The Federal Government of Nigeria has reaffirmed its commitment to transforming the nation’s health sector through an ambitious industrialization programme aimed at revitalizing healthcare infrastructure and unlocking the sector’s value chain. This initiative seeks to significantly improve health outcomes for Nigerians while driving economic growth and job creation.
Key Investments and Partnerships
The government has secured substantial investments, including a $1 billion Memorandum of Understanding (MoU) with the African Export-Import Bank (Afrexim) and funding from the European Investment Bank. The Coordinating Minister of Health and Social Welfare, Prof. Ali Pate, disclosed that five development finance institutions are advancing partnerships to support the programme.
More than 70 healthcare manufacturing companies have aligned with the initiative, and 22 large-scale projects are under active discussion with international financiers. Highlights of these partnerships include:
- Abbott Diagnostics: Agreement to establish a facility for producing rapid diagnostic test kits for malaria and other diseases.
- Global Gases Group: Plans to build a cryogenic air separation plant for medical oxygen.
- Siemens Health: Commitment to establish an ultrasound assembly plant in Nigeria.
Additionally, the beta-lactam antibiotics facility in Lagos, inaugurated by Jawa Investments, marks a significant milestone. This facility, which produces essential antibiotics like amoxicillin clavulanic acid, has already created over 700 jobs, contributing to local economic growth.
Presidential Initiative to Unlock the Healthcare Value Chain (PIVAC)
Launched in October 2023 under the leadership of President Bola Tinubu, PIVAC aims to transform Nigeria’s healthcare sector from a consumption-driven model to a production-driven one. The initiative’s ambitious goals include:
- Achieving 70% local pharmaceutical production by 2030.
- Expanding the life sciences manufacturing workforce from 20,000 to 50,000.
- Establishing multiple vaccine and medical supply production plants.
- Doubling Nigeria’s pharmaceutical market share in Africa to 15%.
Prof. Pate highlighted that collaborative efforts with stakeholders have resolved initial challenges, positioning PIVAC to deliver on its objectives. The signing of an executive order in June 2023 prioritizing local manufacturing of pharmaceuticals, test kits, and consumables has been hailed as a historic step for the country.
Strengthening Regulatory Frameworks
To support local industries, regulators such as the National Agency for Food and Drug Administration and Control (NAFDAC) and the Pharmacy Council of Nigeria (PCN) are being empowered. The government aims to create a robust regulatory environment that facilitates domestic production while enabling trade for products not yet manufactured locally.
Impact on Healthcare Access and Workforce Development
In line with President Tinubu’s Renewed Hope Agenda, the government has redesigned the Basic Health Care Provision Fund (BHCPF), which now covers approximately 10 million Nigerians. In 2024 alone, 2.4 million citizens enrolled in the national health insurance scheme. Furthermore, 53,000 health workers have been retrained to deliver integrated, high-quality services.
Recognitions and Outlook
The Ministry of Health has received accolades from SERVICOM, including the Special Recognition Award and the Best Performing Ministry Award, underscoring its dedication to excellence in service delivery.
“These achievements are a testament to our commitment to improving the lives of Nigerians,” Prof. Pate remarked. “We are creating a healthcare system that fosters industrial growth, job creation, and economic development while ensuring access to quality healthcare for all.”
With these reforms and partnerships, Nigeria’s health sector is poised to emerge as a model for sustainable healthcare industrialization in Africa.
