Federal hospitals across Pakistan are experiencing substantial reductions in their allocated budgets as part of a government austerity initiative. The Ministry of Finance has implemented these cuts, which are affecting several key healthcare institutions nationwide.
Notably, the Pakistan Institute of Medical Sciences (PIMS) has been hit hardest, with budget cuts exceeding Rs390 million. Other federal hospitals such as Polyclinic Hospital, the National Institute of Rehabilitation Medicine (NIRM), and Federal Government (FG) Hospital have also seen their funding slashed.
Hospital administrations have formally communicated their concerns to the Ministry of Health, urging a reconsideration of the austerity measures. They have requested that the Ministry of Health intervene with the Ministry of Finance to exempt hospitals from these financial restrictions.
In a significant development, the PIMS administration warned that these budget cuts could severely disrupt the procurement of essential medicines, maintenance of hospital infrastructure, and acquisition of critical medical equipment. Restrictions have already been imposed on purchasing hospital supplies, exacerbating operational challenges.
Officials highlighted that the funding reductions are causing shortages of vital resources, including medicines, fuel for generators and vehicles, and surgical instruments. Currently, PIMS reportedly holds only a one-month supply of medicines. There are growing concerns that the ongoing cuts may jeopardize the government-supported provision of free medicines to patients.
It was also revealed that prior to these latest reductions, PIMS was already grappling with a budget deficit of approximately Rs1.5 billion, intensifying the financial strain on the institution.
