The Guild of Medical Directors (GMD) has raised alarms about the escalating financial crisis in Nigeria's private healthcare sector, revealing that more than 50% of private hospitals have closed, while those that remain are struggling to survive.
In an interview, GMD President Dr. Raymond Kuti explained that many hospitals are grappling with soaring operational costs, including electricity and medical supplies, which have pushed them to the brink of closure. “Averagely, three out of six private hospitals are shutting down every month in Nigeria, primarily due to the challenging economic environment,” Dr. Kuti stated.
He pointed out that costs for energy and imported medical consumables have surged by up to 500%, severely impacting Band A hospitals. The decline in patient patronage, coupled with the “japa” trend—where young healthcare professionals leave the country for better opportunities—has exacerbated the crisis, leading to staffing shortages and forcing many to delay seeking care.
Dr. Kuti, who also serves as the Chief Medical Director at Prisms Health Care Limited, called for urgent government intervention to support private hospitals. “We need the government to recognize the challenges we face and provide the necessary support to ensure that private hospitals can continue to operate and serve the community,” he urged, highlighting the essential role these facilities play in Nigeria’s healthcare system.