Finance Minister warns Central Medical Stores Trust

Finance Ministers Goodall Gondwe has said Treasury will  bail out Central Medical Stores Trust which is struggling to pay off a debt of K13 billion to some of its suppliers but warned the institution against procurement of drugs on credit.

Goodall Gondwe: CSMT to get bail out

Gondwe made the commitment on Wednesday in parliament when he was responding to the question from Rumphi Central parliamentarian Enoch Chihana (Alliance for Democrcay – Aford).

Chihana, who was speaking in the house during the committee of supply on Ministry of health allocations, asked the minister if  Treasury has allocated funds to the Medical trust to pay off the debts which it owes suppliers of  drugs for public hospitals.

Finance Minister said Treasury will pay the debts.

Gondwe said “it is true that Central Medical Stores Trust owes a number of suppliers a lot of money.”

He, however, warned  the institution against abuses.

CMST needs  about K40 billion (US$88.9 million) annually to adequately perform all its functions.

The Trust has however reportedly bought 10 new vehicles for its managers, six operational vehicles and five distribution vans in a K830 million transaction at a time it is struggling to pay off.

Spokesperson for the Trust, Herbert Chandilanga  said since its establishment as a trust, CMST only procured five motor vehicles in 2012 and has, therefore, been relying on aged ones which were inherited from the then Central Medical Stores (CMS).

CMST is a public trust that sources medical supplies for public hospitals across the country.

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4 years ago

Please! Please! Please! is there anybody who does not know Central Medical Stores are a bunch of legalized shenanigans

4 years ago

Katangale wambiri pa ma contracts za buy Malawi campaign za surgical items gloves, syringes, ma cannulas, ndi ma surgical items zambiri. Central medical stores amagula mitengo yakwera kwambiri . ACB muli kuti . Kwacha dzukani. Komaso katundu za buy Malawi campaign Lima AMA wear cholera kunja

4 years ago

There is reckless buying of medicines and surgical supplies from central medical stores under buy Malawi campaign. Prices of these items are 400 percent above normal prices I find bought on open tender. Worst part is these medicine are not even made in Malawi they are imported and just labeled made in Malawi. Blatant abuse of resources. Ban buy Malawi campaign they should complete in tenders and should not be given any special privileges at the expense of poor patients.

5 years ago

Corruption at CMST must end if health of nation to improve

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