Page 8 of 10
Universal Health Coverage - which means they
are preparing to implement it.
Actually, the list of countries that have the
system or have started is not exhausted.
The country has serious budgetary
constraints is it not prudent to delay the
implementation of the NHI?
The answer is no, and a big no for that matter.
Other basic human needs such as water,
shelter, sanitation and even food, for that
matter, are useless if you are dead. We cannot
postpone access to basic human needs.. The
provision of quality health care should
supersede all other needs, because it is about
sustaining life. We cannot afford to delay the
implementation of the NHI.
In fact, when the economic situation in any
country is gloomy, that is the time citizens need
access to good quality affordable healthcare
more than ever before. NHI is intended to
provide just that. NHI is not a luxury that can
be delayed due to economic circumstances. It
is a necessity that is needed to rescue people
especially during tough economic times.
Otherwise, majority of people will succumb to
their ailments due to their weakened economic
status which will worsen the country's
economic situation even further.
The UK implemented it in 1948 and was driven
by the hardships brought by the Second World
War which had ended 3 years earlier. Due to
the World war, the British people were poor,
unemployed and sick. That is when they
needed it. They call it NHS. Same as the
Japanese who implemented it in 1961 to boost
economic growth also ravaged by the Second
World War. No economy ever grows when the
health system is not improved for the majority
of the people and no health system improves
when the overwhelming majority of its citizens
are outside the major funding mechanism of
the country health system.
In September 2015, 267 eminent economists
from 44 countries signed the Economists
Declaration on Universal Health Coverage
which concluded that the economic returns on
investing on UHC were more than 10 times the
costs.
Can you explain what the state subsidy to
medical schemes is about?
Yes. The total subsidy is actually R46,7 billion.
One of the abnormalities in the present health
system which NHI seeks to correct, is that
health is a condition of employment through
medical schemes. This is wrong because
section 27 of the Constitution says health is a
right not a condition of employment.
‒ GEMS members are subsidised for R17
billion.
‒ Non - GEMS members are subsidised for
R1,8 billion.
‒ SOE's members are subsidised for R7,2
billion.
Note that the subsidy of Non-GEMS members
is for members of Parliament and Judges - very
highly paid members of society, but they are
heavily subsidised - R1,8 billion.
SOE's workers are the highest paid members
of society. Some of SOEs top executives earn
more than five times what the President of the
country earns, but they are also heavily
subsidised for R7,2 billion.
GEMS members Such as nurses, doctors,
teachers and other senior public servants also
receive subsidies .
The total subsidy is R26,7 billion. Then come
tax credits. Every single person in South Africa
who is on a medical aid, employed in the public
sector or private sector, is entitled to tax
credits at the end of the tax year. The total
credits in the last tax year was R20 billion. Add