Opinion
Dr. Abdu Mukhtar
NIGERIA’S healthcare system has been shaped by decades of dependency—on imported pharmaceuticals, vaccines, and even basic diagnostic tools. For a nation of 234.8 million people—the most populous in Africa and the sixth-largest globally—the figures paint a stark picture: 70 percent of pharmaceuticals and nearly all vaccines are imported, while an estimated $2 billion is spent annually by Nigerians seeking medical care abroad. This dependency has drained critical resources, exposed the country to global supply chain fragilities, and left ordinary Nigerians facing high costs and severely constrained access to care.
The COVID-19 pandemic laid bare the depth of these vulnerabilities. As the world scrambled for essential medical supplies, Nigerians witnessed firsthand the fragility of a system that relied almost entirely on external support. Face masks, diagnostic kits, and even basic personal protective equipment were suddenly scarce. Those who could afford it looked to foreign suppliers, while countless others faced devastating delays in accessing care. For many families, it was a reminder that the promise of healthcare remained a distant aspiration.
Today, however, Nigeria is laying the foundation for a new narrative—one that replaces dependence with resilience and innovation. The Presidential Initiative for Unlocking the Healthcare Value Chain (PVAC), launched under the leadership of President Bola Ahmed Tinubu, represents a bold commitment to transforming Nigeria’s healthcare system. The initiative seeks to localize production, foster innovation, and unlock the country’s $4-6 billion annual healthcare market. It is a vision grounded in measurable outcomes: by 2030, Nigeria aims to increase local production of pharmaceuticals and medical supplies to 70 percent, halve outbound medical tourism, and create 30,000 skilled jobs across the healthcare value chain.
This transformation is not an abstract promise; it is already taking shape through tangible progress and strategic partnerships. Consider the partnership with Abbott, which is poised to localize the production of rapid diagnostic tests (RDTs) for HIV, malaria, etc. Once dependent on imports that were often expensive and unreliable, Nigeria will soon see these tests produced locally, offering affordable and timely diagnostics for millions of people. Production is expected to commence in 2025, marking a significant step toward ensuring that rural clinics and underserved communities no longer face life-threatening delays in diagnosing malaria and other diseases.
Another significant milestone is the collaboration with Vestergaard to establish West Africa’s first Long-Lasting Insecticidal Nets (LLINs) manufacturing facility. For a country that bears 30 percent of the global malaria burden, this partnership could not come soon enough. The facility, now in development, will produce advanced dual active-ingredient nets designed to combat insecticide resistance. Beyond the public health benefits, the project will create hundreds of jobs and position Nigeria as a regional leader in malaria prevention. By 2025, the facility is expected to begin production, providing a lifeline to families that have long battled preventable disease.
Other diagnostic equipment, critical but often overlooked aspect of healthcare, are also receiving a significant boost through PVAC’s partnership with Siemens Healthineers. Localizing the assembly of advanced ultrasound systems will equip hospitals across Nigeria with tools to detect and treat conditions like cancer, cardiovascular disease, and neurological disorders. These systems, set to be deployed in 2025, will strengthen diagnostic capabilities in underserved regions, ensuring that no patient’s prognosis is worsened simply because they live far from a well-equipped facility.
In the broader pipeline, PVAC has prioritized products like nutrition supplements and medical oxygen alongside pharmaceuticals and diagnostics. These efforts address critical gaps in care for Nigeria’s most vulnerable populations, ensuring that healthcare solutions reach those who need them most. The pipeline of 74 projects under PVAC, valued at over $5 billion, reflects the scale and ambition of this transformation.
Global partnerships further underscore the initiative’s scope. Univercells has committed to advancing research and development in mRNA technology, a move that positions Nigeria as a potential hub for vaccine innovation in Africa. Zipline’s deployment of drone technology for medical deliveries will revolutionize access to essential supplies, particularly in hard-to-reach areas.
