Autonomy for State Hospitals in the Kyrgyz Republic. Paid Services Will Increase in Price

Ирэн Орлонская Society
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A draft government resolution concerning the implementation of the presidential decree on measures to enhance the competitiveness of state medical organizations has been put forward for public discussion. The document aims to provide greater autonomy to 20 state healthcare institutions, allowing them to expand their powers in management and finance.

The Ministry of Health reports that state hospitals face a number of systemic difficulties, including low financial and managerial independence. This affects their ability to attract additional resources and implement modern management methods, leading to decreased competitiveness compared to private medical institutions. In this regard, the draft resolution proposes to test new approaches to organizing work.

According to the Ministry of Health, a methodology for setting tariffs for paid services will be developed in collaboration with the Ministry of Economy and Commerce, which will take into account mandatory benefits for socially vulnerable groups of the population.

“The new tariff-setting methodology should contribute to creating a competitive environment in medical institutions, increasing financial flows, and enhancing the motivation of medical workers to expand the range of paid medical and non-medical services. At the same time, it is expected that pricing will be fair and will consider factors such as profitability, inflation, and rising utility costs,” the Ministry of Health of Kyrgyzstan noted.

Currently, the cost of paid services in state medical institutions is significantly lower—two to three times—than in private medical centers.

Preliminary estimates suggest that prices for paid services are expected to rise by 35-50 percent; however, even after this increase, they will remain twice as cheap as in private clinics. If the testing of new mechanisms yields positive results, a phased implementation in other state medical institutions is planned. This should lead to the creation of a sustainable healthcare organization model that meets the needs of the population and ensures effective resource management,” the ministry added.

After the completion of the trial period, an analysis will be conducted, and by April 1, 2027, a report with conclusions and proposals for reforming the entire healthcare system will be presented.
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