Ministry aiming for state health autonomy by 2026
An action plan to ensure state health services (Okypy) are autonomous by 2026 will be submitted to Cabinet imminently, aiming to increase Okypy’s income and reduce its expenses.
The projected total expenditures for 2025 amount to €1.36 billion, of which €10.65 million concern new developments, according to Health Minister Michalis Damianos.
Total revenues amount to €344m he said presenting his ministry’s budget before the House finance committee where he delved into the details.
Despite the plan for autonomy by 2026, Damianos conceded there was a possibility that state hospitals would continue to receive government support even after 2027.
Responding to questions by MPs, he said that although the government’s goal is to support public hospitals, this did not mean it would continue to pour in money to make up for any deficits.
“For the state to come in and support Okypy financially, Okypy must upgrade its services and reduce its costs where it can.”
During the session, the minister stressed the quality of Gesy’s services need to be improved. The budget reflects the ministry’s “commitment to continuously upgrade healthcare as well as citizens’ quality of life”.
He told MPs the largest share of the health ministry’s spending at 56.5 per cent is the government’s contribution to Gesy which amounts to €768.8m, marking an almost €82m increase compared to 2024.
This is a consequence of the economy’s positive growth rate, Damianos said.
Wages for staff and officials amount to 26 per cent of the budget at €354m and the budget allocates €50m for medicine and vaccine purchases.
According to the minister, the budget entails a grant to Okypy until May 2025 amounting to €12m, as well as €61m allocated to Okypy for its public health services.
Damianos said the ministry’s goals include restructuring the health system, upgrading e-health, strengthening its presence both across the EU and at international level, as well as disease prevention.
Promoting health, training, research, innovation and technological advancements are also some of the ministry’s goals, he specified.
Damianos added that the health ministry’s role has changed to go from health service provider, to an oversight body establishing policies.