Agreement with UNOPS for supply of medicine terminated

An agreement signed between the government and the United Nations Office for Project Services (UNOPS) in April last year to supply medicine and equipment to government hospitals and health centres has been terminated.

In a press release yesterday, UNOPS that the MVR67 million (US$4,370,544) agreement was canceled with mutual consent following discussions. The State Trading Organisation (STO) is reportedly set to take over procurements for the health sector.

Under the agreement, UNOPS said more than 200 pieces of equipment were provided to health centres and hospitals in 20 regions. While 146 types of pharmaceuticals were stored in warehouses when the agreement came into force, UNOPS said the figure has risen to 782 at present.

Medical supplies worth MVR37 million (US$2.3 million) had been provided under the agreement, the press release added.

The initial agreement with UNOPS had been modified following instructions by the Anti-Corruption Commission, which investigated complaints alleging violations of public finance regulations.

“Getting pharmaceuticals and equipment through a UN-agency like UNOPS will ensure quality, as they only buy high-quality, best-value goods from suppliers that meet their standards,” Health Ministry Director General Dr Sheeza Ali had told local media in May last year.

“An analysis we did before signing the agreement showed that the cost of obtaining pharmaceuticals and other equipment would decrease by 20-30 percent.”

The two year contract, signed on April 15, 2013, required the Maldives’ government to pay the UN agency on a twice yearly basis.

Meanwhile, former Health Minister Dr Mariyam Shakeela alleged last week that she was ousted in order to clear the way for corruption within the health sector.

Shakeela told newspaper Haveeru that political opponents intended to utilise the position to benefit from large scale corruption in the health sector.

“I am not talking about small amounts [of money]. For example, because of the state of disrepair of infrastructure, about MVR500,000 has to be spent at least to build even one place. In most places, it goes above a million,” she explained.

“So consider the profit people could make. They could give it to whoever they want. They could do whatever they want to purchase equipment. I tried to do it without allowing any of that.”