PVAC’s focus on building an ecosystem of clinical trials is equally transformative. Africa currently captures less than 2 percent of the $50 billion global clinical trials market. By 2028, PVAC aims to increase Nigeria’s share, generating $3.8 billion in revenue, developing 437 trial centers, and creating 500,000 jobs. This ambitious goal is not just about economic gain; it will also enable the country to lead in global healthcare innovation, contributing solutions to some of the most pressing health challenges.
The next phase of PVAC, beginning in 2025, will mark the “Year of Execution.” Efforts will focus on implementing some of the projects in the pipeline, expanding partnerships with global and local manufacturers and executing the market-sharing provisions outlined in the Executive Order. These efforts are aimed at ensuring that the progress made thus far translates into tangible improvements in healthcare delivery for Nigerians.
What makes these achievements possible is a combination of visionary leadership and decisive policy action. Earlier this year, President Tinubu signed an Executive Order eliminating VAT and duties on healthcare manufacturing inputs and machinery, removing barriers that had stifled local production for years. This bold step has not only created a level playing field for investors and manufacturers but has also signaled that Nigeria is open for business and committed to transforming its healthcare sector.
The success of PVAC is also a testament to collaboration. The Coordinating Minister for Health and Social Welfare, Professor Muhammad Ali Pate, has been instrumental in galvanizing stakeholders across the public and private sectors. Under his stewardship, PVAC has established an unprecedented level of alignment, bringing together government agencies, international development partners, top-tier financial institutions, and private sector players. His leadership has restored investor confidence, ensuring that progress is measurable and sustainable.
The Ministry of Finance, led by Chief Wale Edun, has played a critical role in shaping the policies and fiscal framework that underpin PVAC’s achievements. By aligning fiscal priorities with healthcare objectives, the ministry has created an environment conducive to investment and growth. Agencies like the National Agency for Food and Drug Administration and Control (NAFDAC), under Professor Mojisola Adeyeye, and the National Institute for Pharmaceutical Research and Development (NIPRD), under Dr. Obi Adigwe, have ensured that locally produced products meet stringent safety and quality standards. The Nigerian Sovereign Investment Authority (NSIA) has driven critical infrastructure investments, while the Ministries of Industry, Trade & Investment, Nigeria Customs, and Bank of Industry have streamlined processes to enable smoother implementation of PVAC’s objectives.
These efforts are already yielding results. A state-of-the-art facility for producing Active Pharmaceutical Ingredients (APIs) is nearing completion in Lagos, reducing Nigeria’s reliance on imported drugs while creating meaningful employment opportunities for pharmacists, engineers, and technicians. Investments across the country are reversing the brain drain that has long plagued Nigeria, offering young graduates secure and impactful careers in a revitalized healthcare value chain. A beta-lactam facility was commissioned in Lagos last week, and a WHO-certified diagnostic manufacturing facility will be commissioned in Ogun State in March of 2025. At least five other manufacturing facilities will be commissioned in the second half of next year. Ultimately, PVAC is about more than just healthcare. It is about restoring trust in a system that has too often failed its people. It is about creating jobs, reducing inequalities, and fostering resilience in the face of future crises.
This progress sends a clear message to the global community: Nigeria is open for business. President Bola Ahmed Tinubu’s decisive actions, including the Executive Order that dismantled barriers to healthcare manufacturing, reflect a commitment to creating an enabling environment for investment and innovation. “This is the time to invest in Nigeria,” President Tinubu has said, signalling a renewed confidence in the nation’s capacity to deliver transformative results.
Professor Muhammad Ali Pate, the Coordinating Minister for Health and Social Welfare, has echoed this sentiment, stating, “Betting against Nigeria and its people will always be a strategic mistake.” The strides made under PVAC over the past year demonstrate that a self-reliant healthcare system is not only achievable but is already taking shape. For the first time in decades, Nigerians can envision a healthcare system that delivers not just treatment but dignity and security—where healthcare becomes both a right for all and a foundation for shared prosperity.
Dr. Abdu Mukhtar is the National Coordinator of the Presidential Initiative for Unlocking the Healthcare Value Chain
22nd December, 2024.
C.E.
Tags: Dr. Abdu Mukhtar Prof Muhammad Ali Pate
