Health Secretary Dr. Bikash Devkota Outlines Strategy to Upgrade Nepal’s Public Hospitals
7th August 2026, Kathmandu
The Ministry of Health and Food Safety is actively pursuing strategic reforms to enhance the quality of services in public health institutions across Nepal, according to Health Secretary Dr. Bikash Devkota.
Health Secretary Dr. Bikash Devkota
Speaking at a meeting of the parliamentary Education, Health, and Information Technology Committee, Dr. Devkota outlined the ministry’s current status, ongoing challenges, and future operational plans. He emphasized that strengthening public health infrastructure will naturally reduce the country’s reliance on private medical partnerships over time.
Strategy: Upgrading Public Hospitals to Phase Out Private Reliance
Addressing parliamentary inquiries regarding public-private health arrangements, Dr. Devkota clarified that reliance on the private sector is a temporary measure rather than a permanent policy direction.
“If we make the quality of government services top-notch, we can easily serve the roughly 7 percent of the population currently reliant on secondary arrangements,” stated Dr. Devkota. “Our strategy is to improve government facilities so that this dependency decreases naturally. Holding onto private collaboration is temporary—it is not intended to last forever.”
He added that the current transition policy has functioned smoothly without creating major service disruptions for patients.
Sharp Drop in Monthly Health Expenditure: From Rs 2 Billion to Rs 880 Million
One of the most significant metrics presented during the committee meeting was a dramatic reduction in monthly health spending by the ministry.
Previous Spending: ~NPR 2 Billion per month
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Current Spending: Down to NPR 880 Million per month (less than 1 billion)
In response to concerns about whether spending cuts affect care delivery, Dr. Devkota reassured committee members that service coverage remains intact.
“Our monthly expenditure was around 2 billion rupees. Now it has dropped below one billion to 880 million rupees. Patients who need care are continuing to receive it spending less without compromising care access is a clear benefit to the state.”
Clearance of Pending Payments and Verification Process
Dr. Devkota also addressed recurring media reports regarding delayed government disbursements to medical service providers.
He confirmed that all dues up to the month of Poush (mid-January) have been fully cleared. For the outstanding liabilities of the subsequent six months, the ministry is actively conducting standard auditing and reconciliation procedures to settle remaining payments promptly.
Key Takeaways
| Highlight | Details |
| Core Policy Goal | Strengthen public hospitals to gradually phase out private sector reliance |
| Target Population Coverage | Transitioning the ~7% segment relying on private partnerships into public facilities |
| Monthly Health Expenditure | Reduced from NPR 2 Billion down to NPR 880 Million |
| Payment Status | Dues cleared through mid-January (Poush); auditing underway for the last 6 months |
For more: Health Secretary Dr. Bikash Devkota
