Kampala, Uganda — The government has pledged to review its financial support to St Mary's Hospital Lacor in Gulu and consider tax exemptions for the institution following concerns that rising operational costs could undermine its ability to provide affordable healthcare.
Health Minister Chris Baryomunsi made the commitment at the launch of a €12.75 million (about Shs58.3 billion) health project funded through Italian development cooperation and implemented by AVSI Foundation Uganda and its partners in Kampala on November 7.
The commitments followed an appeal by Dominique Corti, President of the Piero and Lucille Corti Foundation, which supports Lacor Hospital, for increased government assistance to sustain the facility's services.
Corti said the foundation provides the hospital with an average of Shs7 billion annually, with contributions sometimes exceeding Shs8 billion. Over the past 15 years, it has invested more than Shs100 billion in the institution.
The support enables the hospital to subsidise patient fees by approximately 70%, helping thousands of people access treatment at reduced costs.
However, Corti said government grants account for only about 5% of the hospital's recurrent expenditure, despite its significant contribution to healthcare delivery in northern Uganda.
Lacor treats approximately 200,000 patients annually, including about 35,000 admissions. It employs around 700 Ugandans and supports more than 700 students at its health training institute.
She appealed to government to consider exemptions on Pay As You Earn (PAYE), Value Added Tax (VAT) and import duties on goods donated to the hospital.
She cited a proposed donation of 27 kilometres of electricity cables that could attract approximately Shs1 billion in import duties, potentially increasing the cost of an investment intended to improve the hospital's infrastructure.
Responding to the concerns, Baryomunsi said he would recommend the proposed tax exemptions for consideration by government, noting that existing policies provide for tax relief on certain grants and interventions supporting essential health and education services.
He also said the Ministry of Health would examine government allocations to Lacor and consider appropriate adjustments to strengthen its financial support.
On staffing, the minister said government was undertaking a major recruitment exercise for medical specialists and other doctors. Lacor could benefit through the policy of seconding government-employed medical personnel to private not-for- profit health facilities.
The commitments raise broader questions about how government finances not- for-profit hospitals that provide essential public healthcare services, particularly in areas where public health facilities face capacity constraints.
The discussion on Lacor's financing came against the backdrop of the launch of the Prevention, Research and Integrated Services for Maternal, Child and Cancer Health (PRISMA) project.
The three-year initiative, running from July 2026 to June 2029, will be implemented in 32 health facilities across Acholi, Lango, Karamoja and West Nile, targeting more than 500,000 people.
It seeks to improve maternal and child healthcare, strengthen prevention and treatment of women's and childhood cancers, and expand medical training and health research.
AVSI Foundation Uganda Country Representative John Makoha said the project would address gaps in the quality and continuity of healthcare, particularly for women and children.
He highlighted maternal haemorrhage, complications during delivery, premature births, birth asphyxia, malaria, pneumonia, diarrhoea and malnutrition as conditions that continue to threaten lives.
Makoha said access to health facilities alone was not enough if patients could not receive timely and appropriate treatment.
AVSI plans to work with health facilities, Village Health Teams and Community Resource Persons to improve public awareness, early identification of illnesses, referrals and follow-up of patients.
He said the objective was to strengthen existing healthcare institutions and ensure that improvements continue beyond the project's implementation period.
One of the project's major interventions will be addressing weaknesses in cancer screening and early diagnosis.
Dr Nixon Niyonzima, Head of Research and Training at the Uganda Cancer Institute, said some health facilities already had cancer screening equipment, including HPV GeneXpert and PCR machines, but were not using the technology effectively because of operational and technical challenges.
He said the Uganda Cancer Institute would work with participating hospitals to develop and operationalise screening guidelines, strengthen early diagnosis and improve referral systems for patients requiring specialised treatment.
The interventions will focus on cervical and breast cancers, as well as childhood cancers, particularly Burkitt lymphoma.
The project will also support regional cancer centres in Gulu, Arua, Mbale and Mbarara.
Niyonzima's remarks highlighted a challenge in Uganda's healthcare system: investing in medical equipment does not automatically translate into improved access to services if facilities lack the technical capacity, operational support and trained personnel to use it.
At the research and training level, Dr Deogratias Mwaka, Dean of the Faculty of Medicine at Gulu University, said the university would lead research on early detection and referral of Burkitt lymphoma, breast cancer and cervical cancer.
He also announced plans to establish a Master of Science in Cancer Epidemiology programme under PRISMA, which he described as the first of its kind in Africa.
Mwaka said strengthening local research and specialist training was essential to improving cancer diagnosis and treatment outcomes.
Prof. Crispus Kiyonga, the Second Deputy Prime Minister and guest of honour, called for healthcare interventions that reflect the geographical and social realities of communities, particularly those in remote parts of the country.
He cited Karamoja, where population movements in search of water and pasture can disrupt routine healthcare services, including childhood immunisation.
He also pointed to mountainous areas in the Rwenzori region, Kanungu and Kigezi, where difficult terrain and inadequate road networks make it harder for health workers to reach communities.
On maternal health, Kiyonga said Uganda had made progress in reducing maternal deaths from approximately 700 to around 200 per 100,000 live births, but argued that the remaining burden was still unacceptable.
To complete the process, please follow the instructions in the email we just sent you.
There was a problem processing your submission. Please try again later.
He called for stronger interventions to bring maternal deaths towards zero.
Italian Ambassador to Uganda Mauro Massoni described PRISMA as an extension of more than six decades of cooperation between Uganda and Italy in healthcare, education and research.
He cited institutions such as St Mary's Lacor Hospital, Dr Ambrosoli Memorial Hospital in Kalongo, St Kizito Hospital in Matany, St John XXIII Hospital in Aber and St Luke's Hospital in Angal as examples of the contribution of Italian-supported partnerships to Uganda's healthcare system.
He said the cooperation had helped expand healthcare delivery while supporting the training of Ugandan medical professionals.
Marco Rusconi, Director of the Italian Agency for Development Cooperation, said PRISMA was designed to bring together different institutions, expertise and resources rather than establish parallel healthcare structures.
He emphasised prevention, research, community awareness and stronger institutional capacity as essential components of sustainable healthcare delivery.
The project therefore brings together government institutions, hospitals, universities and development partners in an effort to improve health outcomes in some of Uganda's underserved regions.
While the initiative provides substantial funding for maternal, child and cancer health, the concerns raised by Lacor Hospital point to a wider challenge: ensuring that investments in healthcare projects are matched by sustainable financing, adequate staffing and the capacity of existing institutions to deliver services long after donor-funded programmes end.
Read the original article on Independent (Kampala).
AllAfrica publishes around 600 reports a day from more than 90 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.
Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.
AllAfrica is a voice of, by and about Africa - aggregating, producing and distributing 600 news and information items daily from over 90 African news organizations and our own reporters to an African and global public. We operate from Cape Town, Dakar, Abuja, Johannesburg, Nairobi and Washington DC.
To complete the process, please follow the instructions in the email we just sent you.
There was a problem processing your submission. Please try again later.