Alex Musyoka, Co-founder and Chief Commercial Officer of VIEBEG (centre), is discussing with a customer the significance of being a data-driven healthcare provider. Drug shortages and the lack of medical equipment in Rwandan health facilities are becoming less common, thanks to an innovation that is tackling procurement challenges.

Viebeg Technologies, a Health Tech company supported by venture capital, is working to enhance access to affordable healthcare in Central and East Africa by assisting healthcare facilities in obtaining supplies in real-time. The company employs artificial intelligence (AI) to oversee supply chain processes, including shipping, warehousing, distribution, and inventory management, ensuring that healthcare facilities have the necessary medical supplies available.

The Rwanda Innovation Fund, which is partially funded by the African Development Bank, has invested in Viebeg’s data-driven logistics platform.

Tobias Reiter, Co-founder and Chief Executive Officer of Viebeg Technologies, states that the company’s AI-driven medical procurement platform directly links healthcare providers with manufacturers. This approach eliminates brokers and middlemen from the supply chain, resulting in cost savings of up to 40 percent for clients.

“We observed that many medical facilities lacked the appropriate supplies; and reports indicate that in Africa, every five minutes, individuals are dying from preventable conditions due to insufficient medical supplies,” Reiter remarked.

Established in 2018, the company collaborates with numerous health facilities in Rwanda, where two million individuals have received treatment with Viebeg products, according to Alex Musyoka, its Co-Founder and Chief Commercial Officer. The company is already expanding into other regions of East Africa, including Kenya, Burundi, and Congo, serving over 500 facilities. Musyoka mentions that there are plans for further expansion across Africa.

Many healthcare facilities in Rwanda praise Viebeg for enabling them to find essential products at reasonable prices. For instance, the Kivu Specialist Clinic, founded by Dr. Amol Kulkarni, one of only three maxillofacial surgeons in Rwanda, highlights the importance of modern equipment for specialists treating mouth, teeth, and jaw defects and injuries, which are often unaffordable in Africa.

Dr. Amol stated that Viebeg assisted his clinic in acquiring an orthopantomogram machine (a panoramic dental X-ray of the upper and lower jaw), enhancing its advanced capabilities. He added, “In four months, the clinic will have fully paid for the new OPG machine. We are regarded as one of the best-equipped clinics in Rwanda. Viebeg helped me establish my clinic, and I now have confidence in having Viebeg as my partner to sustain it.”

Similarly, the Ejo Heza Surgical Centre in Kigali required a new anesthesia machine after their old one malfunctioned, but lacked the funds for a replacement. “With Viebeg offering special payment terms for products, Ejo Heza became a client of Viebeg and acquired the new equipment within three weeks. This has enabled our facility to continue saving lives,” stated Dr. Dominique Savio Mugenzi, Orthopedic Surgeon and Managing Director at Ejo Heza.

“Thanks to Viebeg’s service, we are now sourcing our medical supplies and equipment through the platform, leading to a significant reduction in procurement costs and stock-outs of medical supplies,” Mugenzi added.

Mukando Cesarie, a patient who has benefited from a well-equipped healthcare facility made possible by Viebeg’s innovation, shared her experience: “I was very ill, but with the gynecological machines here, the doctors were finally able to diagnose the issue. Now I am recovering after four surgery sessions. I am grateful for these services,” she expressed, highlighting her satisfaction with the care she received at the Kigali-based Best Care Hospital in July 2022. Previously, she had undergone a 10-hour surgery at a local hospital, but her condition deteriorated due to the facility’s lack of necessary diagnostic equipment.

Viebeg’s annual revenue surged from $80,000 to $180,000 just six months after receiving funding from the Rwanda Innovation Fund, marking a 125 percent increase. Musyoka anticipates that this figure will rise to $2.5 million by the end of 2022.

In addition to boosting revenues, the funding has allowed the company to conduct employee training, access working capital, and hire additional staff.

The African Development Bank invested $30 million in the Rwanda Innovation Fund. This support aligns with the country’s National Information Communication Infrastructure (NICI) III Plan, which emphasizes the role of ICT in enhancing service delivery to citizens.

Dr. Abdu Mukhtar, the Bank’s Director for Industrial and Trade Development, remarked: “Digital innovation can transform sectors, but it requires investment. Viebeg exemplifies what can be accomplished with the right blend of innovation, entrepreneurship, and financial support. It is noteworthy that the Rwanda Innovation Fund, initiated by the Rwandan government and partially funded by the African Development Bank, has played a crucial role in Viebeg’s development. Local investment in a local business has yielded transformative local results. This partnership model could be effective in other markets.

Source: African Development Bank