VAST-Ghana has urged the government to uncap the NHIL to alleviate pressure on the NHIS, enhance funding, and support individuals suffering from NCDs. Additional recommendations include revising the betting tax and excise taxes on unhealthy products. These measures will help address rising public health concerns related to NCDs in Ghana.
The Vision for Accelerated Sustainable Development – Ghana (VAST-Ghana) has urged the Ghanaian government to uncap the National Health Insurance Levy (NHIL) to alleviate pressure on the National Health Insurance Scheme (NHIS). Uncapping the NHIL, as promised by the President, could be a significant revenue stream to support NHIS operations and lessen the financial burden on patients.
Mr. Labram Musah, Executive Director of VAST Ghana, emphasized the need for the Ministry of Health to amend the earmarked Funds Capping and Realignment Act (Act 947). Currently, the NHIS does not receive its full allocation due to the capping law, resulting in less than 60% of its budget being available for claim payments, thereby impeding efficiency in the system.
VAST-Ghana highlighted that uncapping the NHIL would benefit many individuals suffering from non-communicable diseases (NCDs), who face high out-of-pocket costs for essential treatments. The capping of the NHIL undermines potential revenue for the NHIS, worsening financial strain for patients needing ongoing care.
The statement also proposed additional measures for the 2025 budget, including revising the betting tax structure due to the rise of sports betting among youth. This trend is linked to mental health issues and financial instability, increasing the prevalence of NCDs such as cardiovascular diseases and hypertension.
In 2023, the government introduced excise taxes on unhealthy products, including tobacco and sugary beverages, but these taxes were not adjusted for inflation, diminishing their effectiveness over time. The World Health Organization advocates annual reviews of such taxes to meet inflation standards to optimize revenue generation.
Revenue generated from excise taxes has notably increased, from GH¢228.62 million in 2012 to GH¢1,325.57 million in 2023. A portion of these excise taxes should be earmarked for health interventions targeting NCDs and health promotion.
Moreover, VAST-Ghana expressed support for President John Dramani Mahama’s initiative to establish the Ghana Medical Trust Fund (MahamaCare), aimed at financing treatments for NCDs. This initiative is essential as NCDs account for 45% of annual deaths in Ghana, paralleling the global mortality rate connected to them. Lastly, repurposing the COVID fund to support NCD initiatives and the Ghana Medical Trust Fund is also suggested.
The call from VAST-Ghana for the uncapping of the NHIL highlights the urgent need to support the NHIS and provide financial relief to patients, particularly those with NCDs. The proposed revisions to the betting tax and excise tax structures, alongside the establishment of the Ghana Medical Trust Fund, represent critical steps toward addressing the growing burden of NCDs in Ghana. These measures, if implemented, could improve healthcare financing and efficiency significantly.
Original Source: www.ghanabusinessnews.com
