The Punjab government has decided to close the Punjab Health Foundation, a self-financed institution that has operated for 34 years, and has sought details of its finances, assets and liabilities.
According to media reports, the Finance Department has asked the foundation to provide information on its financial position, assets, liabilities, human resources and outstanding loans.
Established in 1992 to provide interest-free loans to doctors, the foundation has so far extended Rs2.5 billion in such loans to more than 2,100 doctors. It has not received any government funding for its operational expenses.
Sources said the bank account of the foundation still holds Rs1.328 billion, while its loan recovery rate stands at 98 percent. The foundation has also helped establish 2,100 health centres, creating 10,000 jobs, and has distributed scholarships worth over Rs4.4 billion.
A spokesperson for the Punjab Health Department said the proposed closure is under consideration as part of austerity measures. He said the merger of the employees and funds of the foundation into other institutions is also being considered.
The spokesperson added that a final decision will be taken after consultation with the relevant authorities.
