The opposition National Democratic Congress (NDC) has accused government of diverting ¢1 billion of the National Health Insurance Scheme (NHIS) funds into projects outside its mandate.
The opposition National Democratic Congress (NDC) has accused government of diverting ¢1 billion of the National Health Insurance Scheme (NHIS) funds into projects outside its mandate.
The opposition National Democratic Congress (NDC) has accused government of diverting ¢1 billion of the National Health Insurance Scheme (NHIS) funds into projects outside its mandate.
a
NDC
A MOMENT OF TRUTH SERIES PRESS CONFERENCE ADDRESSED BY THE
NATIONAL COMMUNICATION OFFICER OF THE NDC ON MONDAY, ISTH APRIL,
2019.
“THE NATIONAL 1
ADDO GOVERNMEN
EALTI INSURANCE SCHEME I$ FAST COLLAPSING UNDER THE AKUFO-
INTRODUCTION
Good afternoon ladies and gentlemen ot the press. On behalf of the National Demoeratie Congress, 1 thank-you for
your presence wilh us here today
This is our third edition of the Moment of Truth Series. These regular cr smenls afford us an epporlumily lo
undertake a critical assessment of the Akufe-Addo administration in all fucets of governance, The imperative to de
this assessment is to cnabls us separate hard fnets from fiction and cuphonious rhetoric from practical solutions to
help Ghanaians appreciate the naked truth re ative to how the Akufo-Addo sovernmencis mismanaging the affairs of
the country
Ladigs and gentlemen, today's engagement “duses en the state of the National Healtit Insurance Schome under the
watch of President Akufn-Addo, Contrary 1 the flowery and rosy picuure that President Akufs-Addo continues to
paint at every given oppemunity about the bealth of the NHIS, the fact is thae, the NHIS is on the verze of collapse
INDEBTEDNI
OF THE SCHEME,
Ladies end gentlemen. recently in his State of the Nation Adelress and while on a tour of the United States of America,
President Akulo-Addo peddled blatant untiuth when he claimed that the NIUS is “huoyant and has come back 10
life”, The truth of the matter is that, the NELS, very known to the President, is in # deplorable state ond gasping for
liquidity bieath, Curreilly, the NTIS owes service providers in all the sisteen regions of Ghana claiins covering a
period of almost twelve (12) months. This has landed most health caze facilities in distress.
For instance, the Daily Graphic reported on'l hursday, 28th March, 2U19 chat the Central ewional Hospital is on its
knees beyuting to be paid an amount of GHg6.1 million owed tu it by the Scheme, in order to settle its indebtedness
to suppliers of critical daugs and medical consumables. ‘his is just one example ef hav eur bealth facilities are being
crippled as a result of the huge ind cbtedness of the NHIS to service providers
Ladies and gentlemen, we have also taken note of persistent clainis by President Akufo-Addo that his government
has cleared a total of GH¢1.2 Billion NHL arrears it inherited from che erstwhile Mahama gavernmenc. We wish to
state without any equivoeation that, this elaim is mischievous and not borne out by the facts, After the Association of
Private Clinics and uhe leadership af Government llaspials disputed this claim, one would have thought that the
President will desist from pedclling this clvvious deception, However, it appears President Akufe-Addo is determined
to deceive the nation ay far as this matier is concerned. Indisputable evidence contained in the 2017 NHIS Fund
Allocation Formula presented to the august house of Parliament hy the Minister of Health shows that, total arrears of
NEI claims stood at GH¢125.79 million asa: December 2016. This completely belics the claims of President Aluto-
Addo and exposes him as a very dishonest
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LOSS OF CONFIDENCE IN THE SCHEME
Ladies and genclemen, the nose-diving forunes of the NHIS manifests itself in the continucas decline in active
membership af Une scheme in the last (wo (21 years, This Tact is supported by the Fulloering statistics
DECLINE IN ACTIVE MEMBERSHIP
Tatte 1
YEAR ACTIVE MEMBERSHIP % OF NATIONAL COVERAGE
2016 10-786 million people 39
3017 16.432 million people 7
2018, 16 410 million people 38
Ladigs and gentlgmen, thy above statistics depict the devlining yonlidemee of Ghanaiang in the National Healthy
Insutance Scheme and expose their stiails thal the scheme has been plunged inloby the Akuly-Adde government
INCREASING EXPENDITURE ON COMPENSATION
Ironically, while there is a clear decreasing :rend in active membership in the scheme, compensation to staff of the
National Health Insurance Authority (NHTAL is increasing astronomically as shown in the teblebelaw
Teebte 2
YEAR COMPENSATION PAID (IN Ge}
2016 115 milion’
2017 132 million
2018 168 million
2019) 211.78 million
Ladies and gentlemen, the above sharp increases in compensation are symptomatic of the general altide of the
Abufo-Addo government when it comes <0 consumption expenditure. This administration wastes no time in
expending aur scarce rescutees an themacives in the form of jobs fer the boys, at the expense ol the sullering
Ghanaians who vated foe them.
