‘No control’ over health sector oligopoly
Health Minister Michalis Damianos expressed his concern on Monday over the risks of an oligopoly in the health sector, as private hospitals are being bought up by a limited number of private concerns.
Speaking at the House finance committee during a session on the state budget, he said the Health Insurance Organisation (HIO) has expressed its concern, but the ministry has no control over the matter if the competition authority approves the buyouts.
“We are concerned but there is nothing we can do.”
Intervening in the competition authority’s work would be illegal, he stipulated.
Damianos’ stance did not sit well with opposition Akel, with MP Marina Nikolaou expressing this was not a satisfactory response.
“The health minister is duty-bound to have a political stance, this government should have a political view over everything happening in the country’s health sector.”
Health committee chairman and Disy MP Efthymios Diplaros said “competition is what will reap better results.”
In his own statements, he said a specific fund owns around 250 hospital beds, out of the 3000 the HIO compensates for.
Whether they are public hospital or private, they should be making profits so as to offer better services to the public.
“It’s not always a negative, that certain organisations are active in the health sector, which have been very successful abroad, provided they upgrade services available to patients.”
Diko MP Panicos Leonidou said his party would put its foot down and refuse to allow public hospitals to be privatised.
A discussion needs to be held over the weakness of Gesy to avoid abuses and issues between the private and public health sectors he said.
Last year, Politis cited health ministry figures revealing investments in the health sector had doubled in a two-year span.
Its report raised fears over the private health sector transforming into a monopoly held by foreign interests.