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

Paul Joseph by Paul Joseph
December 19, 2025
in News
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The federal government has authorized the distribution of more than ₦32 billion to the 36 states and the Federal Capital Territory (FCT) to enhance primary healthcare services and broaden health insurance coverage.

This approval was made during the fourth quarterly meeting of the ministerial oversight committee for 2025, held on Friday in Abuja, and organized by the Federal Ministry of Health and Social Welfare.

The ministry’s Permanent Secretary, Ms. Kachallom Daju, stated that this fourth round of funding to the states this year, under the Basic Health Care Provision Fund (BHCPF), reflects the federal government’s dedication to consistent funding, transparency, and accountability in the healthcare sector.

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Ms. Daju emphasized that the quarterly meetings have now been firmly established, ensuring predictable funding and enhanced oversight of health sector performance at federal, state, and local government levels.

She indicated that the funds are intended to improve service delivery at primary healthcare centers, increase health insurance enrollment, and strengthen essential health “gateways,” including service provision, financing, and accountability.

The involvement of civil society organizations, the private sector, and the Association of Local Governments of Nigeria (ALGON) in the MOC has further enhanced coordination, especially at the primary healthcare facilities managed by local governments.

She noted that the Tinubu’s administration has made health a top priority, emphasizing that accountability and transparency will remain central to ongoing reforms.

Executive Director of the National Primary Health Care Development Agency (NPHCDA) Mr. Muyi Aina, remarked that the regular funding has led to measurable improvements in primary healthcare services.

Mr. Aina added that collaboration among federal, state, and local governments has made the health system more inclusive.

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“The fourth MOC meeting for 2025 reported significant progress in primary healthcare indicators.

There has been a nationwide increase in service utilization, including higher attendance at primary healthcare centers, improved immunization rates, and greater use of other essential health services.

“For the first time, disbursements from the Basic Health Care Provision Fund will adhere to the BHCPF 2.0 guidelines, which introduce differentiated funding for facilities based on service volume.

“Starting in 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.

This aims to better align resources with patient demand, enhance service readiness, and help reduce out-of-pocket healthcare expenses,” he explained.

He also mentioned that preliminary findings from the National Health Accounts presented at the meeting indicate a potential decline.

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