The healthcare expenditure in Moldova in percentage of the Gross Domestic Product is 2.2 times lower than the average in the EU. In absolute terms, the costs per capita in Moldova are 9.5 times lower than the average in the EU, economist of the Institute for Development and Social Initiative “Viitorul” Veaceslav Ioniță noted in the publication Trend Hunter that is quoted by IPN.
According to the economist, in 2019 Moldova plans to allot 8.8 billion lei to healthcare. Of this sum, 7.5 billion lei is money accumulated and spent through the Health Protection Fund, while 1.3 billion lei is additional financing allocated from the state budget for different programs and investments. This way the healthcare expenditure in 2019 will represent 4.2% of the GDP, as opposed to 4.3% in 2018, which is the lowest amount in the last 14 years.
The average in the EU is 9.6% of the GDP, with Romania allocating the least for healthcare – 5.2% of the GDP. Outside the EU, only Turkey in 2017 allocated less than Moldova. In absolute terms, Moldova annually allocates 515 USD per capita, which is 9.5 times less than the EU average.
The costs incurred by the Mandatory Health Insurance Fund for treating smokers and alcoholics are higher than those incurred for the rest of the citizens. A tax on vices should be introduced on the sale of alcoholic beverages and tobacco products. This should be fixed for a product, adopted annually by Parliament, united to the excise duty on the given product, but fully transferred to the Mandatory Health Insurance Fund, stated Veaceslav Ioniță.
He noted the optional insurance paid by citizens in addition to the mandatory insurance is a source of income for the Health Protection System of the EU. To encourage the payment of such insurance, the optional insurance should be offered the same fiscal regime as the mandatory insurance. The optional health insurance premiums should not be included in the people’s incomes and no income tax should be paid on them. This measure could annually yield 500 million lei additionally to the health system, which is 0.2-0.3% of the GDP.
The expert also proposed increasing the allocations from the state budget for national health programs and investment projects in healthcare. Currently, the government allocates about 1.3 billion lei additionally to the Mandatory Health Insurance Fund. This is 0.6% of the GDP. In five years, this indicator should be increased to at least 1.2% of the GDP, which is an annually rise of 0.1% of the GDP or 200 million lei in the prices of 2019.
Veaceslav Ioniță said he supports the measure to increase the number of insured persons. He noted more than half of the employed population does not have an official job. The Mandatory Health Insurance Fund is stripped of at least 600,000 insured persons. The Government created the necessary legal framework, such as the law on day workers and the law on authorized private individuals. These measures should be aimed at including at least 100,000 persons in the social insurance system during the next three-five years. This will additionally yield up to 300 million lei.
The expert considers these measures will enable to increase the allocations for healthcare to at least 5% of the GDP, from the current level of 4.2%.
