FG disburses over ₦32bn to states for primary healthcare, insurance expansion

The Federal Government has approved the disbursement of over ₦32 billion to the 36 states of the federation and the Federal Capital Territory to strengthen primary healthcare delivery and expand health insurance coverage nationwide.

The approval was granted at the fourth quarterly meeting of the Ministerial Oversight Committee (MOC) for 2025, on Friday in Abuja, convened by the Federal Ministry of Health and Social Welfare.

Speaking at the meeting, Ms Kachallom Daju, Permanent Secretary, Ministry of Health and Social Welfare, said the fourth release of funds to states this year under the Basic Health Care Provision Fund (BHCPF), is in line with the Federal Government’s commitment to regular funding, transparency and accountability in the health sector.

Daju said the quarterly rhythm of the MOC meetings had now been firmly established, ensuring predictable financing and closer oversight of health sector performance across federal, state and local government levels.

According to her, the funds are expected to support improvements in service delivery at primary healthcare centres, boost health insurance enrolment and strengthen key health “gateways” including service provision, financing and accountability.

She said the inclusion of civil society organisations (CSOs), the private sector and the Association of Local Governments of Nigeria (ALGON) in the MOC had further strengthened coordination, particularly at the level of primary healthcare facilities managed by local governments.

She commended development partners, civil society groups and the media for their role in supporting reforms in the health sector, assuring Nigerians that further improvements would be recorded in 2026.

She said the administration of President Bola Tinubu had prioritised health as a key mandate, adding that accountability and transparency would remain central to ongoing reforms aimed at saving lives and improving the well-being of Nigerians.

Dr Muyi Aina, Executive Director of the National Primary Health Care Development Agency (NPHCDA), noted that the regular disbursements had contributed to measurable gains in primary healthcare services.

Aina added that collaboration among federal, state and local governments had helped to make the health system more inclusive.

“The fourth MOC meeting for 2025 recorded notable progress across primary healthcare indicators.

“Service utilisation continues to rise nationwide, including increased attendance at primary healthcare centres, improved immunisation uptake and higher utilisation of other essential health services.

“For the first time, disbursements under the Basic Health Care Provision Fund will follow the BHCPF 2.0 guidelines, introducing differentiated funding for facilities based on service volume.

“Beginning January 2026, low-volume facilities will receive ₦600,000 per quarter, while high-volume facilities will receive ₦800,000, replacing the previous flat-rate system.

“The objective is to better align resources with patient load, improve service readiness and contribute to reducing out-of-pocket health spending,” he said.

He said that preliminary findings from the National Health Accounts presented at the meeting suggest a possible decline in out-of-pocket expenditure in Nigeria, although further analysis is required to validate and deepen this trend.

“The major challenge in 2025 remains the pace of progress.

“In 2026, the focus will be on accelerating impact across key areas, including primary healthcare revitalisation, MAMI interventions, immunisation, maternal, newborn and child health, and reproductive health services, to reach more Nigerians more quickly and effectively,” he said.

Also speaking, Dr Kelechi Ohiri, Director-General of the National Health Insurance Authority (NHIA), said health insurance coverage had improved steadily, attributing the gains to better coordination and accountability across the sector.

Ohiri said the MOC had strengthened transparency by publishing details of transfers from the one per cent Consolidated Revenue Fund to states and local governments, enabling Nigerians to track how health funds were allocated and utilised.

According to him, the quarterly meetings also serve as a platform for accountability, with implementing agencies required to report on how resources were deployed, not only through the BHCPF but across other funding streams.

Looking ahead, the Director-General said the health sector would focus on accelerating impact in 2026, building on the foundations laid in 2025.

“We have made progress this year, but Nigerians expect us to move faster in translating these gains into better health outcomes.

“As a sector, we are committed to being transparent about our challenges and to working collectively to deliver results,” he said.

The News Agency of Nigeria(NAN) reports that Nigeria BHCPF Disbursements in 2025, the MOC approved ₦32.88 billion drawn from the first‑quarter release to cover BHCPF implementation for both Q1 and Q2 of 2025 (i.e., ~₦16.44 billion per quarter).

This was agreed around the end of June/early July 2025 and expected to be disbursed into Q2.

The MOC approved ₦32.88 billion to implement BHCPF activities for Q3, with disbursement expected by the end of August 2025.

A release of ₦32.9 billion through the BHCPF was publicly announced on Oct. 24, 2025, described as the third disbursement of 2025 to support PHCs nationwide.