The National Union of Pharmacies has cut off credit to the Regional Government of Madeira, meaning that customers must now pay the full price for their medicine. The Government finances the buying of medicine, in some cases up to 90%, but has ceased to be able pay back the pharmacies, accumulating a debt of 77 million Euro.
The Regional Government tried to circumvent this boycott by contacting a number of pharmacies, encouraging them to continue to sell on credit, in exchange for which the Government would give priority to repaying its debts to those who accepted, without going through the National Union of Pharmacies.
In an interview last week, President Jardim, threatened that the Government would ‘retaliate’ against those creditors who ‘took advantage’ of the current crisis for political reasons. Presumably, he meant that he would cease paying those creditors who voiced their concerns.
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