Former Managing Director of State Trading Organization (STO) Hussein Amr has alleged that a state pharmaceutical company was established to "steal."

President Mohamed Muizzu announced the formation of the State Pharmaceutical and Medical Supply Corporation Limited on Tuesday.

According to the President's Office, the company's objective is to strengthen the supply and procurement of medicines, medical consumables, and equipment across the country.

In a post on social media X, Amr said the only reason for setting up a special company to import medicines and medical consumables is to steal.

"They keep on stealing and begin robbing the patient's medicine bag. There is no other reason to form a company," he said.

In May, STO signed an agreement with the Indian government-owned HLL Lifecare Limited to procure medicine needed for the Maldives.

Under the agreement, the drugs will be provided via India's Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) scheme.

STO stated that the scheme will enable Maldives to get uninterrupted and affordable essential medicines from India.

Health Minister Abdulla Nazim earlier said that STO's activities to import medicine would be transferred to the new state pharmaceutical company.

There has been a medicine shortage crisis since Muizzu assumed office in late 2023. The government initially refused to accept the existence of a shortage issue.

But Muizzu later blamed the "medical mafia" for intentionally creating a shortage. He did not say who were behind the "medical mafia" and did not order an investigation.

He also pledged to stop depending on India for medicine and vowed to import high-quality European drugs. But the government has failed to fulfill the pledge.

Some equipment used in hospitals and health centers, machines and equipment used in laboratories, dialysis machines and other special products are the solely distributed by private companies. Most of the drugs are also imported by private companies.