National Health Budget Fails to Address the R6 Billion Shortfall

Western Cape Health Minister, Theuns Botha praised the National Minister of Health for the objectives and priorities set out in the national health budget yesterday, but criticised the Minister for failing to give enough detail on budgets allocated to the various projects.

Said Botha, Broadly, we support the Ministers ten point programme. The notable exception to that support is our position on National Health Insurance, because we believe alternative ways and means should be researched to strengthen the delivery of health services throughout the country.

The crucial weakness of the budget speech was that no light was shed on the tactics that must be implemented to address the estimated shortfall of almost R6 billion, which is more than double that of the previous financial year. In fact, with the gross underestimation of the Occupational Specific Dispensation, the real health deficit is a guessing game, said Botha.

The overspending of the other eight 8 provinces amounted to an estimated R7 billion - Kwa-Zulu Natal (KZN) R2.3 billion, Gauteng R1.75 billion, Eastern Cape R1.6 billion. It has become standard procedure for the provinces not to pay their accruals, leaving them in huge arrears with creditors.

The goals and objectives as set out in yesterdays budget speech remain only concepts if specific amounts and tight financial control and strict fiscal discipline to manage and pay back these shortfalls, are not built into the implementation, said Botha.

However, Botha thanked National Health Minister, Dr Aaron Motsoaledi for the strong leadership he has shown in the past year particularly with the stricter management of health facilities throughout the country.

Statement by:
Theuns Botha
Western Cape Minister of Health