Budget crunch imperils free healthcare

Pindi's three major public hospitals face millions in unpaid vendor dues

RAWALPINDI:

The Punjab government's policy of providing free medicines to patients at public hospitals has left all three major hospitals in Rawalpindi burdened with liabilities amounting to millions of rupees owed to vendors, owing to inadequate budgetary allocations.

The continuation of the system for the provision of completely free medicines to patients has consequently come under serious threat.

Despite the three hospitals collectively seeking a medicines budget of Rs3.8 billion for the financial year 2025–26, the Punjab Health Department released only Rs1.1 billion in funds.

The provincial government's policy guaranteeing the provision of free medicines to patients in the emergency departments, outpatient departments (OPDs), and hospital wards has been fully implemented by public hospitals. However, expenditure on medicines, surgical items and medical gases has risen far beyond the allocated budgets.

As a result, all three government hospitals in the city have accumulated substantial debts owed to contractors and vendors supplying medicines, surgical equipment and medical gases.

Hospital sources said that the city's largest medical facility, Holy Family Hospital (HFH), had sought a medicines budget of Rs1.5b but received only Rs400 million. Similarly, Benazir Bhutto General Hospital (BBGH) requested Rs1.5b yet was allocated merely Rs380m.