FG Won’t Compromise Health Sector Spending in 2019 – Udo Udoma
BY COBHAM NSA, ABUJA – The Minister of Budget and National Planning, Senator Udoma Udo Udoma says the Federal Government will not compromise its spending on quality health care delivery for Nigerians going forward.
The Minister however said government also demands that there must be tangible proofs to show value for money in the increasing budgetary funding to the healthcare sector.
He said constrained fiscal space notwithstanding, the President Muhammadu Buhari-led administration is committed to deliver accessible, affordable and quality health services to the citizenry.
Speaking at the Value for Money in Health Sector Spending Workshop in Abuja on Tuesday, Senator Udoma said the government is also determined to improve the country’s mortality rate that currently rank among the lowest globally.
He explained that the nation’s dwindling revenue due to falling oil price and disruption of crude production activities in the Niger Delta have negatively impacted on government expenditure profile and its ability to deploy resources to competing sectors of the economy.
The Minister stated that; “The present administration came in to meet a very constrained fiscal space. Revenue dropped from N10.07 trillion in 2014 fiscal year to as low as N5.68 trillion in 2016. Even though it recovered somewhat to N7.17 trillion and N9.17 trillion in 2019 and 2018, it is still low compared to the amount in 2014.”
He noted that Nigeria’s transition from the class of a poor country to the status of a developing economy has further compounded matters with donor funding currently witnessing a worrying downward slide
According to him, despite government’s constricted income inflow, it has become imperative to increase health sector spending, especially using the Public-Private Partnership model with collaborative efforts among governments at all levels.
He said the Federal Government, in partnership with sub-national governments, must work hands in gloves to maximize value for all resources allocated to the nation’s health sector.
In his goodwill message, Minister of Health, Profesor Isaac Adewole said governments at all levels must continuously think out of the box and collaborate in finding innovative financing methods, including new and improved tax regimes, to effectively fund healthcare activities in the country.
Represented by Director of Planning, Research and Statistics in the Ministry at the event, Prof Adewole said improved outcomes and universal health coverage must be parts of the visible benefits derivable from increasing resource investments in the country’s healthcare sector
Making a presentation on ‘Re-prioritizing Health in the National Budget’, Director General, Budget Office of the Federation Mr Ben Akabueze said the federal government has earmarked about N43.5 billion in the 2019 Appropriation for routine immunization programme in the country.
He said up-scaling allocation to primary health care has become key in enhancing health care services to Nigerians, especially at the grassroots level, and canvassed equity in the allocation of funds to different areas in the sector.
The Director General also said that with Nigeria operating a deficit budget, it becomes increasingly difficult for the country to further borrow towards projects’ financing in the health sector
Mr Akabueze, who said the development has indeed placed constraint on Nigeria’s borrowing capacity, noted that things would change significantly for the better if the country seeks inventive ways of attracting funding sources to the health sector.
