Investment Opportunities in Afghanistan's Health Sector

Islamic Republic of Afghanistan Ministry of Industry & Commerce Investment Opportunities in Health Sector July 19 2019

Afghanistans Area is 652,230 sq. km and is located at the heart of Asia, considered as a bridge connecting South and Central Asia. From its supportive regulatory framework, its estimated multi-trillion dollar mineral and hydrocarbon sectors to the country s transport and energy- related investments, Afghanistan is fast becoming a highly business-friendly environment. It is a top reformer in the World Bank ease of doing business 2018 report regionally ranked 2nd on establishing a business and taxes; 3rd on resolving insolvency; and 4th on contract enforcement, where investors can expect significant returns on investment. Afghanistan Country Profile Population 34,9Million People GDP GDP composition by sector 20.24 billion USD Agriculture 23% , Industry 21.1%, Services 55.9% GDP per Capita 585.85$ GDP growth rate 2.7% 164th world top reformer in 2018 by world bank Ease of Doing Business Rank Imports 7.6 billion$ Iran, China, Pakistan, Kazakhstan, Uzbekistan, Japan, Turkmenistan, India, Malaysia, Russia, United Arab Emirates and others Major Import Trading Partner Major Import Commodities Machinery and other capital goods, food, textiles and petroleum products Exports 824 Million dollar (2018). fruits, nuts, Afghan rugs, wool, cotton, hides, gemstone, and medical herbs Pakistan, India, China, Turkey, Iran , Unites Arab Emirates, Iraq, Saudi Arabia, Germany, Turkmenistan, Kazakhstan, UAS and Russian Major Export Trading Partner 2

Health Statistics Public Hospitals 153 Private Hospitals 401 Comprehensive Health Centers 411 Basic Health Centers 932 Health Sub Centers 854 Laboratories 1700 Existing investment is not sufficient to meet local health service and medicinal demand in the country.

More than USD 300 million flows out of Afghanistan in pursuit of medical treatments annually. More than USD 800 million worth of pharmaceuticals are imported annually. These huge outflows of money from the country demands for health services, which can be met through investing in the following areas: Medical complexes/hospitals Pharmaceutical industry Medical centers Medical equipment and tools manufacturing Standard laboratories Standard pharmacies/medicine stores

HEALTH SECTOR While there have been positive changes in the health sector of Afghanistan and some investments has been made to establish hospitals, medical laboratories, and medicine production, the current level of investment does not fulfill the medical needs of the people of Afghanistan. According to the statistics provided by the Ministry of Public Health, 76 percent of medical care expenses are paid to private health providers. This indicates that private sector has a very important role in the health industry of Afghanistan and can create a substantial investment potential for foreign investors. Project Name Location Project Type Project Value (M USD) 14m Status Documents Developed Project Function Risk Transfer Business Opportunity Example s Recommendation Remarks Ali Jinna Hospital Kabul Operating Concession Tendering will be announced in Coming soon Updating FS & FM FS & FM FS & FM Delivery of Health Care Service To be Determine Yes Multiple (India, Turkey) FS & FM Approval Updating Financial Model Jamhuriat Hospital Kabul Operating Concession Operating Concession Lease Contract 44m Delivery of Health Care Service Pharmaceutical Development Pharmaceutical Development To be Determine To be Determine To be Determine Yes Multiple (India, Turkey) Multiple (US, Europe, India) Multiple (U.S.A, Austria, India) Multiple (U.S.A, Austria, India) Multiple (India, Ukraine) Multiple (India, Ukraine) Multiple (India, Turkey) Updating FS Updating Financial Model Pharmaceutical Enterprise Kabul Public Hospital USP (Unsolicited Proposal) Kabul 10m Notification required Notification required Proposal Yes Complete PFS Kabul 3m Proposal Yes Complete PFS Afghanistan Hospital pharmaceutical USP (Unsolicited Proposal) Two diagnostic center Kabul Operating Concession 23m Notification Proposal Pharmaceutical Development To be Determine Yes Additional data required Kabul BOT 8m Tendering will be announced in Coming soon Newly approached Concept RFQ, FM, RFP Imaging Services To be Determine Yes Market Sounding & Tendering Process Change on Location Four diagnostic center at regional Province Kabul BOT 16m Imaging Services To be Determine Yes Concept Development 1000 bed Hospital Kabul BOT 40m Newly approached Concept Delivery of Supper Specialty Health Care Service Quality Contor Pharmaceutical in regions To Store Medicine and Healthcare products at custom level according to GSP (Good Storage practices) To be Determine Yes Concept Development Concept Proposal Developed Regional quality Control laboratories Balkh, Herat, Nangarhar and Kandahar Kabul, Herat, Kandahar, Nangarhar, Nimroz, Khost, Faryab PPP 8m NA NA To be Determine Yes Multiple Concept Development Standard Warehouse at Custom level for medicine and healthcare product PPP 2m NA No To be Determine Yes Multiple Concept Development 5

NATIONAL PROCUREMENT AUTHORITY OPPORTUNITIES (NPA) The National Procurement Authority of Afghanistan (NPA) regularly announces all the contracting investment opportunities in all sector in the country, the domestic and international investors can participate in the tendering, the transparency of the process is guaranteed by government of Afghanistan. Following are the projects that are announced by NPA for tendering. Bidding Announcement Status TECHNOLOGY SECTOR Procurement Announcement Date Deadline For Bid Submission Procurement Entity Procurement Type Project Identification Number Bidding Title Open 24/06/2019 20/07/2019 National Procurement Authority National Procurement Authority Ministry of Agriculture, Irrigation, and Livestock Goods NPA/MOPH/98/G- 2570/NCB Procurement of 67 Items Medical Appliances for Sheikh Zayed Hospital Open 19/06/2019 11/07/2019 Goods NPA/MOHP/98/G- 2561/NCB Procurement of 72 Items Medical Equipment for Ministry of Public Health Open 4/07/2019 24/07/2019 Goods MAIL/PD/NCB/G222/9 8Rebid Procurement of 34 items laboratory equipment and animal spice for generative cows required by directorate of livestock 6

Thanks for your attention

Contact Information Cell: 0212 296 5237 Email: Ca.Istanbul@moci.gov.af