‘40% of health resources wasted due to inefficiency’

USAID-HFG's Health Finance Advisor, Dr Ngozi Okoronkwo making her presentation during the workshop

At least 20-40 per cent of resources meant for healthcare delivery are usually wasted due to inefficiency on the part of people saddled with the responsibility of managing the resources.

The Health Finance Advisor of United States Agency for International Development – Health Finance Governance (USAID – HFG) project, Dr Ngozi Okoronkwo, said this at a 3-day intensive training for officials of Osun and Abia states on operationalization of their health insurance schemes.

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The training which took place in Ibadan, Oyo state has the top officials and key staff of Osun Health Insurance Scheme (O’HIS) and Abia State Social Health insurance Agency in attendance.

Quoting the Whole Health Organization (WHO), Ngozi said resources allocated for health sector are often wastes. She urged healthcare managers to be prudent in handling health funds.

In her presentation focusing on Health Financing Functions, Ngozi spoke on key principles of social health insurance in developing economy.

She highlighted the ongoing health financing reforms in Nigeria and told the participants about the techniques of raising revenue for health, the need to understand the concept of risk pooling and ensuring strategic purchasing of health services.

The Chief of Party of USAID – HFG project, Dr Gafar Alawode, in his presentations spoke extensively on “health financing within the overall health system” and “understanding the concept of universal health coverage”.

He expressed worry that Nigeria has not attained the expected level in spite of its status as the giant of Africa. He said health insurance scheme is a necessary mechanism to achieve the universal health coverage.

He also noted that if the citizens pay tax appropriately and government utilize the money judiciously, more fund should go to the health sector and the healthcare delivery will improve.

Alawode charged the Osun Health Insurance Scheme (O’HIS) and Abia State Social Health insurance Agency (Abia SHIA) to ensure that the schemes cover majority of the people, particularly the rural dwellers and the downtrodden.

The USAID – HFG Programme Coordinator in Osun State, Mr Ismailah Abdulkareem said the training was organized to deepen the knowledge and understanding of the participants on health financing concepts and health insurance operations.

According to him, “this workshop was organised to identity all required design element for effective implementation of Osun Health Insurance Scheme (O’HIS) and Abia State Social Health insurance Agency (Abia SHIA) and to acquaint all management staff with operation requirements and guidelines.”

He added “It is also intended to develop a comprehensive action plan for operationalization of Osun and Abia states health insurance schemes.”

“With this workshop, we hope to acquaint the management and staff of the Osun and Abia states health insurance schemes with designated organizational design and relevant rules, regulations, norms and practices of the health insurance agency,” Abdulkareem.

The Executive Secretary of Osun Health Insurance Scheme (O’HIS), Dr Niyi Oginni and his Abia state counterpart, Dr Chidi Ubani commended USAID – HFG for organising the workshop and assured that the lessons learnt would be applied in their respective state so as to achieve the goal.