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Started 1 day ago · Updated 1 day ago

Government Prioritizes Arrears Clearance in Major Hospitals and Health Sector Reforms

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The Ministry of Health and Population is prioritizing the clearance of over Rs 5 billion in arrears, primarily focusing on major hospitals like BP Koirala Institute of Health Sciences and Bir Hospital. Secretary Bikash Devkota stated that a special review and targeted clearance mechanism will be implemented, with reforms in procurement and financial management being essential to reduce future arrears. The Office of the Prime Minister and Council of Ministers also emphasized the need for a structured action plan to significantly reduce arrears.

  • Over Rs 5 billion in arrears has been identified in just two major health institutions, accounting for nearly one-fourth of the total arrears in the health sector.
  • A centralized rate-setting system across federal, provincial, and local levels is suggested as a measure to reduce procurement-related arrears.
  • Arrears settlement is to be incorporated into employee performance evaluations.
  • Special programs for arrears settlement are planned for the upcoming fiscal year to improve accountability and accelerate resolution.
  • Internal reforms in procurement and financial management are deemed essential for transparency and reducing future arrears.

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