Chairman’s review

We firmly believe that a workable and implementable NHI is one where the private and public sectors co-exist and play a meaningful role, and we continue to advocate for a collaborative approach in realising universal health coverage in South Africa.

At the same time, broader economic pressures continue to shape the healthcare environment. Muted GDP growth, high unemployment, and persistent affordability constraints have weighed heavily on healthcare access and funding models. Compounding these pressures, the healthcare workforce crisis, driven by emigration, skills shortages, and shifting career expectations, further underscores the urgency for innovative service delivery models to sustain high-quality, accessible care in a constrained economic environment.

On the global front, shifting foreign aid policies are reshaping healthcare funding dynamics, with significant implications for South Africa. The US government’s freeze on foreign aid, including cuts to the President’s Emergency Plan for Aids Relief (PEPFAR), threatens the sustainability of South Africa’s HIV/Aids treatment programmes, which rely on PEPFAR for 17% of total funding. This reduction risks weakening the government-funded adherence workforce, potentially impacting script volumes in the CCMDD programme. AfroCentric continues working with the Department of Health and other partners to sustain capacity and expand the programme. Encouragingly, the government’s renewed commitment to programme stability and its campaign to enrol 1.1 million more people offer opportunities to extend healthcare access.

As the healthcare industry undergoes transformation, technological advancements offer significant opportunities to enhance efficiencies, improve patient outcomes, and expand access to care, despite these challenges. AfroCentric is well-positioned to drive positive change – leveraging its scale, expertise, and digital innovation to enhance accessibility to high-quality, cost-effective healthcare.

A bold vision for the future

In the financial year ended 30 June 2024, the Group refreshed its strategy to align with industry shifts, client needs, and its long-term ambition. More than a vision, this is a structured plan in action, driving change rather than merely responding to it. Vision 2030 is our blueprint for becoming the most trusted healthcare partner, ensuring every advancement enhances access, affordability, and outcomes for those we serve.

To realise this vision, the Group continues strengthening its strategic partnerships, particularly with Sanlam, unlocking opportunities to deliver comprehensive, integrated, and sustainable healthcare solutions that enhance affordability and accessibility. At the same time, AfroCentric is committed to leading healthcare’s digital transformation by investing in artificial intelligence (AI)-driven diagnostics, virtual health solutions, advanced data analytics, advancing clinical innovation, and developing value-based care models to improve outcomes and cost efficiencies. Digital transformation is accelerating, leveraging AI, data analytics, and virtual health to enhance decision-making and create smarter, more personalised healthcare experiences. The Group is streamlining structures to support this evolution while ensuring that people remain the cornerstone of its transformation. By fostering a high-performance, collaborative culture, AfroCentric is equipping employees with the skills and digital capabilities needed to drive innovation, enhance service delivery, and future-proof the business.

The Board remains steadfast in its governance and strategic oversight, ensuring AfroCentric remains agile, responsive, and well-positioned to drive its transformation. This is not simply about growth – it is about fundamentally reshaping healthcare to be more inclusive, efficient, and sustainable. With a clear vision, strong foundation, and unwavering commitment to innovation and impact, the Group is leading the way towards a healthier future for all.

Shaping the future through ethical and effective leadership and governance

Strong governance and leadership are vital to sustaining value creation and advancing AfroCentric’s vision. As the Group evolves, leadership transitions ensure strengthened oversight, risk management, and strategic alignment.

During the reporting period, Mmaboshadi Chauke stepped down as a non-executive director and resigned from the Audit and Risk Committee and the Social and Ethics Committee to take up an executive role within Sanlam. The Board thanks her for her dedication and contributions. To reinforce governance, Karabo Morule was appointed to the Board and now serves on both committees. A qualified actuary and former investment banker, she brings deep expertise in leadership, strategy, sustainability, corporate governance, compliance, risk management, finance and innovation.

At an executive level, Hannes Boonzaaier stepped down as the Group CFO and executive director after nearly 22 years with AfroCentric. The Board expresses its gratitude for his leadership and lasting impact. Succeeding him, Thato Moloele has been appointed as the Group CFO and executive director. A chartered accountant with extensive experience in corporate finance, mergers and acquisitions, and strategic execution, his expertise will guide the Group’s financial future.

Risk management and compliance remain key priorities. Monwabisi Kula has been appointed Chief Risk Officer (CRO), bringing 18 years of experience in governance, audit, compliance, and risk management, including nine years within AfroCentric. He will lead the continual enhancement of our enterprise risk management framework, ensuring resilience in an increasingly complex environment.

These leadership transitions reflect AfroCentric’s commitment to stability, continuity, and progress, reinforcing its foundation for future growth.

Appreciation and looking ahead

I sincerely thank my fellow Board members for their strategic stewardship, our executives for their dedication, and our shareholders and clients for their continued trust and support.

AfroCentric remains committed to delivering sustainable healthcare solutions, driving innovation, and strengthening stakeholder engagement. As the regulatory landscape evolves, we continue to engage constructively on the implementation of the NHI and with new leadership in the Ministry of Health and the Council for Medical Schemes.

Beyond regulatory engagement, we are strengthening partnerships with schemes, intermediaries, and service providers to expand networks and enhance our data- and digitally-driven value proposition. Through technology, innovation, and collaboration, we aim to improve healthcare accessibility, efficiency, and outcomes.

Trust and impact remain at the core of our strategy. We recognise that our ambitions are only achievable through our people, and we are committed to fostering a high-performance, supportive environment where they can thrive. With a clear roadmap, a strong foundation, and a dedicated team, AfroCentric is well-positioned to navigate the challenges and opportunities ahead.

Dr Anna Mokgokong
Chairman