On Tuesday, the 20th of June Latvia’s government supported the decision to allocate an additional EUR 140 million towards the healthcare sector.
The Ministry of Finance compiled information and submitted a report to the government on the distribution of funding to the healthcare sector in 2023. The agreed amount is EUR 140 million.
In order to implement the objective listed in the prime minister’s resolution,
Minister of Finance Arvils Ašeradens has met with ministers and they have agreed on the distribution of funding in order to finance immediate functions.
By distributing finances from the state budget, ministries and other institutions of the central government will participate in the financing of immediate healthcare functions this year in order to help increase the healthcare budget to 12% of the total state budget expenditures.
Healthcare sector’s expenditures in 2023, together with additional funding, will reach 12.3% of the state consolidated budget, according to representatives of the Ministry of Finance.
Considering international practice, as well as unified conditions, the government decided to review expenditures of various ministries and other state institutions. As a result of this restructuring, it was possible to distribute EUR 57 036 910 from various ministries for the needs of the Ministry of Health.
Minister of Health Līga Meņģelsone mentioned at the Tuesday, 20th of June, meeting of the government that EUR 17.3 million from the EUR 57 million provided by various ministries will be used to cover the deficit of daycare services,
EUR 17.5 million will be diverted towards compensated medicines and medical equipment for patients, EUR 15.7 million will be diverted towards various hospital needs, EUR 4.3 million will go to child dentistry, and EUR 2.2 million will go to general practitioners.
Minister of Education and Science Anda Čakša said that the education sector “has done some painful cuts”, and the healthcare sector should use the acquired money very responsibly. She invited her colleague to make sure each euro is used to benefit residents.
Aside from the additional funding to be provided by various ministries, if need be an additional EUR 20 million could be provided from the state budget for emergencies. It is also planned to divert savings (approximate estimate at EUR 30.8 million) towards the needs of the healthcare sector before the end of the year.
In accordance with the Law on Budget and Financial Management, this year the minister of finance is authorised to increase the appropriation provided for in the State Budget Law for contingency funds for the prevention of emergencies and crises. This increase may not exceed 0.05% of the volume of the forecast of gross domestic product laid down in the State Budget Law (currently it is EUR 21.3 million). As a result, an additional EUR 140 million will be provided to the health sector by the end of this year.
Also read: Latvian doctors generally satisfied with government’s decision to provide additional funding