Senior Multimedia Reporter
radhica.sookraj@guardian.co.tt
Health Minister Dr Lackram Bodoe and Attorney General John Jeremie have raised an early alarm over a combined $570 million in unpaid debts for the two ministries left by the previous administration—funds owed to drug suppliers, maintenance contractors, and attorneys, which they are now burdened to clear.
Speaking to Guardian Media yesterday, Minister Bodoe said $500 million is currently owed to suppliers at the Ministry of Health.
Jeremie meanwhile said the AG’s Office had an estimated $70 million in legal fees owing and had already exhausted its budgetary allocation for this fiscal year.
Describing his ministry’s situation as worrisome and in need of urgent attention, Bodoe said: “I would have inherited a debt of 500 million outstanding to suppliers, including those who were supposed to maintain the facilities and so on. That is an ongoing problem, and with the resources that are available, I will be able to fix these issues.”
Asked what impact this would have on operations, Bodoe said, “I have not yet met with the suppliers. We are in the process of gathering information at this point.”
He explained that addressing the debt is a priority, particularly because the backlog includes payments for drugs and other medical supplies.
“There are many challenges. I think the immediate challenge is the backlog of payments to suppliers, especially in areas of drugs and supplies. I am very concerned about that. This Government has been borrowing money to buy drugs and supplies when previously, when we demitted office, that was a direct allocation from the Budget. So, what is happening now is that with the loans that have to be paid, the cost of drugs to patients has actually increased, not only for the cost but also with the interest,” he said.
Bodoe noted that the impact of the loans on the ministry’s ability to deliver healthcare was a major concern.
“Loans, and that is something that is troublesome. Again, the final figures — we are looking to get that very soon so we can plan the way forward.”
He said the financial strain was also affecting staff.
“The morale of staff is depleted, and we have to look at what we can do to get the staff motivated. Yesterday, (Tuesday) there was joy on the faces of people whom I visited.”
On the issue of medical education, Bodoe expressed disappointment about how facilities were being used.
“I was very disappointed that an area earmarked for teaching, which was handed over to the University of the West Indies, it is now occupied by the HR department. We will recommence talks to the University of the West Indies and see how this could be utilised as it was intended. Students and their accommodation are being reviewed in the context of the Couva Hospital and the Debe campus. I want to say medical education can remain a source of foreign exchange for this country, which is lacking.”
He noted, however, that a clearer picture of the country’s debts will be revealed when the Cabinet meets.
“As a Government, we have a responsibility to those who have supplied their goods and services, and it is too early to say what the overall picture but when Cabinet meets, all the Ministers will have an opportunity to say what is happening and the Prime Minister can explain the way forward,” Bodoe added.
Contacted for comment yesterday, former Health minister Terrence Deyalsingh said queries should be directed to PS Ali and NIPDEC, adding that he would not engage in a public tit-for-tat with the current minister.