Mpilo chokes on $20m debt

LAWRENCE OTTIS MANTIZIBALoveness Bepete Chronicle Reporter
MPILO Central Hospital is struggling to fund its operations as the debt owed by patients doubled from last year’s estimated $10 million, officials said yesterday.

Lawrence Mantiziba, the hospital’s chief executive officer, said due to patients’ failure to settle their bills, the hospital is also failing to settle its debts and is having problems with suppliers of its critical equipment and drugs

The hospital is also faced with shortages of linen while struggling to maintain its equipment, buildings and vehicles.

Mpilo owes more than $3 million to its service providers.

“The debt has tremendously increased from last year’s $10 million to more than $19,8 million. We owe our service providers who include blood suppliers, surgical suppliers, water and electricity $3,151,225,” he told The Chronicle.

He said the hospital engaged debt collectors on May 5, last year but so far it has only managed to collect $500,000.

Mantiziba said the hospital’s revenue base was unstable as patients were also struggling to make a living with the current economic situation.

“In as much as we want patients to settle their bills, we’re aware of the fact that most people are faced with financial problems,” he said.

The hospital chief said that the government’s support from the national budget was inadequate to fund their operations.

He revealed that last year, they submitted to treasury a bid for $13 million, but had only received less than $1 million.

“We had requested for a budget of $13 million from the government but we only received $550,000 which is insufficient,” he said.

Due to unpaid hospital bills, last year the hospital said drug shortages forced it to ask patients to purchase various drugs from pharmacies.

The problems faced by Mpilo Central Hospital are a microcosm of the situation at most hospitals countrywide. Health experts have also expressed concern that the bulk of drugs in the country are supplied by donors.

 

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