RSP Lawmaker Demands Probe into Unauthorized Drug Price Hikes

Kathmandu. Rastriya Swatantra Party lawmaker Rajib Khatri has demanded an immediate investigation and action against those involved in unauthorized drug price hikes, stating that the Nepali public is burdened with billions of rupees in additional costs annually.

Speaking in Parliament, lawmaker Khatri stated that the Auditor General's report confirms the Director General of the Department of Drug Administration exceeded their authority by increasing the prices of 52 brands of medicine.

According to the Auditor General's report, in the fiscal year 2076/077, the department increased prices by up to 34 percent for 88 out of 180 brands during registration and renewal. Khatri noted that these prices exceeded the rates set by the respective countries of origin.

Under the Drug Act, 2035, the Drug Price Monitoring Committee must recommend price adjustments to the Advisory Council, which must then be approved by the Council of Ministers and published in the Nepal Gazette. He alleged that the Director General bypassed these legal procedures to increase prices arbitrarily.

Lawmaker Khatri expressed strong objection to the delays in the investigation by the Commission for the Investigation of Abuse of Authority, despite a complaint filed four years ago. "This is not a fabricated allegation; it is a matter exposed by the Auditor General's report," he said. "How much looting has occurred in the name of medicine since 2074? If we account for the price hikes and consumption of over 4,000 drugs in the last eight years, this is a multi-billion rupee scandal."

Citing a Ministry of Health study showing that medicine is the largest expense for patients, he stated that expensive healthcare is pushing the middle class into poverty and leaving the poor unable to afford treatment, leading to preventable deaths.

Through the Speaker, he drew the attention of the relevant ministry and agencies, demanding an immediate halt to the illicit trade in the name of medicine and strict action against the culprits.