The Cabinet has approved the regulation on the "Single-Source Procurement of Pharmaceuticals, Medical Devices, Biological Products, and Vaccines."

By sourcing 16 essential strategic pharmaceuticals as well as four types of anti-hemophilic recombinant Factor VIII and Factor IX products directly from international manufacturers recognized by the World Health Organization (WHO) and international health bodies, the state budget achieved a cost savings of MNT 3.15 billion, yielding a procurement efficiency gain of 10+1%.

Centralized procurement is a widely adopted global model, utilized on a national scale in countries such as South Korea, Japan, Singapore, and New Zealand. The primary advantages of single-source procurement include securing volume-based wholesale discounts, reducing public expenditure, obtaining medications at fair prices from WHO-regulated stringently controlled facilities, and ensuring an uninterrupted supply of critical drugs subject to shortages.

Most importantly, this mechanism fully safeguards against the risks of substandard and counterfeit pharmaceuticals while mitigating price inflation, thereby helping relieve financial burdens on citizens.

Published Date:2026-08-07