FNPF aims to finalise Aspen agreement by June

The Fiji National Provident Fund is hoping to finalise an agreement with Aspen Medical and the Government by June on a model that works well in terms of the investment made and hospital services.

FNPF made an investment of $20.8 million to fund the operation of Ba and Lautoka Hospitals through Health Care Fiji Pte Ltd.

Acting Prime Minister and Minister for Finance Professor Biman Prasad had earlier confirmed that FNPF was effectively directed by the previous government to acquire an 80 percent stake in Health Care Fiji, with Aspen Medical holding the remaining 20 percent.

Professor Prasad said this decision was made without allowing FNPF to independently assess the investment or its potential economic returns.

He said the operational costs for the Ba and Lautoka Hospitals under this partnership were approximately $10 million per month, accounting for over one-fifth of the national health budget.

While responding to questions during the Annual Member Forum, FNPF’s Chief Investment Officer, Naibuka Saune, says FNPF is in discussions with the Government and key stakeholders, including Aspen, to develop a model that works well both from the hospital’s perspective, in terms of services on the social side, and from the Government’s and Fund’s perspectives, in terms of the investment.

He says it is a work in progress and they hope to get something in place by June on the finalization of this agreement.