In his 2010 budget speech, Minister of Finance, Pravin Gordhan, gave no details on the planned introduction of National Health Insurance. This mirrored President Zuma’s remarks in the State of the Nation address last week, when he said that ‘preparations for the establishment of the national health insurance system will be continued.’
Instead the Minister of Finance announced plans for a closer relationship between the public and private sectors, which he said would be a prerequisite for the introduction of the National Health Insurance system. Reading between the lines, it would appear that the Department of Health has requested more time to calculate the cost and impact of National Health Insurance.
Graham Anderson, Principal Officer of Profmed Medical Scheme, said that Profmed, along with many other medical schemes, were sympathetic to government objectives to introduce National Health Insurance.
Consolidated annual government expenditure on health is due to increase from the present allocation of R84 billion (2008/09) to R105 billion (2010/11) to R121 billion in 2012/13. Additional ear-marked expenditure was allocated to HIV/AIDs (R8.4 billion), hospital revitalization (R140 million) and public sector doctor and nurse salaries (R2.6 billion). According to the 2010 budget review, R50 million has also been set aside for measles and polio immunizations.
‘Both President Zuma and the Minister of Finance have sought to prioritise the most urgent health problems in South Africa affecting the poor, and this should be applauded. Boosted spending on HIV/AIDS, immunizations and public sector salaries will have a direct and immediate effect,’ said Anderson.
In his State of the Nation address, President Jacob Zuma promised to build and upgrade hospitals and clinics, and improve the working conditions of health care workers. He said that the government had partnered with the Development Bank of Southern Africa and the Industrial Development Corporation to improve hospitals and to provide finance for Public-Private Partnership programmes to improve hospitals and provide finance for projects.
‘We congratulate President Zuma on ‘grasping the nettle’ and focusing the efforts of the health ministry on these difficult and important problems,’ said Anderson.
‘Revitalising hospitals and clinics through Private-Public Partnership financing and improving the working conditions of staff will over time, help with winning the battle against the disease burden presently blighting South Africa,’ he said.
‘As we have seen in the United States, a country much richer than ours, compulsory, mandatory health insurance is not necessarily the first choice of many citizens, nor is it easy to implement,’ said Anderson