Rwanda Government is all set with its new plan to help reduce medical costs

Rwanda Government is all set with its new plan to help reduce medical costs

Govt lays out plan to reduce procurement of medical supplies.

Rwanda Medical Supply (RMS), a newly suggested body to replace Medical Production, Procurement and Distribution Division (MPPD), is likely to help lower medical costs.

That was disclosed by James Kamanzi, Deputy Director of Rwanda Biomedical Centre (RBC), while appearing before members of the Parliamentary Standing Committee on Social Affairs.


"A private company will have to choose which supplier to work with, and be able to negotiate prices. Accordingly, they will have medicine at a low price and instantly from the factory, without using middlemen", said The deputy director.


He further continued saying, "At the moment, because of procurement conditions, we work with intermediate people between us and drug producers. We cannot negotiate with them directly because the law doesn't allow us to, therefore increasing the costs. But, for a private company, it is possible to deal with many producers and make them decrease their prices and even choose what you want."


District pharmacies will be distribution centres, like branches of RMC to give hospitals easy entrance to medicine and will no longer be commercial institutions.


James Kamanzi, said, "District pharmacies used to work with MPPD as business partners. They were adding extra costs before selling to patients. When you calculate the added value is 60 per cent of the basic value."


Dr Patrick Ndimubanzi, the State Minister in charge of Public Health and Primary Health Care, assured MPs that flexibility will not affect the quality of medicine.


"When we say flexibility, it is not about the quality; that will remain the same and will be controlled by the Government to protect Rwandans. Flexibility will help speed up tender processes, to negotiate with suppliers to lower their prices, and to make a choice," he repeated..