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Gov't creates medical credit scheme for private health providers

By Violet Nabatanzi

Added 12th December 2019 07:54 PM

The Uganda Medical Credit Scheme aims at helping to improve the quality and scope of services for Private Health Practitioners (PHP).

Gov't creates medical credit scheme for private health providers

The executive director Uganda Healthcare Federation, Grace Kiwanuka interacting with the commissioner health sector partners and multi sectoral coordinator at the Ministry of Health Tom Aliti during the Private Health Sector convention in Kampala. PHOTO: Violet Nabatanzi

The Uganda Medical Credit Scheme aims at helping to improve the quality and scope of services for Private Health Practitioners (PHP).

In an effort to improve health service delivery in the country, the government has established a medical fund for private health providers.
 
The Uganda Medical Credit Scheme aims at helping to improve the quality and scope of services for Private Health Practitioners (PHP).
 
About $10m approximately sh37b will be put towards the fund for the first year. Part of the money will be provided by the government while the rest of the funds will come from the International Finance Corporation of the  World Bank.
 
Health experts said PHPs are instrumental in complementing the government's effort in meeting the population's needs.
 
The commissioner health sector partners and multi-sectoral coordinator at the Ministry of Health Tom Aliti said when the health providers get access to these funds, they will be able to purchase specialised medical equipment which will boost healthcare in the country.
 
Speaking during the private health sector convention  in Kampala Aliti said, "There are many private facilities which cannot buy Hi-tech equipment like the MRI and X-rays among others, so the fund will help such facilities purchase the machines."
 
According to a 2010 World Bank study, 'Fiscal Space for Health in Uganda', an estimated 46% of Ugandans who needed and sought healthcare did so from private health facilities followed by 22% who sought care from a government health unit, 13% from a drug store or pharmacy 7% from a government hospital, 4% from an NGO health unit, and only 2% from an NGO hospital.
 
At least 37% of health expenditures come from out of pocket payments, amounting to an average of $20 per capita spending.
 
Aliti is optimistic that by the end of this Financial Year, Parliament would have taken a decision to create the scheme. The private sector provides about 50% of the services in this country.
 
The executive director of Uganda Healthcare Federation, Grace Kiwanuka said private health providers who will access the loan will be required to pay an interest rate of between 11% to 14%. At the moment, commercial loans interest rates are between 20% to 28%
 
 
 

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