Johannesburg - Medical costs in South Africa are up to five
times higher than those in other nations, Business Report reported on Thursday.
Department of Health head of pricing Anban Pillay said the
cost of hospitalisation for maternity was $3 000 (R24 605) while the average
cost in Organisation for Economic Cooperation and Development (OECD)
countries, comprising mostly developed nations, was $2 750 (R22 554), the paper
However, when the cost was adjusted for purchasing power,
other countries only paid about $500 (R4 100).
Pillay said the purchasing power estimate was based on the
entire South African population's affordability levels.
However, even if it was adjusted to include only those with
medical schemes, it would still not come close to the average of OECD
"Clearly, the prices in South Africa are much higher
than the affordability level," Pillay said. "Even if you adjust it to
the wealthiest person in the country, it will still be higher."
He said private sector pricing could be reformed based on
costing information in the public sector.
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