Regional Government settles debts in health sector and prioritises local suppliers - Communication

Secretaria Regional das Finanças, Planeamento e Administração Pública

The Regional Secretary for Finance, Planning and Public Administration, Duarte Freitas, and the Regional Secretary for Health and Social Security, Mónica Seidi, met today with the management and health officials of the Chamber of Commerce and Industry of Ponta Delgada (CCIPD).

At the meeting, the government officials highlighted the Regional Government's efforts to settle outstanding debts to suppliers in the health sector, emphasising their commitment to strengthening confidence in the regional health system and the strength of the Azores economy.

Duarte Freitas pointed out that "for many years, healthcare providers had not been as up to date as they are today," noting that debts dating back to 2012 that had never been settled, amounting to around €200 million, have already been paid.

According to the government official, the efforts undertaken by the Azorean Government have significantly reduced the average payment period to regional suppliers in hospitals and Island Health Units, which now stands at between 60 and 90 days.

The Regional Secretary for Health and Social Security pointed out that the priority has been to pay small suppliers and local private suppliers first and foremost, as they play a crucial role in supporting the health system and promoting the regional economy.

According to Mónica Seidi, "debts on which interest was charged were also settled to alleviate future costs, which is a substantial step in the financial management of the sector."

The government official also emphasised that several administrative and operational inefficiencies are being addressed, such as resuming centralised procurement of products for all Regional Health Service institutions, without compromising the quality and continuity of health care provided to the population.

The Regional Government thus reaffirms its commitment to ensuring greater sustainability and predictability for the healthcare system, while promoting good financial management practices and valuing local suppliers.