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Health Systems in Transition - Hungary - World Health Organization ...

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60<br />

<strong>Health</strong> systems <strong>in</strong> transition <strong>Hungary</strong><br />

Office for Europe, 2011). The economic stabilization policies implemented by<br />

the government <strong>in</strong> 1995 and 1996 were cont<strong>in</strong>ued by the next adm<strong>in</strong>istration,<br />

at least with regard to the health sector.<br />

Table 3.1<br />

Trends <strong>in</strong> health expenditure <strong>in</strong> <strong>Hungary</strong>, 1995–2009<br />

1995 2000 2005 2008 2009<br />

Total expenditure on health (billions of HUF) 420 939 1831 1933 1940<br />

Total expenditure on health (billions of US$ at PPP) a 6.8 8.7 14.2 14.4 n/a<br />

Total expenditure on health, US$ per capita at PPP, WHO estimates 658 853 1411 1495.5 1510.7<br />

Total expenditure on health as % of GDP 7.3 7.0 8.3 7.2 7.4<br />

Public expenditure on health as % of total expenditure on health 84.0 70.7 72.3 71.0 69.7<br />

Private expenditure on health as % of total expenditure on health 16.0 29.3 27.7 29.0 30.3<br />

Public expenditure on health as % of total government spend<strong>in</strong>g a 11.3 10.6 12.0 10.5 n/a<br />

Public expenditure on health as % of GDP 6.1 5.0 6.0 5.1 5.2<br />

Private expenditure on health as % of GDP 1.2 2.1 2.3 2.1 2.3<br />

Out-of-pocket payments as % of total expenditure on health 16.0 26.3 23.8 23.8 23.7<br />

Out-of-pocket payments as % of private expenditure on health 100.0 89.8 85.9 82.1 78.2<br />

Out-of-pocket payments as % of GDP 1.2 1.8 2.0 1.7 1.8<br />

Spend<strong>in</strong>g through voluntary health <strong>in</strong>surance as % of total expenditure<br />

on health<br />

0.0 0.2 1.1 2.2 2.7<br />

Spend<strong>in</strong>g through voluntary health <strong>in</strong>surance as % of private<br />

expenditure on health<br />

0.0 0.6 4.1 7.4 7.4<br />

Spend<strong>in</strong>g through voluntary health <strong>in</strong>surance as % of total expenditure<br />

on health<br />

– 0.2 1.1 2.1 2.7<br />

Spend<strong>in</strong>g through voluntary health <strong>in</strong>surance as % of private<br />

expenditure on health<br />

– 0.6 4.1 7.4 7.4<br />

Sources: OECD (2011); a WHO Regional Office for Europe.<br />

Due to a large <strong>in</strong>crease <strong>in</strong> public sector wages <strong>in</strong> 2002, public expenditure<br />

on health <strong>in</strong>creased as well, peak<strong>in</strong>g for the second time s<strong>in</strong>ce 1994 at around<br />

6.0% of GDP between 2003 and 2005 (WHO Regional Office for Europe,<br />

2011). However, austerity measures aim<strong>in</strong>g to meet the f<strong>in</strong>ancial criteria for<br />

<strong>in</strong>troduc<strong>in</strong>g the euro <strong>in</strong> <strong>Hungary</strong> substantially reduced public spend<strong>in</strong>g on<br />

health, as did a spate of additional cost-conta<strong>in</strong>ment measures taken <strong>in</strong> the wake<br />

of the global economic crisis, which hit <strong>Hungary</strong> with full force <strong>in</strong> the autumn<br />

of 2008. In late 2010, the macroeconomic climate was still unfavourable, and<br />

the government had little choice but to observe the deficit target set by the<br />

EU and the IMF, both of which appear to have taken a hard l<strong>in</strong>e as a result<br />

of the f<strong>in</strong>ancial crisis <strong>in</strong> several EU countries. Substantial <strong>in</strong>creases <strong>in</strong> public<br />

spend<strong>in</strong>g on health should therefore not be expected <strong>in</strong> the near future, despite<br />

government declarations to the contrary (Government of the Republic of<br />

<strong>Hungary</strong>, 2010a).

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