Procuring Covid Vaccines
Government worried about funds
Noman Mosharef :
The government of Bangladesh is facing hardship in funding procurement of Covid-19 vaccine amid the second waves of deadly virus likely to hit the country.
In 2020-2021 fiscal year budget, government allocated Tk 10 thousand crore for buying covid-19 vaccine. But there is doubt as to whether the National Board of Revenue (NBR) would able to provide that amount of money.
By this time, there are Tk 13 thousand crore deficits in the first quarter of fiscal year 2020-2021.
Finance division officials said, there is a possibility that NRB would have provide Tk 2-3 thousand crore and not more than that. So, procurement of Covid-19 vaccine is a big challenge for the government.
Finance division officials said, after lobbing with development partners, Bangladesh got assurance of $ 1 billion.
Bangladesh wants to ensure vaccinate the country’s 165 million people. For that the estimated cost is Tk 14 thousand crore. In first phase Bangladesh is on the way to purchase 3 crore units of vaccine. Bangladesh had already signed a MoU with an Indian company for buying vaccine. Tk 2.5 thousand crore have already been paid for this.
Minister for Health and Family Welfare Zahid Maleque said, we are trying our best for getting vaccine. Tk 10 thousand crore have already been allocated. In case of need, more money will be allocated. The financial crisis for vaccine would be solved.
Minister further said, there will no problem for getting money.
Meanwhile, Finance Minister AHM Mustafa Kamal on October 25 at a virtual meeting with World Bank Vice President for the South Asia Region Hartwig Schafer sought $500 million assistance from the World Bank to purchase vaccines.
The government earlier this month requested for $500 million from Japan for vaccine procurement. The ERD sent a letter to the Embassy of Japan in Dhaka in this regard.
Officials said, each person is likely to need two shots which might cost $10-12 per person.
The government also has sought $300 million to-$400 million from the Asian Development Bank and $200 million from the Asian Infrastructure Investment Bank (AIIB).
The WB has recently announced $12 billion worth of funds for supporting its member countries for Covid vaccine. Out of the funds, $6.0 billion would be provided from its soft window-IDA-for the IDA-eligible countries including Bangladesh.
“Bangladesh is the 3rd largest nation in terms of size of population among the 75 IDA eligible member countries in the globe. So, we are expecting higher funds than other WB members,” said an Economic Relations Division (ERD) official.
Biological labs and drug manufacturers of many countries, including the USA, the UK, China, Germany, India, Russia and Bangladesh, are working to develop the vaccine against the Covid-19. Some of them have already started trials on humans.
The World Health Organisation (WHO) in its “Fair allocation mechanism for COVID-19 vaccine through the COVAX facility” proposal said that 20 per cent priority group of total population will get vaccine in the first phase.
Among the priority groups, the health staffers and other frontline workers, population beyond 65 years of age, people with co-morbidity are on the list of first priority in 20 per cent the vaccination trajectory.
Then the remaining 80 per cent of the total population would get the vaccine at free of cost in the second round.
The government of Bangladesh is facing hardship in funding procurement of Covid-19 vaccine amid the second waves of deadly virus likely to hit the country.
In 2020-2021 fiscal year budget, government allocated Tk 10 thousand crore for buying covid-19 vaccine. But there is doubt as to whether the National Board of Revenue (NBR) would able to provide that amount of money.
By this time, there are Tk 13 thousand crore deficits in the first quarter of fiscal year 2020-2021.
Finance division officials said, there is a possibility that NRB would have provide Tk 2-3 thousand crore and not more than that. So, procurement of Covid-19 vaccine is a big challenge for the government.
Finance division officials said, after lobbing with development partners, Bangladesh got assurance of $ 1 billion.
Bangladesh wants to ensure vaccinate the country’s 165 million people. For that the estimated cost is Tk 14 thousand crore. In first phase Bangladesh is on the way to purchase 3 crore units of vaccine. Bangladesh had already signed a MoU with an Indian company for buying vaccine. Tk 2.5 thousand crore have already been paid for this.
Minister for Health and Family Welfare Zahid Maleque said, we are trying our best for getting vaccine. Tk 10 thousand crore have already been allocated. In case of need, more money will be allocated. The financial crisis for vaccine would be solved.
Minister further said, there will no problem for getting money.
Meanwhile, Finance Minister AHM Mustafa Kamal on October 25 at a virtual meeting with World Bank Vice President for the South Asia Region Hartwig Schafer sought $500 million assistance from the World Bank to purchase vaccines.
The government earlier this month requested for $500 million from Japan for vaccine procurement. The ERD sent a letter to the Embassy of Japan in Dhaka in this regard.
Officials said, each person is likely to need two shots which might cost $10-12 per person.
The government also has sought $300 million to-$400 million from the Asian Development Bank and $200 million from the Asian Infrastructure Investment Bank (AIIB).
The WB has recently announced $12 billion worth of funds for supporting its member countries for Covid vaccine. Out of the funds, $6.0 billion would be provided from its soft window-IDA-for the IDA-eligible countries including Bangladesh.
“Bangladesh is the 3rd largest nation in terms of size of population among the 75 IDA eligible member countries in the globe. So, we are expecting higher funds than other WB members,” said an Economic Relations Division (ERD) official.
Biological labs and drug manufacturers of many countries, including the USA, the UK, China, Germany, India, Russia and Bangladesh, are working to develop the vaccine against the Covid-19. Some of them have already started trials on humans.
The World Health Organisation (WHO) in its “Fair allocation mechanism for COVID-19 vaccine through the COVAX facility” proposal said that 20 per cent priority group of total population will get vaccine in the first phase.
Among the priority groups, the health staffers and other frontline workers, population beyond 65 years of age, people with co-morbidity are on the list of first priority in 20 per cent the vaccination trajectory.
Then the remaining 80 per cent of the total population would get the vaccine at free of cost in the second round.
