Investment in Nigeria’s healthcare sector has been a critical priority for both government and Private Sector partners in recent years due to the necessity of addressing the major healthcare concerns facing the nation. Over the past five years, the federal government has spent ₦130.8 billion to equip primary healthcare centres (PHCs) all across the country. The government has already disbursed ₦25.8 billion in 2024, while another ₦12.9 billion is still pending. The Investment is a component of the Basic Health Care Provision Fund (BHCPF), a strategic effort designed to lower maternal and newborn mortality rates while guaranteeing that all Nigerians, especially the most at-risk, have access to high-quality healthcare services.
With at least one center in each of the Local Government Areas’ (LGA) political wards, the funds have been distributed to 8,809 PHCs nationwide. The four major doorways through which the fund is disbursed are the Nigeria Centre for Disease Control and Prevention (NCDC), the National Emergency Medical Treatment Committee (NEMTC), the National Primary Health Care Development Agency (NPHCDA), and the NHIA. In the same time frame, 1.96 million Nigerians signed up for the NHIA, expanding the pool of people who may obtain health coverage.
PHCs aim to offer high-quality care with qualified medical.
Mukhtar Muhammad, the Ministerial Oversight Committee (MOC) Secretary, stated that the BHCPF is aiming to expand its reach by doubling the number of PHCs in each ward by 2027. He underscored that PHCs are only eligible to receive these funds provided they fulfill stringent fund-tracking requirements and the state governments provide the necessary 25% of matching funds. Muhammad emphasized the major obstacles impeding the fulfillment of mandates during a recent BHCPF media engagement in Abuja, notwithstanding the noteworthy achievements the organization has made since its founding.
Muhammad claims that when one considers Nigeria’s concerning health statistics, the BHCPF’s necessity becomes evident. Nigeria accounts for 10% of global maternal fatalities, despite making up only 2.4% of the world’s population. Being the nearest medical facilities to the public, these PHCs aim to offer high-quality care with qualified medical personnel and the required supplies. Through the Basic Health Care Provision Fund (BHCPF), the Federal Government of Nigeria has been actively working to improve all Nigerians’ access to necessary health care, especially those of the most marginalized communities.
Over ₦200 billion has been allocated by the BHCPF.
In order to execute the BHCPF across the nation, the federal government has been collaborating extensively with a number of stakeholders, including state and local governments as well as development partners. The National Health Act of 2014 established the BHCPF with the aim of offering a long-term structure for health financing in the nation. Over ₦200 billion has been allocated by the BHCPF to enhance primary healthcare in all of Nigeria’s states since it was established. Amounts disbursed by the fund annually have fluctuated; in 2018, it was around ₦55.1 billion; in 2019, ₦26.7 billion; in 2020, ₦35 billion; in 2021, ₦50 billion; in 2022, roughly ₦35 billion; and in 2023, approximately ₦40 billion.
BHCPF funds are used to upgrade primary health care facilities, making sure they have enough staff and equipment to deliver high-quality medical care. The fund also encourages disadvantaged populations, such as women, children, and people of old age, to receive free or heavily subsidized health care. In general, the government spent over ₦1.15 trillion ($2.5 billion) on healthcare in 2023, a considerable rise over prior years. This, however, still falls short of the goal established by the 2001 Abuja Declaration, in which members of the African Union committed to devoting a minimum of 15 percent of their national budgets on health.
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Under public-private partnerships (PPP), over ₦100 billion in investments have been made in the sector in recent years. These investments are channelled toward building and management of brand-new medical facilities, such as the Lagos University Teaching Hospital medical center. Between 2020 and 2023, venture capital investments totalling more than $100 million were made in the Nigerian health tech industry. From 2018 to 2023, about ₦60 billion were invested in new Manufacturing plants and the development of current facilities, reflecting a rise in local pharmaceutical manufacturing investments. In the past five years, Nigeria has obtained over $1 billion in grants and international help for projects pertaining to healthcare.