The Argentine healthcare system is going through one of its most critical moments. The deregulation of the sector, combined with the constant increase in medicine prices and the lack of state intervention in the pharmaceutical sector, have created an unsustainable situation. The lack of clear and coherent public policies has exacerbated inequalities in access to healthcare, leaving much of the population without adequate coverage and further impacting an already weakened system.
The health crisis has had a devastating impact not only on the system in general but also on healthcare workers. Working conditions in hospitals and clinics have worsened, with health workers reporting a lack of medical resources and supplies, wages that do not keep pace with inflation, and growing demotivation impacting the quality of care. Likewise, the migration of doctors and nurses to other sectors or countries in search of better job opportunities is another worrying factor.
To understand the extent of this crisis it is necessary to analyze the following key aspects:
1. Participations and additional costs: Some health workers, coming from various social and prepaid works, have illegally implemented a system of co-payments and additional costs to cover the financial shortcomings of the system. This means patients have to shell out more money to access medical services that were previously fully covered. This increasingly widespread practice increases inequality in access to medical care.
2. Shortage of professionals: The shortage of doctors, nurses and specialized staff affects both patients and the sector. This shortage, partly due to precarious working conditions, the emigration of professionals to other countries in search of better opportunities and low pay; It discourages the entry of new professionals into the system and creates an overload for the few remaining professionals, impacting the quality of the service.
3. Increased Medication: Drug prices have seen significant increases that exceed inflation rates, affecting both patients and healthcare institutions. This has made essential treatments inaccessible to many, especially those without comprehensive health coverage. Additionally, pharmacies and hospitals must allocate more resources to purchasing drugs, reducing their ability to invest in other aspects of care. The lack of regulation in this sector is a critical factor in the crisis.
4. Deregulation of the system: Since the Decree of Necessity and Urgency (DNU) 70/2023, most of the country’s private healthcare companies have announced monthly increases, in many cases exceeding 40%. However, these figures are not accompanied by inflation indices or the average taxable remuneration of stable workers (RIPTE). This leads to a migration of patients, who cannot support the increases, towards the public healthcare system, worsening the crisis in the sector.
5. System overload: Argentina’s healthcare system faces chronic saturation, with institutions overwhelmed by the number of patients seeking quality medical care but unable to afford the costs of upfront payments or drug acquisition. This increase not only generates a greater cost for the public health system due to the size of the population that would participate, but also the abandonment of many treatments and medical complications for thousands of patients.
The lack of access to care, combined with the high costs of medical care, is generating growing exclusion, especially among the most vulnerable sectors. Patients face long waiting times and difficulty accessing specialists, which aggravates illnesses and reduces quality of life. This situation is generating social discontent that requires urgent solutions, while gaps in access to healthcare continue to widen.
Today, to improve the crisis that the healthcare system is going through, it is necessary to adopt some immediate measures. We propose to restructure the Mandatory Medical Plan (PMO) and create a Health Technology Evaluation Agency, to determine the cost of drugs, which for some diseases and treatments are very high. Furthermore, we propose the creation of a fund for high-cost diseases, following the example of Uruguay.
It is clear that the integration of the different parts of the system, such as the public, private and social sectors, will be fundamental to improving the efficiency of the sector and therefore the quality of life of thousands of people.
*Mario Koltan is president of Boreal Salud.
by Mario Koltan
In this note
Interview Between Time.news Editor and Dr. Amelia Sanchez, Healthcare Policy Expert
Time.news Editor (TNE): Welcome, Dr. Sanchez. Thank you for joining us today. The healthcare situation in Argentina is dire, as you’ve likely observed from recent reports. Can you paint a picture of the current crisis?
Dr. Amelia Sanchez (AS): Thank you for having me. The situation in Argentina’s healthcare system is indeed alarming. We’re witnessing a perfect storm caused by the combination of deregulation, soaring medicine prices, and an overwhelming lack of coherent public policies. This has led to significant inequalities in access to healthcare, which is leaving many people without adequate coverage, especially the most vulnerable.
TNE: It’s shocking to learn about the deterioration of conditions for healthcare workers as well. Can you elaborate on how these conditions are impacting patient care?
AS: Absolutely. Healthcare workers are at the frontline of this crisis, and they are facing deteriorating working conditions. Many report a severe lack of medical supplies and resources. To compound matters, their wages haven’t kept pace with inflation. This has caused widespread demotivation, affecting the quality of care they can provide. Moreover, we’re experiencing a troubling trend of emigration among healthcare professionals seeking better opportunities abroad, which only further exacerbates the problem.
TNE: One of the critical aspects mentioned in recent reports is the illegal system of co-payments. How does this practice affect patients?
AS: The introduction of informal co-payments and additional costs has created a more significant barrier to access for many patients. Previously, many medical services were fully covered by public health insurance, but now, patients often find themselves needing to pay out-of-pocket to receive care. This practice deepens the inequality in our system, as those who cannot afford these extra expenses are left without the medical attention they need.
TNE: The shortage of qualified professionals also seems significant. What are the broader implications of this trend?
AS: The shortage of doctors and nurses has a cascading effect on the healthcare system. With fewer professionals available, the existing staff faces overwhelming caseloads, leading to burnout and even further departures from the field. This chronic understaffing leads to longer wait times for patients and a decrease in the quality of medical care provided. It’s a vicious cycle that can ultimately jeopardize patient outcomes.
TNE: And we can’t overlook the implications of skyrocketing drug prices. How are these price hikes specifically affecting patient care and hospital operations?
AS: The dramatic increase in medication prices—often outpacing inflation—poses a significant challenge. Patients, particularly those without comprehensive health coverage, find essential medications inaccessible. For pharmacies and hospitals, rising drug costs mean allocating a larger portion of their budgets just for medicine, which in turn reduces funds available for other vital services. This scenario forces both patients and healthcare providers into a precarious situation where care quality is diminished, and essential treatments are left unaffordable.
TNE: What has been the response from the government, particularly regarding the recent deregulation under Decree 70/2023?
AS: The government’s response has, unfortunately, been insufficient. The deregulation has allowed private healthcare companies to drastically increase their charges—often over 40%—without accountability or checks in place. This has resulted in a significant migration of patients towards the public healthcare system, creating an overload that the public sector is ill-equipped to handle. Patients are finding themselves stuck between rising costs and declining access to care, which has worsened an already critical crisis.
TNE: Dr. Sanchez, what do you believe is the way forward? Is there hope for reform in the Argentine healthcare system?
AS: There is hope, but it requires decisive action. To begin with, we need the government to develop and implement coherent public policies that prioritize equitable access to quality healthcare. Engaging healthcare professionals in dialogue to improve working conditions and remuneration is essential. Additionally, regulating medication prices and improving funding for public healthcare can help alleviate some of the burdens patients face. The roadmap is complex, but the urgency cannot be overstated if we hope to restore our healthcare system to a functional state.
TNE: Thank you for sharing your insights, Dr. Sanchez. It’s clear that addressing these issues will require a collective effort from all stakeholders involved.
AS: Thank you for bringing attention to this vital issue. The future of Argentina’s healthcare system depends on how we respond now.