DECLINING RELEASES TO THE NHEFUND.
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Ladies and gentlemen, another worrying trend we have observed is the fact that aemual government releases to the
National Health Insurance Furd (NIM Furl} have declitied considetably, whilst al the same lime, goverament
continues to collect more revenue in the narre of the NHIS. These facis are illustzated helow
table 3
YEAR ACTUAL AMOUNT RELEASED TO NHI FUND (GHz)
2016 742.11 million
2017 660,40 million
2018 506.80 million
MISAPPLICATION OF NHI FUNDS,
Ladies and gentlemen, it worthy of note, that even though hest practice dictates the use of 75% to 80% of accrued
funds to finance the scheme. the Akufe-Adco woverument is currently utilizing only 60.61% of NHT accrued funds
for their intended purpose, This points w the misapplication of NIII funds by the Akuly-Addogovernment, and we
can speak af several of such instances. For example, in 2078, about GiH€163 million of NHI funds were used to pay
nursing trainee allowance, While the schems continues lo strugule. ere {hart G11E300 million has lween projected bo
he spent on IC'Tand another (1 1g5 million is being devoted Lo Corporate Social Responsibility (CSR) in 2019. This
isa complete abemation from the core objevtive of the fund
The wanton misapplication of NEO funds stems largely dtom the cupping policy introduced by the Akuto-Addo
government through which aver the last two years, more than One billion Ghana Cedis of NHI finds have been
diverted for projects which arc unrelated to the core objects of the scheme.
Also, our cheeks have also revealed thst, while the scheme remains cash strapped, Government is in the process of
outsourcing claims management to a private fiem with implications of more cost to the already burdened scheme.
Friends from the media, these stark realities have resulted in the dwindling fortunes of the NIIIS, hence its inability
to address the crucial health needs of Ghansisns. We think that these acts of mismanagement of the NHIS must be
immediately reversed to gave the scheme [rem Loual collapse,
Let me state that all the above statistics are comained in the 2019 Annual Allocation formula and other documents
presented by the NHIA to the Health Committee of Parliament
SCANDALOUS REVELATIONS
Ladies and gentlemen, we have alroady demonstrated to you enough evidence of the wanton misapplication of NHI
Funds by the Akufo- Addo gavermment, whichis fist precipitating the demise of the scheme. Bu., perhaps even more:
egregious are certain scandals we have uncovered, which have conspired with the above to cripple the scheme.
Gur painstaking investigations have revealed that upen President Akufo-Addo assuming office, the National Healch
Insurance Authority withoubany due diligerce and with mdgcent haste, translerred # whopping Seventcen Million,
Five Hundeed and Ferty-Eight ‘Thousand, ‘Three-hundred and Seventy-seven Ghana Cedis, and twenty pesewas
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