corporation in 1987 through Legal Notice No. 109 of 6th April 1987 as amended by the KNH Amendment Order 2021 with the following mandate:
- a) To receive patients on referral from other hospitals or institutions within or outside Kenya for specialized health care;
- b) To provide facilities for medical education for the University of Nairobi and for research either directly or through other co-operating health institutions;
- c) To provide facilities for education and training in nursing and other health and allied institutions;
- d) To participate, as a national referral hospital, in national health planning