In a move to revolutionize Nigeria’s healthcare landscape, the Federal Government has approved Medipool, a group purchasing organization, to supply essential healthcare products nationwide. This development is expected to significantly lower the cost of pharmaceutical products, providing relief to millions of Nigerians.
Prof. Ali Pate, Coordinating Minister of Health and Social Welfare, made the announcement on Monday while briefing reporters after the sixth Federal Executive Council (FEC) meeting of the year.
According to Pate, the Medipool project will be executed through the federal government’s Basic Health Care Provision Fund, leveraging the government’s purchasing power to negotiate lower prices.
“We’re using the monopsony power of the government as a large buyer of those commodities to negotiate lower prices and then channel those commodities to the areas of need,” Pate explained.
The project’s scope encompasses procurement planning, distribution monitoring, supply chain management, quality assurance, and regulatory compliance, with a focus on supporting local manufacturers.
Medipool has undergone rigorous vetting through the Infrastructure Concession Regulatory Commission and has been benchmarked against global group purchasing organizations in countries like Kenya, South Africa, and Singapore. Pate expressed confidence that this initiative will transform the domestic market, making quality pharmaceuticals more affordable and stimulating local manufacturing.
The government’s efforts to reduce pharmaceutical costs have been ongoing for over a year, driven by the need to alleviate the financial burden on Nigerians.
In addition to the Medipool approval, the FEC also approved a N2.3 billion contract for the procurement and installation of a cardiac categorization machine at the Usman Dafidio University Teaching Hospital in Sokoto to enhance the hospital’s diagnostic and treatment capabilities for heart-related issues.
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