Roadmap to operationalize Pharma Initiative into start-up Phase of the African Pooled Procurement Mechanism adopted

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African Ministers of Health, Finance and Trade, experts and development partners have adopted an approach towards the transitioning of the AfCFTA-anchored Pharmaceutical Initiative (Pharma Initiative) into the start-up Phase of the African Pooled Procurement Mechanism (APPM) ensuring continuity and keeping the momentum in advancing healthcare access, kick starting industrialization, and ensuring economic and health security on the continent.

In their recommendations drawn from the conclusion of the three day meeting in Mombasa, Kenya, the ministers agreed that the APPM, led by the Africa Centers for Disease Control and Prevention (Africa CDC) with support of Afreximbank and the Economic Commission for Africa (ECA) will facilitate the seamless transition of the AfCFTA-anchored Pharmaceutical Initiative into the startup phase of the APPM.

“ECA, Africa CDC and Afreximbank will also initiate pooled procurement of the products already selected under the Pharma Initiative, gradually expanding to include more products and manufacturers,” read the ministers’ resolution.

AUDA-NEPAD, they said, will accelerate the operationalization of the African Medicines Agency (AMA) to enhance access to quality, safe, and affordable medical products across the continent.

Stephen Karingi, Director, Regional Integration and Trade Division at ECA said APPM will provide a collaborating framework of common regulatory and quality standards to ensure that pharmaceutical drugs and products are effective, affordable, and safe.

“Linking this health initiative to AfCFTA and AMA presents great opportunities with a potential to change lives, reduce poverty, and contribute to inclusive and sustainable economic development for the continent,” said Mr. Karingi.

He noted that implementation of the Pharma Initiative is geared towards fostering inclusive and sustainable socioeconomic development through a single market of approximately 1.4 billion African people who continually face disproportionate impacts of diseases and high costs of  importation of critical life-saving health products.

According to Dr.  Abebe  Bayih, Acting Coordinator of the Partnership for African Vaccine Manufacturing (PAVM), APPM, just like the Pharma initiative, will be anchored on localized pharmaceutical production, pharmaceutical pooled procurement, and a harmonized regulatory and quality standard framework,” 

Focus in the start-up phase of the APPM  will now also include Sexual, Reproductive, Maternal, Neonatal and Child Health (SRMNCH) to showcase a proof of concept in the ten African countries from the Pharma initiative; Comoros, Djibouti, Eritrea, Ethiopia, Kenya, Madagascar, Mauritius, Rwanda, Seychelles, and Sudan.

“A pooled procurement of a minimum of five SRMNCH medicines is an important part of the startup phase of the APPM,” he said.

“The successful execution of the SRMNCH pooled procurement in the start-up phase will provide credible and reliable evidence to Africa countries, and other stakeholders and will create the impetus for the scale up phase.”

Kwabena Ayirebi, Director, Banking Operations at Afreximbank, emphasized the importance of risk assessment and foreign currency integration in financing African healthcare.

He reaffirmed the bank’s willingness to support the initiative and move quickly to ensure its success in the area of financing and any other immediate implementation needs.

Bernard Valentin, Permanent Secretary Ministry of Health, Seychelles highlighted the need to minimize the risk associated with falsified and substandard medicines in the African market and ensure quality, safe and affordable medicine and medical devices in Africa.

Tom Mende from Kenya’s ministry of Health said the initiative will prevent negative consequences of competitive buying and ensure compliance with public procurement laws in Kenya.

He said there is need to ensure countries have national medical record systems to fill in the data gaps on the continent and for reliable access to information.

The APPM is the result of a decision of the African Union Summit, where the Heads of State and Government recognized the need to establish the pooled procurement mechanism  under the leadership of Africa CDC and endorsed the AMSP as the platform  for the mechanism. Consequently, the AfCFTA-anchored Pharma Initiative  is now being implemented  in the APPM.  The three day meeting is jointly organized by the Economic Commission for Africa, Africa Centres for Disease Control and Prevention (Africa CDC), African Union Development Agency (AUDA-NEPAD) and partners.

Distributed by APO Group on behalf of United Nations Economic Commission for Africa (ECA).

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