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Ethiopian Pharmaceutical Supply Agency says it has uncollected debt of over 1 billion birr

Ethiopian Pharmaceutical Supply Agency

By Staff Reporter

ADDIS ABABA – (BORKENA) – The Ethiopian Pharmaceutical Supply Agency announced that there is an uncollected debt of more than 1 billion birr for  drugs given on credit. Including Black Lion, large government hospitals were unable to pay their debts on time. 

It has been stated that 91 medical institutions have been given legal warnings for failing to settle payment debts on time. Out of these, 80 medical institutions have made their payment. Lawsuit has also been filed against 11 institutions , according to a report heard from Ethio-FM 107.8 Radio.

Out of the 11 institutions that have been sued by law, two large institutions have finally been able to pay their debts. Director General of the Ethiopian Pharmaceutical Supply Agency, Dr. Abdulkadir Gelgelo, said that the remaining nine institutions are in the process of litigation and “will pay their debts when the case is over”.

It is stated that there is a contract agreement of drug distribution with 32 big hospitals. The agency provides the medicine and the institutions collect the money at the specified time. According to the report, these 32 hospitals have 76 percent share in drug distribution.

In 2023, 8 billion birr of drugs were sold through a mutual fund,  out of which 6 million birr sales were on credit basis, according to the Agency.


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  1. How many of the borrowers are the well connected or related to them? That is more than $18 million in US dollars. Now this one is just from the pharmaceutical supply agency. Just imagine how much uncollected dept is out there borrowed from other institutions including financials. If you can’t pay then go to Europe or come here and apply for asylum. It is going to be a throbbing headache as long as the game is tinged with ethnicity. Just sickening!


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