FG APPROVES MEDIPOOL POLICY TO SLASH COSTS OF DRUGS, MEDICAL CONSUMABLES. (PHOTO).

 FG Approves Medipool Policy to Slash Costs of Drugs, Medical Consumables

The Federal Government has greenlit a new policy, Medipool, aimed at reducing the costs of drugs and medical consumables for Nigerians, following a Federal Executive Council (FEC) meeting presided over by President Bola Tinubu at the State House, Abuja, on Monday.

Announcing the decision, Coordinating Minister of Health and Social Welfare, Professor Ali Pate, described Medipool as a group purchasing organization designed to secure competitive pricing and serve as a supplier of essential medicines and healthcare products nationwide. The initiative will consolidate demand from basic healthcare centers and federal tertiary hospitals, leveraging the government’s bulk purchasing power to negotiate lower prices.

“Medipool will use the monopsony power of the government as a large buyer to negotiate lower prices and channel those commodities,” Pate explained. The policy’s scope encompasses procurement planning, supply chain logistics, distribution monitoring, quality assurance, regulatory compliance, and financial management. It also prioritizes support for local manufacturers, import substitution, capacity building, and contingency planning to ensure a steady supply of high-quality, affordable drugs.

Pate noted that Medipool was modeled after successful initiatives in countries like Kenya, South Africa, Singapore, and Saudi Arabia. The policy will initially operate through the Federal Government’s Basic Healthcare Provision Fund, with plans to expand to federal tertiary hospitals, fostering a public-private partnership to enhance accessibility and affordability of essential healthcare products for Nigerians.