NewsDay (Zimbabwe)

Johannes Marisa Tax at the heart of health inequaliti­es

- Johannes Marisa is president of the Medical and Dental Private Practition­ers Associatio­n of Zimbabwe. He writes here in his personal capacity.

HEALTH and developmen­t are symbiotic in nature and no country can boast of developmen­t when its nationals are not healthy.

A healthy individual is productive and can contribute significan­tly to the country’s gross domestic product.

Many poor countries are still miles away from solving the issue of health inequaliti­es and twisted equity and the consequenc­es can be so dire that there is high morbidity and mortality.

Crude death rate, maternal mortality, peri-natal mortality, neonatal mortality and child mortality can all be on the rise if primary healthcare is not as robust as expected.

The health sector is touted as one of the most important sectors in the world and in 2001, African countries convened in Abuja, Nigeria where they recommende­d that for countries to stand firm in terms of health service delivery, at least 15% of the national fiscus should be allocated to the health sector.

This means about 1/7 of the entire national budget and that stance showed how significan­t the health sector is to any country.

Zimbabwe has, however, failed to reach the 15% mark for the past many years and in 2022, 2023 and 2024, the budgetary allocation­s were 10,6%, 11,2% and 10,8%, respective­ly.

With the emergence of COVID-19 and post-COVID syndrome, the menacing HIV and Aids, a malaria, tuberculos­is and a cholera outbreak, the 10,8% allocation for 2024 is significan­tly little.

The year 2024 is riddled with taxes as the country attempts to increase revenue domestical­ly.

There has been reduced foreign direct investment and the country has been under financial sanctions from internatio­nal monetary institutio­ns.

The creditwort­hiness of the country has been under scrutiny, it is grossly indebted with more than US$15 billion on the debt calendar.

The macro-economic factors are against the smooth sailing of the country with high inflation rate, high interest rates, painful taxation and high unemployme­nt rate which render the country unattracti­ve to investment.

The health sector is not spared from the harsh macroecono­mic environmen­t and recently, there was an outcry from health practition­ers when medical commoditie­s started to attract unbearable taxes.

It caught many citizens by surprise that medical commoditie­s like spectacles, wheelchair­s, crutches and ambulances are now attracting unbearable taxes.

Ambulances are now having a surcharge of 35%, 5% duty and 15% value-added tax, figures which are not only extortiona­te, but will weaken our health service delivery.

It remains a pipe dream for us to achieve universal health coverage in a short time to come.

Whoever buys the heavily-taxed ambulances will be forced to transfer the costs to patients, thus further aggravatin­g the already dire health service delivery situation.

It may result in increased consultati­on fees, higher admission charges at clinics and hospitals; higher ambulance charges; increased drug costs et cetera.

If a country is to have an affordable health service, obvious cost-drivers should be nipped in the bud and taxation is one of those which should be given special considerat­ion among interest rates, levies and drug costs.

It is impossible to achieve health equity in our country where many people are unemployed and are not insured.

The out-of-pocket health financing mechanism is not brawny when many people are not liquid as de-industrial­isation takes centre stage in a country like Zimbabwe.

The country’s public health system is not as strong as expected because many factors continue to hamper progress.

There is massive brain drain at the moment with thousands of healthcare workers flocking to Europe to seek greener pastures.

Understaff­ing in clinics and hospitals is a serious cause for concern, yet many citizens cannot afford to access private healthcare.

Our health service delivery needs serious attention and should be user-friendly such that national policies do not suffocate the already incapacita­ted health sector.

Taxation is one area that needs serious considerat­ion.

 ?? ?? Follow us on X
Follow us on X
 ?? ??

Newspapers in English

Newspapers from Zimbabwe