Health ministry inks MoU with Novartis

The Ministry of Health and Novartis Corporation (Malaysia)Sdn Bhd signed today a Memorandum of Understanding (MoU) to enter into a partnership to build various health care capabilities to further enhance the Economic Transformation Programme (ETP).

Healthcare is one of the 12 identified National Key Economic Areas (NKEAs)and has a growth target of RM42.2 billion, while generating more than 260,000 jobs by 2020.

"The MoU is a landmark agreement between the Ministry and Novartis. With Novartis' diversified portfolio and the company's initiative to build healthcare capabilities in Malaysia to benefit our patients, I am encouraged to partnership with them," said Health Minister Datuk Liow Tiong Lai after witnessing the signing ceremony here today.

Novartis Corporation (M) Sdn Bhd has established a special US$700 million fund for the possible support of Malaysian health care start-up companies.

Liow said the Novartis Venture Fund will help identify and provide enough capital for those companies interested in the field of pharmaceuticals.

"As the healthcare sector is experiencing continuous growth, I would urge local companies to take this opportunity to lead the next innovation wave and explore new business areas with Novartis.

"Today, in Malaysia, the healthcare system is faced with challenges and opportunities from a rapidly changing operating environment, including increasing expectations on quality," he added.

The MoU was signed between the Ministry's Secretary-General, Datuk Kamarul Zaman Md Isa and Country President for the Novartis Corporation in Malaysia, Avinash Potnis. Also present was Novartis Corporation (M) Director William Hinshaw.

The MoU with the multinational pharmaceutical company will focus on three main areas of cooperation, namely, build technical capacity, promote clinical research and the facilitation of access to innovative and generic medicines.

Liow said the MoU between the Ministry and Novartis will also serve as the basis for future collaboration with other parties for the benefit of the country.

Meanwhile, on the generic drug industry, he said the Health Ministry had implemented a generic drugs policy, as replacement for original medicine or patented drugs at government hospitals nationwide.

"It has been implemented since the government introduced the National Key Results Areas (NKRAs) to promote the local medicine industry and generic drugs are cheaper than patented ones," he added. -- Bernama