Health and Mass Media Minister Dr. Nalinda Jayatissa has announced that the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) will investigate the sale of pharmaceuticals at excessive profit margins, some of which exceed even those of licensed pharmaceutical manufacturers.
The Minister made these remarks on Thursday following an inspection visit to the China–Sri Lanka Friendship National Nephrology Hospital in Polonnaruwa.
He revealed that certain hospitals were purchasing essential medicines at prices four to five times above their actual market value, often under the justification of “emergency requirements” and bypassing standard procurement procedures.
While hospitals are permitted to procure essential medicines through emergency purchases if unavailable via the Medical Supplies Division, the Minister stressed that such provisions must not be misused to justify inflated pricing. “This mismanagement of public funds under the pretext of medical necessity is unacceptable and will be subject to investigation,” he said.
Dr. Jayatissa also expressed concern over private pharmaceutical companies operating with unregulated profit margins, far exceeding those allowed under National Medicines Regulatory Authority (NMRA) guidelines. He affirmed that CIABOC will scrutinize such practices, particularly where public sector funds are involved.
During the hospital visit, the Minister inspected the dialysis unit and inpatient wards, holding discussions with administrators and staff to identify ongoing challenges in service delivery and hospital management. He described the facility as a significant gift from the Chinese government, but acknowledged that its full potential has not yet been realised.
To address this, he proposed the formation of a dedicated task force to evaluate the hospital’s operations and develop a plan for optimisation, possibly in collaboration with the Polonnaruwa District General Hospital.
Additionally, Dr. Jayatissa revealed plans to engage with the Chinese government for further assistance in supplying essential medicines and medical equipment, reinforcing bilateral cooperation in strengthening Sri Lanka’s healthcare system.