Chitwan : The BP Koirala Memorial Cancer Hospital is facing financial problems. The government hospital, which has expanded its services mainly for free, is experiencing financial difficulties.
It is said that due to financial constraints, retired employees have not been able to receive their benefits. The hospital has provided free beds and food for patients, and has expanded as the beds became insufficient. This hospital, which is the country’s centre for cancer treatment, has faced financial problems also because some government entities have not paid their dues to it. Executive Director of the hospital, Dr Shivaji Paudel, said that a payment of Rs 416 million 750 thousand is still pending from various government agencies to the hospital.
The highest amount pending to be received is Rs 258.8 million from the Health Insurance Board, Rs 126.7 million from the federal government for providing treatment to the impoverished, Rs 6 million 225 thousand from Bagmati Province, Rs 9 million 918 thousand from Lumbini Province, and Rs 1 million 59 thousand from Gandaki Province under the heading ‘treatment to the impoverished’.
Due to non-payment, the hospital’s liabilities are also pending. According to Executive Director Dr Paudel, the hospital still owes Rs 191 million 715 thousand for salaries, employee provident fund, civil investment trust, regular maintenance, and payments to various agencies. Apart from this, a payment of Rs. 97.7 million remains for the medicines purchased from the pharmacy.
The hospital has not been able to pay the contribution amount of Rs 45.7 million for 18 employees who retired in the current fiscal year. The hospital has Rs 82.8 million in its current account. This amount is only sufficient for the payment of salaries and three months of employees’ dues and for depositing in the Citizen Investment Trust and the Employees Provident Fund.
He said that the regular operation of the hospital has been difficult due to the inability to make the remaining payments. Dr Paudel mentioned that it has been challenging to maintain regularity in tasks such as routine maintenance of equipment, urgent purchases, and medicine procurement. The monthly salary and allowances at the hospital amount to around Rs 50 million. The hospital employs 713 staff members including 95 doctors.
The government had allocated a budget of Rs 241.78 million from the tax fund for hospital operations in the current fiscal year. The annual expenditure for salaries and allowances of the hospital’s medical staff alone exceeds Rs 600 million. The hospital has been managing the rest of the expenses from its internal income.
