The government has bailed Premier Service Medical Investments (PSMI) and Premier Service Medical Aid Society (PSMAS) with a ZWL$4 billion package to resuscitate its operations after it had closed more than half of its branches across the country.
In a statement, Public Service Commission Secretary Dr Rosemary Tsitsi Choruma said the injection of funds will enable the restoration of operations at the embattled medical insurance group through, among other support, the clearance of salary arrears for PSMI staff.
“The bail-out package is intended to resuscitate operations at the society and support PSMI, some of whose medical facilities had closed in recent weeks.
She added that the package meant this development will see PSMI facilities reopened.
“Also contained in the bail-out package is support towards the clearing of third-party arrears, which had suffocated operations at the medical aid society. This is a clear demonstration of the government’s commitment to the provision of access to health care for public servants, who make up 90 percent of PSMAS clients.
“This development is expected to enable the re-opening of PSMI healthcare facilities across the country and restore operational viability. Civil servants who subscribe to PSMAS are expected to be able to access healthcare services from the society’s clinics timeously,” said Dr Choruma.
She said Government was giving PSMAS close to ZW$1 billion monthly and US$1,1 million for the purchase of medicines.
This latest injection of funds to PSMAS follows prior support by the government to the tune of ZWL 999 million monthly – 60% of which had been intended for liquidation of financial obligations to creditors, PSMI included; while 40% had been for channeling towards PSMAS operations. Furthermore, the government provided USD USD1,100,000.00 towards the purchase of drugs,” said Dr Choruma.
Dr Choruma also highlighted that a forensic audit of both PSMI and PSMI is ongoing which when completed will help deal with the governance issues.
“An ongoing forensic audit at both PSMAS and PSMI is still in progress. When finalized, forensic audit findings will inform how further governance matters will be dealt with,” she added.
