Half of Lesotho health budget goes to private consortium for one hospital

Monday, April 7, 2014

A flagship hospital built in Lesotho using public/private financing with advice from an arm of the World Bank threatens to bankrupt the impoverished African country’s health budget.

More than half the country’s entire health budget (51%) is being spent on payments to the private consortium that built and runs the hospital in the capital, Maseru, led by South-Africa-based Netcare, the biggest private healthcare provider in the UK.

Oxfam, whose report is published on Monday, says the healthcare of the poorest people is at risk, as the Queen Mamohato memorial hospital draws off money that is badly needed for clinics in rural areas. The government is spending $67m a year on the hospital complex, which includes several primary care clinics, in loan repayments and the cost of patient care.

Source: The Guardian (link opens in a new window)

Health Care
governance, public health, public-private partnerships