US to cut health aid to Zambia over 'systemic theft'

LUSAKA (Reuters) -The United States said it would cut $50 million in annual aid to Zambia's health sector because the government had failed to stop "systemic theft" of donated medicines and medical supplies.

U.S. President Donald Trump's administration is finalising a broader review of its foreign aid, but the cut for Zambia is "wholly separate from that process," U.S. ambassador to Zambia Michael Gonzales said in a statement.

"I am disappointed to share publicly today that since 2021 we have uncovered systemic theft of  life-saving medicines and other products  that were intended for free for the Zambian public," Gonzales said, adding medicines stolen included antiretroviral drugs used to treat HIV.

Zambia's health ministry responded in a statement acknowledging the U.S. ambassador's concerns and said recurrent theft of medicines was a "persistent challenge" dating back to before 2021.

After he was alerted to the issue Zambian President Hakainde Hichilema commissioned an independent forensic audit of the entire medicines supply chain, the ministry said.

A number of officials found to have been involved had been removed from office or suspended, while others were arrested and are set to appear in court.

"We want to assure the public that Zambia currently maintains sufficient stocks of essential medicines, including antiretroviral, antimalarial, and other critical drugs, with no immediate risk of shortages," Zambia's health ministry said.

Gonzales said he had recommended to Washington that the U.S. continue to procure and deliver lifesaving medicines and medical supplies to Zambia until January 2026 to provide time for the government to develop a transition plan.

After January, the U.S. will still offer technical and logistics assistance to support humanitarian activities and prevent drug resistance and disease transmission, he said.

(Reporting by Chris Mfula; Editing by Sfundo Parakozov and Toby Chopra)

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