The Khyber Pakhtunkhwa Government has increased funding for the province’s flagship healthcare initiative, Sehat Card Plus, aiming to clear outstanding payments to hospitals and ensure uninterrupted delivery of free medical services to citizens.
Officials revealed that the government had previously been releasing Rs3 billion per month to the State Life Insurance Corporation of Pakistan, which manages the health insurance scheme. However, beginning in December, the monthly allocation was increased to Rs4 billion to help address pending liabilities owed to empaneled hospitals participating in the program.
Annual Budget Increased to Rs48 Billion
According to official sources, the total annual budget for the Sehat Card Plus program has been raised from Rs36 billion to Rs48 billion. For the current fiscal year, the provincial government allocated Rs41 billion, releasing Rs3 billion monthly during the first five months from July to November.
Authorities said the additional funding would enable the insurance company to gradually clear outstanding dues and stabilize financial operations under the healthcare initiative.
Outstanding Payments Showing Decline
Government liabilities to the insurer have reportedly started decreasing. At the beginning of the fiscal year, outstanding payments stood at Rs15 billion, which later reduced to Rs12 billion and are expected to drop further to Rs8 billion by the end of the year.
Officials noted that while the program’s annual expenditure is estimated between Rs34 billion and Rs35 billion, the remaining funds are being used to settle accumulated past liabilities.
Hospitals Struggle With Delayed Payments
Despite progress, several hospitals have raised concerns over delayed reimbursements. Ayub Teaching Hospital recently received Rs38 million against outstanding dues of nearly Rs700 million, highlighting financial pressures faced by healthcare institutions.
Similarly, the Medical Teaching Institution Bannu is awaiting payments amounting to Rs290 million. Hospital administrations say delayed funds create difficulties in paying medical staff and maintaining services for patients treated under the scheme.
Calls for Better Fund Distribution
Sources emphasized the need for a more efficient mechanism to distribute funds among hospitals. Experts have recommended prioritizing public hospitals located outside Peshawar to improve access to treatment and reduce patient load on major healthcare facilities in the provincial capital.
Majority of Patients Treated Outside Peshawar
Official data shows that 19 of the top 25 hospitals providing treatment under the program between July 2025 and March 2026 are located outside Peshawar. Out of 948,182 patients, nearly 700,000 received treatment in hospitals outside the provincial capital.
Last year alone, approximately 1.2 million patients benefited from free medical treatment under the program, costing around Rs35 billion.
Province-Wide Healthcare Coverage
Currently, around 700 hospitals are empaneled under the Sehat Card Plus program, including 169 hospitals within Khyber Pakhtunkhwa. Since its launch in February 2016, nearly 4.98 million patients have received free diagnostic and treatment services worth Rs135 billion.
The initiative now covers the entire provincial population — more than 10.7 million families, representing about 34.5 million individuals. Officials said timely fund releases will help hospitals continue providing free healthcare locally, reducing the need for patients to travel long distances for treatment.
