Lanka Hospital ceases Aasandha services over unpaid bills

Lanka Hospital, a hospital in neighboring Sri Lanka, has ceased Aasandha services at the hospital over unpaid bills.

Sun has learned that Aasandha has not settled the majority of services billed to the company, totaling at some 70 million Sri Lankan Rupees, which is approximately MVR 3.3 million.

Negotiations between Lanka Hospital and Aasandha over the contract renewal were unsuccessful due to the unpaid bills, leading to the cessation of Aasandha services at the hospital.

While some 1,800 Maldivians reside in Sri Lanka, Aasandha services had been provided at three hospitals prior to this: Lanka Hospital, Lanka Durdans Hospital and Nawaloka Hospital.

Sri Lanka is among the countries where Aasandha service is provided for Maldivians living abroad under the ‘Merana’ scheme.

According to an audit report by the Auditor General’s Office on Tuesday which reviewed the performance of Aasandha and NSPA between 2019 and 2024, MVR 35.8 billion was spent on medical treatment during the period, an average of MVR 5.9 billion a year. Of this, MVR 16 billion was spent under the Aasandha scheme alone.

International financial institutions have long advised the Maldives to target subsidies and medical assistance only at low‑income groups. However, none of the administrations have implemented these recommendations.

The audit proposes several corrective measures, including:

• Introducing a targeted subsidy system for those who require state support to access healthcare  
• Setting maximum retail prices for medicines  
• Implementing a co‑payment system for patients seeking treatment abroad  
• Strengthening preventive healthcare to reduce long‑term costs  

On the contrary, the current administration has recently extended Aasandha coverage up to 65 percent for Maldivians residing in the Philippines under the ‘Merana’ scheme.