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A new South Africa health law aims at deep inequality, but critics say they’ll challenge it

August 21, 2023

2 minutes read

South Africa’s unprecedented new coalition has 7 parties in the Cabinet. Here’s a breakdown

On Wednesday, South African President Cyril Ramaphosa enacted a significant new law designed to transform the country’s healthcare system and tackle longstanding inequalities. This legislation introduces a National Health Insurance (NHI) scheme, which aims to ensure that all South Africans can access private healthcare services. Currently, 80% of the population relies on overstretched public healthcare facilities, while only about 16% have access to private care through medical aid plans.

With the national unemployment rate at 32.9%, many South Africans, particularly within the Black majority, find it difficult to afford private healthcare. Public health facilities are often burdened by long waiting times and a shortage of essential medications.

Ramaphosa emphasized that the NHI seeks to provide quality healthcare for everyone and create a more integrated health system. He stated, “At its core, the National Health Insurance represents a pledge to eliminate the stark inequalities that have historically dictated who receives adequate healthcare and who faces neglect.”

However, the law is not without controversy. Opposition parties have accused Ramaphosa of leveraging the announcement for political gain, as it comes just weeks before crucial elections. The May 29 vote is anticipated to be one of the most competitive in recent history, with the ruling African National Congress (ANC) potentially facing its first election outcome of less than 50% since it took power in 1994.

Concerns regarding the financial sustainability of the NHI have also been voiced, particularly regarding the possibility of tax increases required to fund the initiative.

In response to these challenges, the official opposition, the Democratic Alliance (DA), announced plans to legally contest the new law. Additionally, the civil rights organization AfriForum is preparing to challenge the law’s constitutionality, and various business groups have labeled it as impractical and financially unfeasible.

The Health Funders Association, representing stakeholders involved in the private healthcare funding sector, noted that significant time would be needed before the NHI is fully implemented, highlighting ongoing concerns about the bill’s viability.

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