Stability returning to Gauteng Hospitals
18 Mar 2012
Stability is returning to Gauteng public hospitals as the provincial Health Department prepares to enter into the final phase of paying all outstanding debts to suppliers.
Payments to suppliers has improved significantly since February when the Gauteng provincial government released R1 billion to the department to pay suppliers. This in turn has encouraged suppliers to release more stock to provincial health facilities.
The department has developed a plan to clear all debts by the end of June this year. In terms of this plan all suppliers owed less than R1 million will be paid in April. Suppliers owed less than R100 million will receive their money in May and those owed over R100 million will be paid in June.
From April 2011 to date, the department has processed payments totalling R11.7 billion for all suppliers including those who provide medicines. Once payments are made, suppliers are contacted to fast track deliveries.