Risk of 510 Trillion VND Financing Gap in Vietnam's Healthcare Sector
It has been announced that Vietnam's healthcare financing deficit could reach 510 trillion VND in line with universal basic healthcare goals. Experts discussed tax increases and public-private partnership solutions.
Vietnam's goal of achieving free basic medical examination and treatment by 2030 has revealed a major financing gap risk in healthcare services. During a session organized by the Ministry of Health, experts discussed new financing sources to cope with rising costs and a potential 510 trillion VND deficit.
Growing Deficit in Healthcare Financing
The goal in Vietnam to achieve free basic medical examination and treatment by 2030 brings an urgent need for resources. Examination and treatment costs under health insurance continue to rise rapidly.
Examination and treatment expenses covered by health insurance increased nearly eightfold over 14 years, reaching approximately 123 billion VND in 2023, and it was projected that the financial deficit could rise to 510 trillion VND.
Issues Evaluated at the Ministry Session
A session themed 'Breakthrough Innovations in Health Financing to Meet the Requirements of Implementing Universal Health Insurance in the New Era' was organized by the Ministry of Health.
It was analyzed in the report by experts that approximately 81% of deaths in Vietnam are caused by non-communicable diseases, and if appropriate solutions are not found, the financial deficit could multiply.
Tax Proposal on Harmful Products
Speaking at the seminar, former Director Nguyen Huy Quang suggested evaluating revenues from special consumption taxes applied to health-harmful products such as tobacco, alcohol, and sugary drinks.
Officials stated that additional revenue to be obtained from tax policies can be used to increase investment in health services and be transferred to funds at certain rates.
Proactive Investments and New Models
Sejal Mistry, CEO of Crowell Global Advisors, shared experiences on the development of supplementary health insurance forms and the reduction of pressure on public finance.
Delegates also emphasized changing the resource allocation format, shifting funds from treating diseases after they occur to early diagnosis and proactive investments.