June 2, 2025
The Federal Government has unveiled MediPool, a pharmaceutical policy innovation aimed at reducing drugs cost and boosting local manufacturing through strategic bulk purchasing.
The initiative was announced on Monday by the Coordinating Minister of Health and Social Welfare, Prof. Muhammad Pate, in a video shared on his X handle.
MediPool, a Group Purchasing Organisation (GPO), is designed to transform Nigeria’s healthcare procurement system by aggregating demand, negotiating competitive prices, ensuring quality, and enabling efficient supply chain management through technology.
“With the approval of MediPool, President Bola Tinubu has once again demonstrated clear, courageous leadership in confronting the longstanding challenges of affordability and access.
“This initiative brings renewed hope to millions of Nigerians burdened by illness and the high cost of care,” Pate said.
The minister explained that MediPool would consolidate public sector purchasing to negotiate better prices from domestic suppliers and manufacturers, operating under a Public-Private Partnership (PPP) model.
“The programme will initially serve facilities supported by the Basic Healthcare Provision Fund (BHCPF), currently reaching more than 37 million Nigerians.
“It is expected to expand to federal tertiary hospitals and private healthcare providers in subsequent phases.
“By leveraging the government’s monopsony power as a bulk buyer, MediPool will shape the domestic pharmaceutical market, reduce prices, and improve access, especially for poor and underserved communities,” Pate added.
He said that MediPool supported the broader Presidential Initiative to Unlock the Healthcare Value Chain, which sought to increase Nigeria’s self-reliance in pharmaceutical production.
According to Pate, the government’s goal is to produce at least 70 per cent of all pharmaceuticals consumed locally and to expand the life sciences manufacturing workforce from 20,000 to 50,000 full-time jobs.
He explained that MediPool built on recent policy efforts such as President Tinubu’s June 2024 Executive Order, which waived import tariffs on pharmaceutical raw materials to encourage local production.
Pate said the policy had attracted global investment interest, noting that the European Investment Bank (EIB) had identified Nigeria as a promising hub for pharmaceutical manufacturing.
He also said that the African Export-Import Bank (Afrexim Bank) had committed 1 billion dollars to support the local production of drugs, biologics, and medical devices.
Pate also highlighted key recent achievements aligned with MediPool’s goals: Codex Bio Limited’s Rapid Diagnostic Test Kit Complex in Ogun State, set to produce 147 million test kits annually for diseases including HIV, malaria, and hepatitis.
“Codex is also the first WHO-selected manufacturing partner for test kits in Africa.
“Jawa Investments Limited’s new beta-lactam antibiotic facility in Lagos, which will enhance local production of essential drugs such as amoxicillin and clavulanic acid.
“These developments mark major steps toward achieving medicine security and affordability in Nigeria,” Pate stated.
While boosting local supply was essential, Pate stressed that generating sufficient demand was equally important for a balanced, sustainable healthcare ecosystem.
The MediPool platform, rooted in policy, investment, innovation, and partnerships, forms a central part of the government’s broader strategy to ensure access, affordability, and resilience in Nigeria’s healthcare system.
