The Federal Executive Council (FEC) has approved the establishment of Medipool, a central procurement platform aimed at reducing the high cost of medical drugs and ensuring wider access to essential medicines across Nigeria.
The decision was announced on Monday following an FEC meeting presided over by President Bola Tinubu at the State House in Abuja. Coordinating Minister of Health and Social Welfare, Professor Ali Pate, briefed journalists about the initiative, which comes as part of government efforts to address the rising cost of pharmaceuticals in the country.
"In line with the direction of the President for Nigerians to have lower cost of drugs and wider access to essential medicines, we have been working on this for almost a year and a half," Professor Pate explained. "Government has been trying different ways to reduce costs because we know Nigerians are hurting due to rising pharmaceutical prices."
The minister emphasized that the high cost of pharmaceuticals is a global challenge, noting that even countries like the United States are implementing executive orders to address similar issues. Medipool will leverage the government's position as a major buyer of medical commodities to negotiate lower prices for essential medicines.
The initiative aligns with the Presidential Executive Order signed in June 2024, which provided incentives for local manufacturing by removing tax tariffs on imported raw materials. According to Pate, Medipool will function as a group purchasing organization that aggregates demand in Nigeria's health sector and channels it to encourage local suppliers.
"It's using the monopsony power of government as a large buyer of those commodities to negotiate lower prices and then channel those commodities," Pate stated. The scope of Medipool will include procurement planning, distribution monitoring, supply chain logistics management, quality assurance, and regulatory compliance.
The platform has been vetted through the Infrastructure Concession Regulatory Commission and benchmarked against similar organizations in Kenya, South Africa, Singapore, Saudi Arabia, and other countries. It will operate through a public-private partnership model.
Cardiac Catheterization Machine for Sokoto
In a related development, the FEC also approved the procurement and installation of a N2.3 billion cardiac catheterization machine for Usman Dan Fodio University Teaching Hospital in Sokoto.
"The university hospital in Sokoto will now have this capability, which will serve the population in Sokoto State, the North West geopolitical zone, and indeed the entire country," Professor Pate said. "It will save lives and also contribute towards reversing outbound medical tourism."
The cardiac catheterization machine will help the hospital provide diagnosis and treatment services for heart and blood vessel problems, heart attacks, and irregular heart rates. This addition is part of broader efforts to strengthen federal teaching hospitals and improve healthcare delivery across Nigeria.
These initiatives represent significant steps in the government's ongoing efforts to transform Nigeria's health sector and make quality healthcare more accessible and affordable for citizens.
