DOCTORS MAIN BENEFICIARIES AS HEALTHCARE SPENDING IN ARMENIA TO INCREASE OVER 21% Y/Y IN 2008
by: Mitra Thompson

Global Insight
November 1, 2007

Armenia’s public healthcare budget for 2008 has been set at 54 billion
dram ($166US.1 million), representing an increase of 9.5 billion dram
or 21.3% year-on-year (y/y). Of this, the budget for primary care rose
by 14.5% y/y to reach 19 billion dram, while hospitals saw a 20.4%
y/y increase in funding to 19.8 billion dram.

The largest increase in any area of the budget, however, was in
salaries for healthcare workers, particularly doctors working in
out-patient clinics, who will see a 19.9% y/y increase in monthly
pay. According to the ARKA news agency, Armenia’s First Deputy
Minister of Finance and the Economy, Pavel Safaryan, said that the
country was gradually putting more emphasis on out-patient clinics
in order to shift the burden from Armenia’s ageing hospitals.

Significance:It is hoped that increasing the salaries of general
practitioners (GPs) and other healthcare workers, the trend of doctors
charging patients for supposedly free services will be reduced (see
Armenia: 10 February 2007: ). At just 77,000 dram ($237US) per month,
however, the latest pay rise will still see Armenian doctors earn
well below those in neighbouring Georgia or Turkey. The pressure on
Armenia’s healthcare system is only set to increase as the country’s
new health reform will see an increase in staff and facilities over
the next five years, largely relying on funding from the World Bank
(see Armenia: 17 October 2007:).

From: Emil Lazarian | Ararat NewsPress