Happy Monday!

This week’s newsletter covers the financial crisis that hospitals are going through in Suriname, energy collaborations between Suriname and France, and a deal between Suriname and Chinese company Chinalco for Bauxite mining.

Suriname’s hospitals face a severe financial crisis.

• Hospitals in Suriname are facing a severe financial crisis due to delayed and insufficient payments from the State Health Fund (SZF) and insurers. This has led to a lack of essential supplies, forcing patients and families to bear the costs directly. Major hospitals ('s Lands Hospitaal, St. Vincentius Ziekenhuis, Diakonessenhuis, and Mungra Medisch Centrum) plan to stop new patient admissions until SZF clears its debts.

• Hospitals operate on limited resources, borrowing supplies internally and relying on donations. Suppliers demand cash payments due to unpaid dues. The financial strain is exacerbated by the need to pre-finance care through bank loans, with delays in salary payments. Despite agreements on tariffs, critical adjustments remain unimplemented, potentially necessitating co-payments for consumables to sustain operations.

• Healthcare unions have sent a reminder to Minister Albert Ramdin, emphasizing the government's failure to act on a September preliminary agreement. They demand that commitments be fulfilled or they may have to take next steps.

• The unions criticize the lack of action by the monitoring committee, which has yet to convene and express concerns about unmet salary scale goals. They also highlight the absence of negotiations for the 2023 bridging allowance, which was promised but not addressed. They await the minister’s response to ensure the agreement is implemented.

• In the meantime, the hospital stop is set to continue as hospitals wait for the National Hospital Council's (NZR) demands to be met. The Mungra Medical Center (MMC) has lifted its admission stop independently, which has caused unity concerns but the other hospitals have continued their stop in admissions. Deliveries and private patients are excluded which means that these stops impact the poorest members of society.

The NZR will meet with Health Minister Amar Ramadhin to discuss urgent issues, including:

• Systematic late and incomplete SZF payments.

• Unilateral SZF invoice deductions.

• Unimplemented agreed-upon tariffs for labs, radiology, surgeries, and high-care units.

• Stalled adjustments to daily hospital rates and insufficient funding for medicines and medical supplies.

The AZP (Academic Hospital of Paramaribo) remains operational for emergencies but is also affected by the broader financial challenges.

Suriname and France explore energy opportunities in the country.

A delegation of French energy companies and Surinamese private sector representatives met to explore opportunities in Suriname’s burgeoning energy industry. The discussions focused on:

• Suriname’s investment climate and energy-sector opportunities, including TotalEnergies’ $9 billion offshore oil investment.

• Partnerships with local firms for capacity building and innovation.

• The French ambassador emphasized the importance of collaboration for strengthening economic ties. Companies aim to support capacity building in Suriname, and the VSB pledged to integrate these efforts into ongoing development projects.

• The meeting highlighted the potential for enhanced cooperation between Suriname and France, promising mutual benefits in sustainable growth and innovation within the Surinamese energy sector.

Suriname and Chinese mining company Chinalco have agreed to a deal for bauxite mining in Western Suriname.

• Suriname has entered a preliminary agreement with Chinalco to mine bauxite in the Bakhuis area. Chinalco will invest $426 million to establish mining and infrastructure companies, with Suriname receiving a 13% stake and board representation in both entities.

• Suriname has a long history of bauxite mining with previous mines making for a huge impact of economic growth in the country during the colonial and post-colonial era. Alcoa, an American Bauxite mining company had a presence in the country from 1916 until 2015, when it left for economic reasons. The country awaits the impact of the new deal with Chinese company Chinalco going forward.

• The project promises significant economic benefits, including $29 million annually in equity and royalties, a community development fund, and employment for 2,000 people.

• Key infrastructure, including railroads and ports, will be upgraded, and environmental safeguards will be implemented. While the current focus is on mining, studies will explore the feasibility of adding a refinery and smelter.

• With operations expected to last up to 50 years, the project positions Suriname to capitalize on increasing global aluminum demand