Healthcare spending to grow unprecedentedly in 2021 – finance minister

Healthcare financing is projected to grow to 5% of GDP by 2023.

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Ukrainian Finance Minister Serhiy Marchenko has said the country's healthcare spending in 2021 will grow unprecedentedly, up to 4.2% of GDP.

"Health care is our key priority given the [COVID-19] pandemic and the ongoing healthcare reform. Expenditures on healthcare will grow unprecedentedly, up to 4.2% of GDP, which is more than UAH 190 billion [US$6.8 billion] in the consolidated budget, plus UAH 57 billion [US$2 billion] [to be spent] this year," he said during the presentation of the 2021 budget draft on September 18, according to an UNIAN correspondent.

Marchenko says healthcare financing is projected to grow to 5% of GDP by 2023.

"Some UAH 123 billion [US$4.4 billion] has been envisaged to continue the implementation of the healthcare guarantees program. This is about 35 packages of medical services for the population, as well as reimbursement of medicines for over 5 million people. This amount also takes into account a 30% increase in doctors' salaries," he added.

Fight against COVID-19

According to Marchenko, the financial package related to fight against coronavirus in 2021 is estimated at UAH 19 billion (US$675.9 million). In particular, 16 billion (US$569.2 million) is envisages for medical services under the healthcare guarantee program in response to the coronavirus epidemic, UAH 2.6 billion (US$92.5 million) for the COVID-19 vaccination, and UAH 1 billion (US$35.6 million) for technical equipment in schools for distance teaching.

Key figures of the 2021 national budget

  • A 4.6% GDP growth;
  • The hryvnia's average annual rate at UAH 29.1 per U.S. dollar;
  • Revenue at almost UAH 1.1 trillion (US$39.1 billion);
  • Spending at UAH 1.35 trillion (US$46.2 billion); and
  • Budget deficit at UAH 270 billion (US$9.6 billion)

2021 Budget: background

On September 18, 2020, the Cabinet of Ministers presented the 2021 national budget draft at the Verkhovna Rada.

On September 14, 2020, Ukraine's Finance Ministry forwarded the 2021 national budget draft to the government for consideration.

On the same day, the Cabinet of Ministers supported the 2021 national budget draft submitted by the Finance Ministry.

On the evening of September 14, 2020, the draft 2021 national budget was tabled at the Verkhovna Rada.

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