Is affordable medicine getting out of reach in Nigeria?

The prices of essential medicines in Nigeria have continued to soar, raising concerns about the accessibility of affordable healthcare for the average Nigerian. Samuel Okwuada, the Chief Executive Officer of Remedial Health, shed light on the underlying factors driving this phenomenon and discussed potential solutions to counter the escalating prices. Nigeria heavily relies on imported medicines, either as finished products or raw materials assembled locally. The fluctuating exchange rate, which currently stands at around 1,510 to 1,515 Naira to the dollar, significantly impacts the cost of these imported materials when converted into local currency. Additionally, although there is zero duty on medicines in Nigeria, customs often levy a 20% charge on essential drugs like anti-malarials and antibiotics, further driving up costs. Global shipping issues, along with the overall high cost of doing business in Nigeria, also contribute to the price surge. Okwuada highlighted the hidden expenses involved in transporting goods within the country, such as mandatory local government papers and road taxes, leading to increased operational costs for pharmaceutical companies. These combined factors create a ripple effect, ultimately raising the prices of essential medicines for consumers. The situation is particularly dire for patients with chronic conditions like diabetes, asthma, and cancer, with only a small percentage of the population able to afford these crucial medications. Okwuada emphasized the urgent need for swift interventions to address the affordability crisis in the healthcare sector. He called for a focus on building local manufacturing capacity for pharmaceuticals, an initiative that requires time and long-term planning. Immediate actions that the government could take include abolishing the 20% levy on essential medicines, which would have an instant impact on drug prices, as well as prioritizing the importation of essential medicines at the official exchange rate. These measures could potentially lead to a significant decrease of 30% to 50% in medicine prices within a matter of weeks. Okwuada stressed the importance of viewing access to essential medicines as a matter of national security and urged prompt action to alleviate the financial burden on Nigerian patients. The looming specter of divestment in the pharmaceutical sector, exemplified by GSK's exit from Nigeria last year, further underscores the urgency of addressing the root causes of soaring medicine prices. Immediate interventions are crucial to ensuring that healthcare remains affordable and accessible for all Nigerians in need of essential medications.