1.2 Billion Baht Deficit Prompts Response

The Ministry of Public Health is stepping up to resolve a severe financial crisis at Khon Kaen Hospital, where losses have soared past 1.2 billion baht. Public Health Minister Somsak Thepsuthin, after visiting the northeastern province hospital on Saturday, June 7, 2025, announced plans to secure an emergency 300-million-baht loan from the National Health Security Office to stabilize operations amid growing concerns.

Assessment and Immediate Support

Minister Oversees Recovery Efforts

During his visit, Somsak led a meeting with Inspector-General for Health Region 7, Dr. Ekachai Piansriwatchara, and hospital director Dr. Surasit Chitpitaklert to evaluate the situation and refine a financial recovery strategy. He highlighted that liquidity issues began in 2021, emphasizing the need for swift action to prevent widespread disruptions to public health services in the region.

Root Causes of Financial Strain

Structural Issues Under Scrutiny

Somsak pointed to deep-rooted problems, including flawed budget allocation and poor provincial hospital management, as key factors behind the 1.2-billion-baht deficit. He noted inefficiencies in revenue collection, fewer civil servant medical scheme patients, high operating costs, especially wages, and weak internal controls, signaling a need for systemic overhaul in 2025.

Emergency Loan and Audits Planned

Transparency Drive Begins

To avert service interruptions, the ministry will request a 300-million-baht loan as a temporary fix, according to Somsak. Additionally, the Office of Public Sector Anti-Corruption Commission and the State Audit Office will conduct thorough audits to ensure transparent and effective use of funds, addressing the hospital’s financial mismanagement head-on.

Comprehensive Recovery Strategy

Seven-Point Plan Targets Efficiency

 

The ministry has devised a seven-point recovery plan to turn things around, focusing on balancing revenue and expenditure, increasing income by over 10%, and slashing procurement costs by at least 20%. The hospital will also expedite debt recovery from regional units and seek additional central government support, aiming to restore financial health and improve healthcare delivery in Khon Kaen.

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