- Government allocated ZiG28.3 billion to the Ministry of Health and Child Care for the year 2025
- Statistics indicate that US$1.6 billion is required to revive the health sector
- Government faces accountability challenges for over US$2 billion allocated to the health sector
Harare-The Zimbabwe government has allocated ZiG28.3 billion to the Ministry of Health and Child Care for the year 2025.
When converted to United states dollars (USD) at the official bank rate of ZiG26 per dollar, this allocation amounts to approximately US$1.09 billion.
However, using an average rate of ZiG36 per US$1 projected by the Treasury for FY2025, this translates to about US$786 million.
With an expected depreciation rate of 110%, the actual value could fall below US$400 million.
Latest statistics from the government indicate that US$1.6 billion is required to revive the health sector, highlighting a significant shortfall in budget allocations.
Despite the absence of conflict in Zimbabwe, the government has allocated ZiG38.6 billion(US$$1.48bn) to the security services sector, overshadowing funding for healthcare in the 2025 budget.
This clearly demonstrates that the government continues to prioritize ‘guns’ over health.
Zimbabwe’s public hospitals, like Parirenyatwa and Harare Hospital lack sophisticated machines needed to scan and treat diseases.
The conditions in these facilities are poor, with non-functional toilets, deteriorating ceilings, and a lack of essential medicines.
The country heavily relies on medication donations from organizations like USAID and the World Health Organization.
The elite often travel abroad for proper medical treatment, reflecting a deep mistrust of the health services available to the general population, many of whom cannot afford such options.
The allocated health budget constitutes only 10.2% of the national budget, which is far below the Abuja Declaration’s recommendation for signatory countries to allocate at least 15% of their national budgets to health.
If this trend continues, the allocated budget may lose substantial value next year, severely impacting the delivery of quality health services, procurement of medical supplies, and maintenance of healthcare infrastructure.
The health sector in Zimbabwe grapples with numerous challenges, including inadequate infrastructure, shortages of medical supplies, and a lack of skilled personnel.
These issues hinder the delivery of quality healthcare and adversely affect patient outcomes.
In February, the government introduced a sugar tax set at US$0.02 per gram, only to revise it in March to a much lower rate of US$0.001 and for 2025 its now on 0.005%.
Over the past nine months, Delta, one of the country's largest beverage manufacturers, has contributed approximately US$20.5 million in sugar taxes, yet the government has only accounted for US$18 million of these funds.
This discrepancy of over US$2 million raises alarming questions about transparency and accountability in managing tax revenues.
This shift raises immediate concerns about the government’s commitment to using tax revenue effectively for health sector improvements.
The initial justification for the sugar tax was to generate funds that would support the health sector, particularly in procuring essential medical equipment and improving healthcare services.
Yet, there have been no significant advancements in these areas; no new medical machines have been purchased, and the expected benefits of this tax remain largely unfulfilled.
This situation poses a critical question: will the newly introduced taxes on fast foods, sugar, and cigarettes be any different?
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