Flagbearer of the National Democratic Congress (NDC), John Dramani Mahama, says he will scrap the Earmarked Funds Capping and Realignment Bill, 2017, introduced by the Finance Minister in Parliament.
His statement follows the enactment of the Earmarked Funds Capping and Realignment Bill, 2017 (Act 947), introduced by Ken Ofori-Atta to free up public funds in the Ministries, Departments, and Agencies (MDAs) for various purposes in 2017.
The legislation mandates that earmarked funds for each financial year should amount to 25 percent of revenue.
However, Mahama argues that this approach hampers the National Health Insurance Authority’s (NHIA) ability to settle arrears owed to hospitals relying on the National Health Insurance.
During a breakfast meeting with the Clergy and faith-based organizations in the Eastern regional capital, John Dramani Mahama emphasized that the removal of this bill would generate additional funds for the NHIA.
This, in turn, could alleviate the challenges faced by hospitals treating NHIS cardholders, plagued by delayed government payments.
“Treating NHIS cardholders is challenging as the government delays payments, leading hospitals to struggle. Many hospitals can’t provide medicines, forcing individuals to seek them elsewhere due to budget constraints.”
The predicament intensifies as many hospitals find themselves unable to provide essential medicines, compelling individuals to seek alternatives due to budget constraints.
Mahama attributes this struggle to the Minister of Finance’s introduction of the capping and realignment law, which restricts funds designated for statutory purposes.
In the event of the NDC assuming power, Mahama vows to dismantle this law, ensuring that NHIS budget funds flow directly into the fund.
“If in power, we aim to abolish this law, ensuring NHIS budget funds directly contribute to the fund, enabling adequate payments for hospital claims.”
This strategic move aims to empower the NHIA, enabling it to make sufficient payments for hospitals’ outstanding claims, ultimately transforming the landscape of healthcare funding in the country.
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