The management of King Faisal Hospital has outlined measures, including revising the tariff for their services to check the issue of financial distress the facility is grappling wth.
Hospital officials told the Parliament’s Public Accounts Committee (PAC) on September 14 that their current pricing does not match with the market dynamics.
ALSO READ: Govt outlines plans to increase King Faisal Hospital's profitability
It was during PAC hearings that the hospital management team was providing explanations for issues identified by the Auditor General in his report for the financial year ended June 30, 2022.
According to the report, until the audit period, King Faisal Hospital was operating at losses.
The auditor general's report indicated that the hospital's losses have over the years accumulated to Rwf12 billion.
MP Jean Damascène Murara wondered "why King Faisal as a hospital that is exemplary in Rwanda and the region,” yet it is struggling with losses.
ALSO READ: First kidney transplant surgeries successfully performed in Rwanda
"We see Burundians, Ugandans and Congolese, and many Rwandans coming to get treatment there, and it is offering many solutions to people who used to seek treatment in India; why is King Faisal Hospital operating in endless losses? When will these losses end?” Murara wondered.
The director of finance at King Faisal Hospital, Jean de Dieu Barahira, said that: "Looking at the income statement, you realise that the loss of 2021 was Rwf1.5 billion, but in the first half of 2022, the loss was Rwf125 million which implies a major improvement.”
He indicated that the aim is to continue cutting these losses.
MP Jeanne d’Arc Uwimanimpaye suggested that countries from which foreigners who are unable to cover the fees in question should support them to avoid a situation where the hospital would be burdened by non-payments.
ALSO READ: PHOTOS: King Faisal Hospital upgrade to be completed in February
Reviewing medical tariff
Another factor for the loss, which is being discussed by entities including the Ministry of Health and Ministry of Finance and Economic Planning, is the medical tariff that King Faisal Hospital uses currently, Rugeyo told MPs.
"Currently, we use the tariff of 2018. As you know, the prices of 2018 and the current ones are completely different. We did not increase prices yet patients who receive healthcare at King Faisal Hospital are provided with food and other necessities and they pay at the same rates as those of 2018, yet we purchase at prices of 2023,” she said.
"We hope that once it is addressed, it will offer us a possibility to get rid of this loss,” she observed.