Aasandha agreement reviewed, sent to AG for advice

The agreement between Ministry of Health, Aasandha Company and Ministry of Finance has been reviewed and sent to the Attorney General (AG) for advice.

Health Ministry has earlier stated that the Aasandha system does not fit the law on social health insurance, and that it was established before the law on social health insurance came into effect on 29 December 2011.

The agreement on Aasandha was signed on 22 December 2011.

Parliament Finance Committee has also pointed out several legal issues arising as a result of Aasandha agreement being signed before the law on social health insurance came into effect.

Minister of Health Tharig Ali Luthfee said at a press conference held at Water Building yesterday that several changes have to be made to the Aasandha agreement.

He noted that Aasandha Company, Health Ministry and Finance Ministry have come to an agreement in relation to the changes to be made to the agreement.

He also said that clinics will commence providing services under Aasandha following AG Azima Shakoor’s advice.

“Aasandha agreement has been sent to AG for recommendations. That’s the procedure to follow if a government contract has to be changed. We will sign it as soon as it is returned to us, and then all the procedural steps will be complete,” Tharig said.

Tharig said that 4 out of 22 clinics have agreed to provide services at the prices proposed by the government, and that the clinics will participate in Aasandha according to the reviewed agreement.

Managing Director of Aasandha Company Mohamed Shafaz said that up till yesterday, MVR450 million would have been spent from the Aasandha budget.

Despite only MVR720 million being assigned in the government budget for Aasandha, and the Parliament Finance Committee’s estimation that this money will run out by the end of October, Shifaz said that it should be possible to manage with these funds following the changes which are being made to Aasandha.