Alternatives means of health care financing in Pakistan: case for introducing effective cost-sharing and subsidy

ABSTRACT

In our country, the role of government in the provision of health services is much smaller than that of the private sector. The health expenditure is generally lagging behind due to overall funding constraints. According to the World Bank study, Public and private expenditure on health in Pakistan represents 3.45 of GDP while public expenditure alone amounts to 1% of the GDP, a low figure by international standards. The recurrent expenditure although appearing relatively protected is also under considerable strain. Thus this paper suggests to introduce Effective Cost-Sharing and Subsidy Systems in order to meet increasing burden of illness and high population growth with all or one of following components o Enhancement of user fees. o Introduce public-private partnership. o Financial grants to non-profit organizations. o Incentives to for-profit private sector. o Health Insurance. o Lottery or quiz system