NHIA, Senate push health taxes to fund healthcare, fight diseases

The National Health Insurance Authority (NHIA) and the Nigerian Senate are advocating for stronger health tax reforms in the country to improve the financing of healthcare, expand health insurance coverage and combat the rising burden of non-communicable diseases. This call was made at a workshop in Abuja on Wednesday. Dr Kelechi Ohiri, the NHIA Director-General, emphasized that health tax reform necessitates collaboration among various sectors, including government ministries, private sector entities, civil society organizations, the media, and other stakeholders.

He pointed out that Nigeria is currently grappling with infectious diseases and maternal mortality, while simultaneously facing an increasing challenge from non-communicable diseases linked to the consumption of sugar-sweetened beverages, tobacco, and alcohol. Ohiri highlighted that health taxes can act as a public health intervention to modify consumption patterns and generate domestic resources for healthcare, aligning with Nigeria's adherence to international commitments like World Health Assembly resolutions and the Federal Government's commitment to mobilize domestic resources for healthcare.

The Senate recently passed the Sugar-Sweetened Beverage Tax Bill, which is awaiting approval from the House of Representatives. The reforms' implementation faces challenges, particularly in translating plans into effective execution through suitable policy, legal, fiscal, and administrative measures. Stakeholders must identify the political leadership, institutional capacity, and public financial management systems necessary to ensure transparency and accountability in revenue collection and utilization.

An example cited was the Philippines, which utilized health taxes to enhance health insurance coverage, demonstrating a viable approach Nigeria could adopt to reduce disease burden and extend coverage to more vulnerable populations. Dr Pavel Ursu, the World Health Organisation Country Representative in Nigeria, stressed that policymakers must comprehend Nigeria's political economy and institutional arrangements to facilitate the adoption and implementation of health tax reforms.

Dr Kumanan Rasanathan, Executive Director of the Alliance for Health Policy and Systems Research, expressed optimism that this workshop would transition from strategy development to practical policy changes, necessitating collaboration among researchers, policymakers, and other stakeholders to turn evidence into actionable policy.