Economy

SA Medical Technology Industry Association urges government to address payment delays, inefficiencies

Date: Mar 12, 2025

The South African (SA) Medical Technology Industry Association (SAMED) has issued a call to the government to address the delays in payments from provincial health departments to mid-tech suppliers.

This, as well as the systemic budgeting and transactional inefficiencies, are contributing to this issue.

According to the association, provincial health departments have reported insufficient budgets, leading to the suspension of payments to suppliers.

SAMED Chairperson Scott de Oliveira expressed concern over the impact of these delays on suppliers' cash flow and the overall quality of healthcare services.

"We have a number of Members that are being pushed to the limits in terms of their financial capacity. We are aware of some Members that have already ceased supplying to the state sector and we are aware of some Members that are considering this now. We urge all of our Members to honour their current contracts and tenders. But the situation is becoming untenable and as such, we're calling on states state sector across the board, including the President's Office, to really get involved and have this situation resolved," de Oliveira said.

--SABC/ChannelAfrica--

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