Punjab Releases Rs22B to Clear Medical Supply Dues for Hospitals

Punjab Releases Rs22B to Clear Medical Supply Dues for Hospitals

| 25-Apr-2025

The Punjab government has taken decisive action, releasing Rs22 billion in the first phase to settle long-overdue payments to medical supply contractors for public hospitals, addressing a 19-year backlog that crippled healthcare delivery. This includes a critical allocation of Rs491.783 million for four major hospitals in Rawalpindi, where unpaid dues had halted essential medicine supplies, severely impacting patient care.

The Punjab Finance Department confirmed the funding, targeting Holy Family Hospital (Rs62.993 million), Rawalpindi Teaching Hospital (Rs91.43 million), Benazir Bhutto General Hospital (Rs43.983 million), and the Rawalpindi Institute of Cardiology (Rs293.377 million). In Lahore, the crisis had escalated, with government hospitals facing acute shortages of basic medicines, fueling public outrage over dues unpaid since 2005.

Punjab Chief Minister Maryam Nawaz stepped in, directing the Finance Department to release funds in phases after a detailed briefing on the unpaid dues. This initial release aims to restore medicine supplies and stabilize healthcare services, addressing the dire challenges caused by prolonged non-payment.

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