KP Government to Outsource Management of 24 Underperforming Hospitals

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PESHAWAR: In a major step towards healthcare reform, the Khyber Pakhtunkhwa government has decided to outsource the management of 24 underperforming hospitals across 18 districts to the private sector.

The initiative, announced by Special Advisor on Health Ihtesham Ali, aims to improve service delivery while maintaining free treatment under government protocols.

Speaking to the media, Ihtisham Ali clarified that the hospitals being outsourced fall under Category B, C, and D levels and have consistently shown poor performance. “We are not privatising these hospitals,” he said, adding, “We are simply handing over their management to private entities to ensure better efficiency and accountability.”

The advisor addressed concerns surrounding the outsourcing move, stating that the objective is to provide quality healthcare at government expense. Patients will continue to receive free treatment at official rates, and existing government staff will retain their roles and responsibilities.

Under the new model, private companies will be responsible for addressing shortages in medical staff, equipment, and other essential services. Ali noted that this would help resolve long-standing issues such as delays in OPD services, staff absenteeism, poor sanitation, and malfunctioning medical equipment.

To ensure transparency and performance, the Independent Monitoring Unit (IMU) of the Health Department will oversee the operations of these outsourced facilities. Companies failing to meet standards will face financial penalties, and a robust complaint redressal mechanism will be put in place for patients. Ali also hinted at expanding the outsourcing initiative to more hospitals in the next phase, as part of the government’s broader strategy to revamp public healthcare across the province.

Published in The News on September 12, 2025. 
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