NSPA clears MVR 1 billion, owes further MVR 1.5 billion

Public Accounts Committee has revealed that the National Social Protection Agency (NSPA) has accumulated over MVR 1.5 billion in unpaid bills under the Social Health Insurance Scheme, even though it has already paid more than MVR 1 billion to domestic and international service providers by the end of July 2024.

According to a detailed report submitted to the Committee, the largest portion of the outstanding payments, MVR 367 million is owed to government health service providers for services rendered between November 2023 and July 2024. The second-largest sum, MVR 349 million, is owed to hospitals abroad. An outstanding balance of MVR 1.5 billion remains unpaid.

Breakdown of NSPA's Outstanding Bills (as of July 2024):

- Government health agencies: MVR 367 million

- Foreign hospitals: MVR 349 million

- Private clinics: MVR 330 million

- Pharmacies: MVR 325 million

- Maldivian hospitals: MVR 164 million

The report further shows that while NSPA paid MVR 872 million during the review period, the value of newly accumulated unpaid bills during that same time rose by MVR 663 million. As of November 2023, NSPA had already accrued outstanding payments amounting to MVR 491 million. This included MVR 125 million owed to public health agencies, MVR 101 million to foreign hospitals, and MVR 81 million to local hospitals.

Additionally, pharmacies were owed MVR 136 million, and local clinics MVR 48 million.

The financial strain is not limited to NSPA. Aasandha, the state-run health insurance provider, also has significant outstanding debts. According to information submitted by the Parliament Secretariat, Aasandha owes around MVR 1.1 billion to various health service providers. This includes MVR 516 million owed to pharmacies, MVR 260 million to clinics, MVR 158 million to foreign hospitals, and MVR 112 million to private hospitals in Maldives.

The Public Accounts Committee began its investigation after Maldives’ largest private hospital, ADK, filed a formal complaint. The hospital claims that Aasandha has failed to pay MVR 251 million in dues, which has made it difficult for them to cover supplier costs and other operational expenses.

Combined, NSPA and Aasandha have paid a total of MVR 1.1 billion to vendors and health service providers by the end of July. However, with outstanding payments still in the billions, the Committee has decided to conduct a deeper review of the situation based on the findings presented in the report.