Government will clear all NHIS debts within 12 months – Akufo-Addo

Government is confident it will clear all debts owed to service providers under the National Health Insurance Scheme (NHIS) within the next 12 months.

According to President Nana Addo Dankwa Akufo-Addo, pragmatic efforts have been put in place to clear all outstanding arrears to ensure that businesses of health providers do not collapse.

Additionally, the finances of the National Health Insurance Scheme (NHIS) are being restructured to enable it improve access to quality healthcare, as well as ensure that health workers are unencumbered and free to do their work.

“So far, government has, by dint of prudent management within the short space of seven months, cleared GH¢560 million out of the GH¢1.2 billion of debt inherited.

“I am told I can confidently say that we will settle all the arrears within the next 12 months. This year, we are up to date on the payment of claims to service providers. It is essential that the businesses of healthcare providers do not collapse,” he said.

President Akufo-Addo made this announcement at the 50th congregation and fifth oath-taking and induction ceremony of the School of Medical Sciences of the University of Cape Coast on Saturday.

The President further reiterated his government’s commitment to solving the urgent problem of unpaid bills to the healthcare providers.

Health providers have over the past few months expressed grave concerns over government indebtedness and had warned of a total collapse of the health delivery system in the country if no effort is made to settle the debts.

Health providers unhappy at turn of events

The health providers were further incensed when it emerged that arrears owed them would not be paid as earlier promised by the Minister of Health.

The Executive Secretary of the Christian Health Association of Ghana, Peter Yeboah, in an interview on Joy News on the new module government intended to pay the arrears, expressed disappointed at the turn of events.

According to him, some of the service providers have not even received the one-month arrears said to have been paid.

"Given that we have waited for 12 solid months and the debts that are being owed to member institutions continue to wreck our system. Our suppliers, pharmaceutical companies continue to harass hospitals for non-payments of these bills; our banks continue to ask for repayments of debts with interests; our hospitals are being closed by electricity and water companies for non-payment; we think that this piecemeal and token payment from government is highly disappointing," he added.

He said there had been several promises from various government officials, but none of them told them only one month out of the 12 months’ arrears would be paid.

Addressing challenges in health sector

Outlining the problems that bedevil the health sector, such as the challenge of bridging the equity gap in access to healthcare between urban and rural Ghana, the production and distribution of health personnel, and high under-five and maternal mortality rates, President Akufo-Addo noted that some of the answers lie in improving the physical infrastructure of the health sector.

His government, the President assured, will strive to complete ongoing projects around the country, as well as expand health promotion programmes, scale up disease prevention strategies, and enhance access to curative and emergency services.

On the BOT arrangement being entered into with a Canadian group to build infrastructure at the university, President Akufo-Addo noted that such initiatives are admirable, and are to be expected from a university whose Chancellor is one of the most renowned entrepreneurs of Ghana’s generation.

“I hasten, however, to add a word of caution. I think we should learn from previous and unfortunate bitter experience that such arrangements should not be done on the blind side of government. I will strongly urge if you have already not done so, that you seek the blessing of the Ministry of Finance and the Office of the Attorney-General to the arrangement,” the President said.

He continued, “There is currently a difficult situation at the University of Ghana that should serve as a useful lesson for all public tertiary institutions which seek to engage in such arrangements.”

The government, President Akufo-Addo indicated, will continue to make capital outlays in the health sector, and has begun to undertake a number of healthcare projects across the country to bring the provision of healthcare delivery to the doorsteps of the people.

All these projects, he added, are geared towards expanding health facilities in the country and creating ready job opportunities for students in health disciplines in the country.

“We have a duty to ensure that this school is well-equipped to produce capable medical doctors with all the skills needed to improve the quality of medical practice in our country. It is my expectation and hope that graduates from this school will be motivated to take on the challenge and the opportunities for higher achievement through innovation and creativity in the science and technology-led, knowledge-driven global economy,” the President said.