Amidst a global landscape marked by inflation and fiscal adjustments, Saudi Arabia has indicated a reduction in health and social care development spending for the year 2024, with the overall allocation being set at SAR214 billion—down 14.5% from the 2023 estimate. However, the 2024 budget will still surpass the initial budget of SAR189 billion set for 2023. The increased spending for 2023 was stimulated by higher-than-anticipated social spending, designed to protect the populace from international price hikes, and by sustained investment in healthcare projects aligned with Vision 2030, which remains the government’s overarching strategic desire. The Ministry of Finance aims to balance fiscal responsibility with continued expansion in health services, focusing on enhancing service quality, expanding capacity, and bolstering preventative care. Key projects announced for 2024 include the development of workforce capabilities, the establishment of a National Health Emergency Operation Center, and the construction of hospitals to increase total bed capacity. Saudi Arabia’s commitment to healthcare reform was further evidenced by the rollout of a unified electronic health record system (Nphies) and plans to introduce a state-funded insurance program for citizens by 2026. Private sector investment in healthcare is set to burgeon, impelled by a growing expatriate community and tourists’ health needs. The government is keen on fostering public-private partnerships, with the Health Minister predicting a five-fold surge in private health insurance. This signals a strategic orientation toward augmenting private healthcare provisioning, reflecting concerted efforts to maintain health sector vitality and achieve the ambitious targets of Vision 2030.
“Healthcare”, “Insurance”, “Information Technology”,”Saudi Arabia”
https://www.fitchsolutions.com/bmi/infrastructure/saudi-arabia-will-continue-prioritise-healthcare-despite-reduced-2024-budget-17-01-2024