KENYA – Medical Credit Fund has made the first disbursement of loans under the second phase of its loan guarantee facility that targets small and medium-sized healthcare companies in Africa.
The loan amounting to Sh45.2 million (US$ 417,744) has been given to Sori Lakeside Hospital based in Homabay County in Kenya.
According to the company, this new phase of funding is expected to increase investments in African health infrastructure and improve access to quality primary healthcare services.
Arjan Poels, Managing Director, Medical Credit Fund said that many health SMEs have poor infrastructure and equipment because of limited access to capital and this affects the quality of care they offer to patients who visit their facilities.
He added that the COVID-19 pandemic has clearly demonstrated the importance of well-functioning health systems and MCF2 is geared towards driving equitable and quality healthcare by supporting healthcare clinics to improve the healthcare they deliver.”
Arjan Poels further said the second phase is also geared towards driving equitable and quality healthcare by supporting clinics to improve the services they deliver.
Poels also revealed that the second phase of funding has received a catalytic investment of Sh900 million (US$8.3 million).
It will start in its current countries of operation, which include Kenya, Ghana, Nigeria, Tanzania and Uganda, then gradually extend to other countries.
Isaiah Okoth, Country Director Kenya, PharmAccess Foundation said “Attainment of Universal Health Coverage requires a balance between enabling citizens to access care without experiencing financial hardship as well as the availability of healthcare facilities that offer quality care. We are harnessing the potential of the mobile phone to improve access to quality healthcare in Africa.”
The first phase of funding was announced in 2017, and a total of Sh7 billion (US$64.7 million) has already been disbursed with a repayment rate of ninety-seven percent.
“Attainment of UHC requires a balance between enabling citizens to access care without experiencing financial hardship as well as the availability of healthcare facilities that offer quality care’’Isaiah Okoth – Coontry Director Kenya, PharmaAccess Foundation
The Medical Credit Fund was established as part of PharmAccess Group, a non-profit organization working to make inclusive health markets work impact investment fund within the PharmAccess Group, provides loans in partnership with local financial institutions primarily to private health clinics and pharmacies across sub-Saharan Africa.
MCF seeks to improve the quality of the services its borrowers provide and to increase access to quality healthcare services throughout the region.
To advance these goals, MCF offers both pre-and post-investment capacity-building support to its borrowers, as well as support to banks with which it co-invests.
In many African countries, the public sector struggles to deliver healthcare to everyone who needs it. More than fifty percent of Africans use private healthcare facilities.
Many small and medium-sized healthcare companies have poor infrastructure, equipment, limited means to invest in quality improvement and difficulty accessing capital from commercial banks.
His Excellency Maarten Brouwer, Ambassador, Embassy of the Kingdom of the Netherlands in Kenya said, “Health and development are closely intertwined. Driving the attainment of Universal Health Coverage will ensure that all people, regardless of their social status, can access quality healthcare services. The vision of Mobile Credit Fund aligns with our resolve to empower healthcare facilities to offer quality care to all.”
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