Private capital key to solving Nigeria’s healthcare financing crisis – FG
By Chioma Obinna
The Federal Government has called for stronger public-private partnerships and increased private capital investment to close Nigeria’s healthcare financing gaps, expand access to quality care and accelerate local production of medicines, diagnostics and medical devices.
The Minister of State for Health and Social Welfare, Dr Iziaq Adekunle Salako, made the call at the opening of the FCMB Healthcare Summit 2026 in Lagos, saying government alone cannot finance the transformation required in the nation’s health sector.
“Government cannot build Nigeria’s healthcare future on public financing alone, and the private sector cannot do so without the policy certainty, risk-sharing instruments and guaranteed demand that only government can provide,” Salako said.
According to him, reforms under the Health Sector Renewal Investment Initiative, National Health Insurance Authority, NHIA, Act, Basic Healthcare Provision Fund, BHCPF, and the Presidential Initiative for Unlocking the Healthcare Value Chain, PVAC, are creating greater policy certainty and opening new opportunities for private investment in healthcare.
Salako said the government was focused on building a health system in which public resources are used strategically to attract and leverage private capital, rather than bearing the full burden of healthcare financing.
He disclosed that of the N339 billion disbursed through the BHCPF since inception, N235 billion had been released within the last three years under the current administration.
He added that the latest tranche of N32.9 billion was currently supporting more than 8,300 Primary Healthcare Centres nationwide as part of efforts to strengthen primary healthcare delivery.
The Minister also disclosed that health insurance enrolment had risen to more than 22 million Nigerians, attributing the increase to the implementation of the NHIA Act and efforts to expand financial protection and reduce out-of-pocket healthcare spending.
He said the government was also using the PVAC to drive domestic production of medicines, diagnostics and medical devices through targeted incentives, strategic procurement reforms and improved access to long-term financing.
According to Salako, complementary initiatives such as Medipool are helping to strengthen market confidence and create a more predictable environment for local manufacturers.
He urged banks, investors, healthcare providers and other private-sector players to take advantage of the emerging opportunities in the sector and invest in areas capable of improving health outcomes while generating sustainable returns.
Salako welcomed the launch of the FCMB Dedicated Healthcare Fund, describing it as an important step towards mobilising private capital for healthcare delivery and local manufacturing.
He said the fund would complement existing financing interventions by institutions such as the Central Bank of Nigeria, Bank of Industry and other development finance institutions.
The Minister, however, urged investors and healthcare providers to strengthen corporate governance, embrace blended financing models and channel investments towards areas critical to universal health coverage, local manufacturing and health system resilience.
He said the Federal Ministry of Health and Social Welfare would continue to implement reforms designed to improve healthcare financing, attract investment and strengthen domestic production.
Salako said sustained collaboration between government and the private sector remained critical to building a resilient healthcare system capable of delivering better health outcomes for Nigerians.