The Federal Government of Nigeria is implementing a major initiative to reduce dependence on imported healthcare products and curb medical tourism, aiming to boost local manufacturing and create jobs through a new Presidential Executive Order

The Nigeria healthcare transformation is a core focus for the Federal Government, which has announced its commitment to significantly reduce the nation’s heavy reliance on imported healthcare products.

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The current administration is also actively working to curb the number of Nigerians seeking medical treatment abroad and to create much-needed jobs within the health sector.

This was disclosed on Sunday in Abuja by Dr. Abdu Mukhtar, the National Coordinator of the Presidential Unlocking Healthcare Value-Chain Initiative.

This initiative, established by the President, is specifically designed to drive medical industrialisation and unlock the full potential of Nigeria’s healthcare value chain.

Represented by Dr. Nasir Ahmed at the launch of the Impact Healthcare Initiative, Mukhtar stated that one of the initiative’s major milestones was the signing of a Presidential Executive Order in July 2024.

This order, he explained, eliminates Value Added Tax (VAT) on raw materials and medical equipment manufacturing supplies, a strategic move aimed at reducing local production costs and attracting private sector investment.

Mukhtar elaborated on the initiative’s clear mandates: “As part of the Presidential Initiative for Unlocking the Healthcare Value Chain, we have three clear mandates: To significantly boost local manufacturing of healthcare products.

To reduce outbound medical tourism. To create high-quality jobs within the healthcare sector. This initiative is about creating a more efficient and self-reliant healthcare system.

We are achieving these. We are leveraging policy to enable the private sector to thrive and lead the charge in healthcare manufacturing, job creation, and service delivery.”

He further highlighted that under the leadership of the Coordinating Minister of Health and Social Welfare, Professor Muhammad Ali Pate, the Federal Government is implementing a strategic health sector blueprint designed to align public and private sector efforts.

“Our role as government is to create the enabling environment, but it is the private sector that must unlock the true value across the health ecosystem.

If we work together—public and private sector—we can build a resilient healthcare economy and make Nigeria a hub for quality health services, not just in ECOWAS, but across Africa,” Mukhtar added.

Also speaking at the event, Convener of the Impact Healthcare Group, Ayodele Cole Benson, revealed that the group is modelling its approach after successful international examples, such as Life Healthcare in South Africa, which grew from four hospitals in 1998 to a network of 65 hospitals with 6,500 beds.

Benson emphasised that Nigeria’s fragmented private healthcare system — characterised by small, independent practices — must be unified to attract substantial capital, reduce costs, and eliminate redundancies.

“We lose over $1 billion annually to outbound medical tourism. Last month, I had to accompany someone to Cairo for treatment. Before that, it was Israel.

This capital flight must stop. By forming a unified healthcare group, we can reduce costs, negotiate better deals, and most importantly, ensure that quality care is accessible locally,” he stated.

He noted that the Impact Healthcare Network already spans both northern and southern Nigeria and is actively working to make high-quality care accessible nationwide.

“This is not just about business—it’s about saving lives. Many Nigerians die not because treatment is unavailable, but because they simply can’t access or afford it,” Benson passionately conveyed.

He called on the government to integrate private healthcare providers into public health schemes, citing Delta State’s free healthcare for children under five and the elderly, which currently only covers public institutions.

In his remarks, Senator Samaila Kaila, Vice Chairman of the Senate Committee on Health, assured stakeholders of the National Assembly’s full support for the initiative.

“As a Senator of the Federal Republic of Nigeria and Vice Chairman of the Senate Committee on Health, Tertiary and Secondary, I can confidently assure you that my chairman, my colleagues, and I will wholeheartedly support initiatives like this,” Kaila affirmed.

He added, “We are also fortunate to have a president who is deeply committed to private sector-led growth and a minister with unrivalled expertise. I believe this is the perfect time to launch these kinds of initiatives and transform the country’s medical landscape for the better.”