FCMB commits N20bn to boost healthcare financing

FCMB has pledged N20 billion to finance private healthcare businesses across Nigeria, aiming to enhance access to long-term capital for operators in the sector. The bank announced the establishment of the N20 billion Healthcare Fund at its inaugural healthcare summit in Lagos.

The financing will target a range of healthcare enterprises, including hospitals, clinics, diagnostic centers, pharmaceutical companies, pharmacies, and maternity homes. According to FCMB, the fund is intended to support business expansion, the acquisition of medical equipment, infrastructure development, working capital needs, and technology investments.

This initiative supports the Federal Government's broader objective to expand healthcare capacity and boost the local production of medicines and medical devices. The government's Presidential Initiative for Unlocking the Healthcare Value Chain aims to achieve 70 percent local production by 2030.

Speaking at the summit, FCMB Managing Director and CEO Yemisi Edun, represented by Executive Director Felicia Obozuwa, emphasized the critical role of affordable, long-term financing in strengthening the healthcare sector. "Healthcare is a social imperative and an economic priority. Building a strong healthcare system requires capital that is patient, affordable and long-term," Edun stated.

The fund is part of a larger healthcare financing program that combines lending with advisory services and strategic partnerships. Njide Ndili, President of the Healthcare Federation of Nigeria, highlighted access to finance as a major challenge for private healthcare operators. She noted that partnerships, like the one with PharmAccess Medical Credit Fund, demonstrate that small and medium-sized healthcare businesses can achieve strong loan repayment performance with adequate technical assistance and capacity building. The Healthcare Federation of Nigeria, with over 400 member organizations, will collaborate with FCMB to develop a framework for pre-qualifying healthcare facilities and preparing businesses for investment.

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Healthcare is a social imperative and an economic priority. Building a strong healthcare system requires capital that is patient, affordable and long-term.