Out-of-pocket spending on healthcare deepening poverty, says WHO

Idowu Abdullahi

The World Health Organisation on Thursday raised concerns over the increasing deprioritisation of health spending in low and middle income countries globally, adding that  out-of-pocket spending remained the main source of health financing in 30 low-and lower middle-income countries.

WHO, in its 2024 Global Health Expenditure Report, revealed that the average per capita government spending on health in all country income groups fell in 2022 from 2021 after a surge in the early pandemic years.

The report titled, “Global spending on health Emerging from the pandemic” was published in line with the Universal Health Coverage Day campaign marked annually on 12 December, according to a statement on WHO’s website.

The campaign’s focus for 2024 is on improving financial protection for people everywhere to access health services they need.

But the latest WHO report shows that out-of-pocket spending remained the main source of health financing in 30 low- and lower middle-income countries.

“In 20 of these countries, more than half of total health spending in the country was paid for by patients out of their pocket, which contributes to the cycle of poverty and vulnerability.

“The challenges posed by the lack of financial protection for health are not limited to lower-income countries. Even in high-income countries, out-of-pocket payments lead to financial hardship and unmet need, particularly among the poorest households. Most recent health accounts data show that in over a third of high-income countries, more than 20% of total health spending was paid out-of-pocket,” the report said.

Reacting to the report, WHO Director-General, Dr Tedros Adhanom Ghebreyesus, said despite increased global access to healthcare, using the service is fuelling hardship and deepening poverty.

According to him, protecting people from financial hardship due to out-of-pocket health costs is fundamental to achieving health for all.

“While access to health services has been improving globally, using those services is driving more and more people into financial hardship or poverty. Universal Health Coverage Day is a reminder that health for all means everyone can access the health services they need, without financial hardship,” the WHO DG said.

The global health body, however, urged governments and leaders to prioritise UHC and eliminate impoverishment due to health-related expenses by 2030.

WHO emphasised the need for effective strategies to strengthen financial protection including minimising or removing user charges for those most in need, including people with low incomes or chronic conditions.

Others are adopting legislation to protect people from impoverishing health costs and establishing health financing mechanisms through public funding to cover the full population.

“Public funding needs to budget for an affordable package of essential health services – from health promotion to prevention, treatment, rehabilitation and palliative care – using a primary health care approach,” the body added.

It said government spending on health is crucial to delivering UHC. Its deprioritization can have dire consequences in a context where 4.5 billion people worldwide lack access to basic health services and 2 billion people face financial hardship due to health costs.

The post Out-of-pocket spending on healthcare deepening poverty, says WHO appeared first on Healthwise.

Leave a Reply

Your email address will not be published. Required fields are marked *