Healthcare costs increase rapidly
At the topic "Innovation and breakthrough in health finance to meet the requirements of implementing universal health insurance in the new period" organized by the Ministry of Health, experts focused on discussing solutions to mobilize resources to implement the goals of universal health care according to Resolution 72-NQ/TW.
According to data from the Ministry of Health, non-communicable diseases currently account for about 81% of deaths in Vietnam. Meanwhile, health insurance medical examination and treatment costs have increased about 8 times in 14 years, to about 123,000 billion VND in 2023.
Budget spending is currently estimated to account for nearly 40% of total health spending. In 2024, the health insurance fund paid about 140,000 billion VND for medical examination and treatment costs. However, households still have to pay about 21,500 billion VND from their own pockets.
The report "Medical Financial Innovation and Healthcare Fiscal Space in Vietnam" by the Healthcare Technology Research Group, London School of Economics and Political Science (LSE), warns that the fiscal gap for healthcare may increase from about VND 279 trillion to VND 510 trillion by 2030 if there are no appropriate solutions.
In this context, expanding resources for healthcare cannot only rely on the state budget. Vietnam needs to simultaneously increase revenue, mobilize social resources and improve the efficiency of using existing resources.
Expanding non-budgetary resources
According to Mr. Ong The Due, Head of the Department of Health Finance - Institute of Strategy and Health Policy (Ministry of Health), additional revenue from taxes can be reinvested in healthcare. According to the proposal, 60-80% of revenue is for the Health Insurance Fund, the rest for the Disease Prevention Fund and the general budget in the 2026-2030 period. Use a part of revenue from tax on cigarettes, alcohol, and sugary drinks to invest in disease prevention, chronic disease management, health check-ups and screening, early detection of non-communicable diseases.
Ms. Tran Thi Trang, Director of the Health Insurance Department (Ministry of Health) said that the Health Insurance Fund is limited while the contribution level is maintained for many years, so it is necessary to both improve management efficiency and innovate the financial mechanism. With expensive drugs, health insurance currently only pays 50-70%, making the burden on patients still large and difficult to balance the fund in the long term.
According to Ms. Trang, policies to expand health insurance benefits according to Resolution 72 and Directive 52 require new and breakthrough financial resources.
Master Hoang Trung Tuan, Deputy Director of the Health Insurance Department, said that it is expected to increase health insurance contributions from 2027 according to the roadmap, and at the same time pilot the diversification of health insurance packages and develop supplementary health insurance.
One of the important changes emphasized by experts is to shift the approach from "paying" to "investing" in health. Instead of focusing resources on treatment when diseases have arisen, Vietnam needs to increase investment in disease prevention, early detection and health management.
Health check-ups, periodic screening, strengthening grassroots healthcare, and improving the capacity to prevent and manage chronic diseases in the community should be considered long-term investments. This is especially important in the context of Vietnam entering a period of population aging and the burden of non-communicable diseases is increasing.
Good disease prevention not only helps people maintain their health but also contributes to reducing treatment costs, thereby reducing pressure on the HI Fund and the state budget," Ms. Tran Thi Trang said.
Dr. Jennifer Gill, Deputy Director of the Medical Technology Research Group, LSE, said that investment in healthcare not only brings health benefits but also creates economic value through improving labor productivity.
According to experts, about 24% of the growth rate in low and middle-income countries in the period 2000-2012 is related to health improvements.
From this perspective, healthcare should be seen as a long-term investment for both people and the economy, rather than just a budget expenditure.
According to LSE, Vietnam needs to build a health finance strategy based on three pillars: expanding public revenue for health; increasing additional contributions through contribution mechanism reform, developing supplementary health insurance and forms of health savings; improving affordability and improving the efficiency of resource use.
