Large quantities of expired medicines classified as "hospital" were dispensed throughout 2024 in open pharmacies that have a contract with the FSDKSH (Mandatory Health Care Insurance Fund), for patients who benefit from the medicine reimbursement scheme.
In addition to the low quality of the reimbursable drugs, there was also the fact that they were expired, seriously endangering their lives and simultaneously abusing the amount of about 3.2 billion lek.
This scheme was discovered by the Supreme State Audit Office after an audit conducted in the healthcare system, specifically in FSDKSH.
"Pharmaceutical importers imported drugs classified as 'hospital' in an amount of 3,690,084 units, worth 3,225,256,356 lek, of which 159,760 units with a reimbursable value of 60,485,872 lek were distributed in the open network, contrary to tripartite contracts and legal provisions. In 207 transactions registered in the system, 102,778 units of drugs with an expiration date identical to the date of sale were found in 37 sales invoices, while in 170 other invoices 143,598 units of drugs with an expiration date from 1 to 5 days from the date of sale were found," says the SAI in the report published in October last year.
Damage and quality
The detailed 460-page report conducted by the Albanian Supreme Audit Office (ALSH) found significant problems with reimbursed medicines, where FSDKSH entered into supply contracts with pharmaceutical drug importing companies. Serious problems are also seen with "hospital medicines" in QSUNT and the regional hospitals of Shkodra, Durrës and Elbasan.
Economic expert Ilir Ciko told Faktoje.al that "the economic assessment of the FSDKSH 2024 audit report highlights two levels of problems: 'Direct and measurable financial damage'; and 'Institutional weaknesses with costs for public finances'.
According to the expert, financial losses and risks worth at least 380-430 million lek have been identified, not including the financial effect from unanalyzed pharmacies.
“The main cause is not the insufficient budget (revenues exceeded the plan), but the weaknesses in expenditure control,” says Ciko. He highlights “structural deficiencies with e-Depot (pharmaceutical warehouses), LBR without a sustainable methodology, unapplied penalties, financial statements with errors that create favorable conditions for abuses of various typologies with higher economic costs than documented figures.”
Zero value, fictitious invoice at market price
From the audit of the data of the "e-depo" system and the information administered by the Reimbursement Directorate at FSDKSH, it resulted that some pharmacies with contracts with the Fund were supplied with drugs from the list of reimbursable drugs (LBR) from pharmaceutical warehouses, which entered the system at a value of zero lek per unit.
"Despite the fact that these drugs were obtained from pharmacies without purchase costs (through zero-value invoices), they were prescribed and issued to patients through reimbursable electronic prescriptions, benefiting from full reimbursement from FSDKSH in the value of the drug price according to the LBR, plus the approved commercial margin in force of 24% for retail trade and 8% for the majority, according to the definitions in the VKMs," the HFSA states.
AUDIT
According to the audit, it turned out that pharmacies have benefited fictitiously, as they have received reimbursement from the fund for drugs that had no purchase cost (zero value), while the reimbursement was calculated on the price approved in the LBR plus the wholesaler's margin.
PROSECUTOR
Following the detailed report by the Albanian Supreme Audit Office, the Tirana Prosecutor's Office launched investigations and criminally prosecuted several people, including FSDKSH leaders and representatives of private pharmaceutical companies.
They are suspected of having colluded to profit from large sums of money by using a scheme to issue fictitious invoices for reimbursable medicines.
QSUNT declares state, physically absent
While the violations of the FSDKSH with reimbursable medicines are numerous in terms of collaboration with pharmaceutical companies in issuing fictitious invoices, and even in the sale of expired medicines, the HSA also finds problems with hospital medicines.
Out of 155 drugs in the QSUT pharmacy, 60 drugs or about 40% of the total are missing.
"The Audit Group compared the data according to the physical inventory report dated 20.02.2024, the quantities at the beginning of the inventory, the entries and exits, in order to verify the status of the medicines in the QSUT hospital pharmacy, where it was found that for 26 medicines, of which 14 of them "Only Alternative" and 12 of them "First Alternative", there is no availability in the hospital pharmacy both at the beginning of the inventory (dated 07.12.2022) and at the end (dated 20.02.2024), not presenting itself as a problem in the management structures of FSDKSH," says the KLSH in the report.
A very serious situation was found with the "only alternative" medicines, as they were not physically available, despite the fictitious declaration that the medicines existed in the central pharmaceutical warehouse at QSUNT.
"Hospital expenditures account for 56.5% of the total, which indicates the main weight of secondary care in the structure of public health financing. The level of investment (0.02%) is low," says expert Ciko.

Health from your pocket…
Despite the increase in the number of reimbursable medicines in open and hospital pharmacies, total budget expenditures in relation to Gross Domestic Product (GDP) remain low, even compared to countries in the region. Albania is last with only 7% of GDP spent on the health sector in total.
In other countries in the Region, total healthcare spending starts at 7.5-9% of GDP, while for EU countries the average is over 10% of GDP.

"Albania remains below the regional average in public health spending as a percentage of GDP, resulting in relatively high out-of-pocket payments. Public funding covers just over half of real health spending, leaving the remaining burden on families," says Ciko./ Faktoje.al