US to cut US $50M health aid to Zambia over drug theft

US to cut US 50M health aid to Zambia over drug theft

ZAMBIA – The United States has announced plans to reduce its annual medical aid to Zambia by $50 million, following a widespread scandal involving the theft and resale of donated medicines.

U.S. Ambassador to Zambia, Michael Gonzales, revealed that between 2021 and 2023, a U.S.-led investigation uncovered that nearly half of 2,000 pharmacies across the country were selling medications meant to be distributed for free.

These drugs were funded by American taxpayers to support Zambia’s healthcare system.

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Despite informing the Zambian government about the theft in April 2024, Gonzales said there has been little progress in addressing the issue.

He emphasized that for over a year, the U.S. repeatedly urged Zambian authorities to act decisively, but meaningful responses have not materialized. As a result, the U.S. is now taking steps to ensure accountability and protect its funds.

Zambian Health Minister Elijah Muchima responded by acknowledging the U.S. concerns and said the government is actively working to resolve the matter.

He noted that some officials involved had been fired, suspended, or arrested and that a detailed report was being finalized, though the legal process must be respected. However, the U.S. maintains that more decisive action is necessary

The US $50 million cut is part of the US $128 million the U.S. allocates annually to support Zambia’s healthcare sector, including essential treatments for HIV, tuberculosis, and malaria.

The ambassador stressed that the move is unrelated to broader U.S. foreign aid policies and specifically targets the mishandling of medical support in Zambia.

Further investigations revealed that medicines supplied by other donors, including the Global Fund and the Zambian government itself, were also being sold in pharmacies.

With Zambia facing heavy debt and depending on foreign aid to run nearly a third of its public health system, the financial blow could be significant.

The aid reduction is set to begin in January next year, allowing Zambia time to plan alternative procurements.

The U.S. will continue to provide technical and logistical support to aid humanitarian efforts and prevent disease spread.