The Oxford Business Group (OBG) is calling for reforms of Ghana’s National Health Insurance Scheme (NHIS) that will allow greater private sector financing.
According to the UK-based group, 90% of NHIS’ funding comes from tax levies and thus the Act establishing the NHIS a decade ago is seen more as a social health care system than a traditional insurance scheme.
“…However, balancing the need for low fees while covering the costs of running the scheme has proved challenging. Reforms to the system could be equally beneficial,” the OBG said August 21, 2013 in an economic update note on Ghana.
It continues “The NHIS has been hampered by budgetary misallocation and problematic investment performance among other issues. Addressing these challenges would help free up resources for frontline health care. More radical measures could include introducing a larger private sector element into the management of the system.”
While this could prove politically difficult, the OBG said “increasing the scope of private sector financing and provision in the health care sector might ease some of the burden on the government and enhance allocation of resources.”
The OBG noted that there are already promising public-private partnerships in Ghana’s health sector in the supply of medical equipment, infrastructure and training, which have involved the participation of international companies such as US multinational General Electric (GE) and the Netherlands’ Philips.
It argues that more resources to the NHIS will deliver the standard of healthcare envisaged.
Ghana has greatly enhanced access to health care in recent years through the establishment of the NHIS, which was introduced in 2003 through the National Health Insurance Act to improve citizens’ ability to access and afford health care services by providing yearly premiums of $3.52, says the OBG.
By Ekow Quandzie