Annual Report 2010 - Ministry of Finance and Planning

1 | DEVELOPMENT PERSPECTIVESHealth - Towards a Quality LifeOverviewThe Government is to foster a healthypopulation through provision ofcomprehensive health services thatare of high quality at a time whenthe country is moving towards amiddle income country. As stipulatedin Mahinda Chintana – Vision for theFuture, the Government enhanced thephysical and technical infrastructureof the health service and broughtpositive attitudinal changes to providean accessible network of supportive,preventive and curative health servicesto the entire population. The actualexpenditure on these services grewfrom Rs. 46 billion in 2005 toRs. 77 billion in 2010 recording a 67percent increase at both national andprovincial levels.The expenditure on health is stillpredominantly provided by the publicsector although the private sectoractivities have expanded. Governmentfunds on health exclusively comefrom government revenue and donorfinancing arrangements. A majorshare of public expenditure on healthwas on recurrent expenditure whilespending 17 percent on developmentexpenditure in 2010.Investment in HealthCapital expenditure on health hasincreased by 43 percent from 2005to 2010 channeling more funds onhospital development. On average,the foreign funding component onhealth development projects wasabout 33 percent of total health sectorinvestment, reflecting that a dominantshare was from domestic funds in2010. Neuro Trauma Unit at NationalHospital Colombo, Improvementof Curative Health Care Services atGeneral Hospital Anuradhapura, Supplyof Essential Medical Equipment forTeaching Hospital Kurunegala, Stage Iof Korea-Sri Lanka Friendship Hospitalat Matara-Godagama are some of thekey projects completed with foreignassistance during 2010. However,committed foreign funds on someprojects have not been utilized dueto procedural delays by implementingagencies.Chart 1.38 > Expenditure on Heath 2005-2010Chart 1.39 > Expenditure by Government and Provincial Councils808070706060Rs. billion50403037 44 50 55 59 64Rs. billion50403020109 11 12 11 10 13201002005 2006 2007 2008 2009 201002005 2006 2007 2008 2009 2010CapitalRecurrentProvincialNationalSource: Department of National BudgetSource: Department of National Budget78