The free user policy in Zimbabwe’s public hospitals has led to a government debt of ZWL$11.3 billion, severely impacting service delivery. This alarming figure was highlighted in the latest Auditor General’s report, which revealed the financial strain on several healthcare institutions.
Mounting Debt and Service Delivery Challenges
Acting Auditor-General Rheah Kujinga disclosed that as of December 31, 2023, the Health Ministry owed ZWL$11,314,021,087 to various institutions for services provided under the government health facility. The report indicated that the actual amount could be higher. This is due to the fact that Parirenyatwa and Chitungwiza hospitals reported an additional ZWL$4,980,182,328 in understated creditors.
“Failure by the ministry to pay outstanding amounts owed might impact negatively on the service delivery by the institutions,” the report warned. Kujinga recommended that management prioritize the payment of these bills to prevent crippling hospital operations.
Strain on Resources and Hospital Operations
The Health Ministry acknowledged the issue, stating that efforts are being made to manage the situation with the available resources. However, the budget was exhausted before the end of the year, leaving hospitals in a precarious financial position.
Parirenyatwa Hospital recently informed parliamentarians about the adverse effects of the free medical services policy on service delivery. The hospital’s finance director, Mercy Sanzira, highlighted that the hospital is struggling to sustain itself due to a lack of funding from the Treasury. Consequently, the hospital is in significant debt from sourcing medicines and services for patients who do not pay.
As of May 2024, Parirenyatwa Hospital had not received any reimbursements for mental health patients. The hospital, which has a 238-bed capacity, often resorts to floor beds to accommodate the influx of patients under the free user policy. This policy extends to under-five children, who receive free admission, food, medicines, radiology, laboratory, and theater services, among other necessities.
Urgent Need for Financial Solutions
The report underscores the critical need for the Health Ministry to address the financial obligations to maintain hospital operations. The debt accumulation is a significant risk to the sustainability of healthcare services in the country. Hospitals are overburdened and underfunded, compromising the quality of care provided to patients.
The government’s commitment to free healthcare is laudable, but without efficient financial management, the policy’s sustainability is in question. The Auditor-General’s report calls for immediate action to ensure that hospitals receive the necessary support to continue offering essential services.
Source: New Zimbabwe