News24 reported on 21 March that SA’s medical technology sector is facing a severe financial crisis, due to provincial health departments’ delaying payments of over Rbn to suppliers.
More than half of this amount is outstanding beyond 120 days.
“Companies supplying everything from orthopaedic devices and CT scanners to basic medical supplies like syringes and gloves are experiencing significant financial strain. Many are forced to rely on increased overdrafts and loans to maintain operations.
“National Health Department spokesperson, Foster Mohale, acknowledged the debt and stated that the department has urged provincial departments to establish payment agreements with suppliers.”