Payment backlog upsets hospital vendors

RAWALPINDI:

Outstanding payments for medicines and disposable medical supplies procured through open-market tenders for the city's two major hospitals — Holy Family Hospital (HFH) and Benazir Bhutto General (BBGH) Hospital — have risen to Rs1.23 billion, pushing small contractors to the brink of financial collapse despite having fulfilled their supply obligations.

HFH still owes approximately Rs400 million to small and large contractors from the previous financial year 2024-25. In addition, unpaid bills for the first six months of the current financial year, from July 1 to December 26, 2025, have reached a further Rs400-430m.

At BBGH, payments from the previous financial year 2024-25 have largely been cleared. However, outstanding liabilities for the first half of the current financial year (July-December 2025) have climbed to nearly Rs400m.

Meanwhile, in a move that has alarmed vendors, allied hospitals have issued fresh tenders worth more than Rs1.25b for the procurement of additional medicines and disposable medical accessories, exacerbating concerns among small contractors already facing severe cash-flow constraints.

The Medical Vendors Association has formally written to Chief Minister Maryam Nawaz and Health Minister Khawaja Rafiq, urging them to take immediate notice of the situation and ensure the prompt release of payments.