Aasandha Company Ltd Reports 5% Increase in Expenditure in Early 2024

The state-owned Aasandha Company Ltd, responsible for managing the government’s healthcare financing services, has reported a nearly five percent increase in expenditure during the first quarter of 2024 compared to the same period last year.

According to data shared by the company, a total of MVR 838 million (USD 54.34 million) was spent between 1st January and 31st March 2024. This represents a 4.8 per cent increase from last year’s expenditure of MVR 799 million (USD 51.82 million) for the same timeframe. Notably, in 2022, the expenditure for the first three months was significantly lower at MVR 488 million (USD 31.65 million).

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For the year 2024, Aasandha has been allocated a total budget of MVR 1.9 billion (USD 123.2 million). This budget allocation underscores the government’s commitment to sustaining and enhancing healthcare services for Maldivians.

Over the past five years, Aasandha’s total expenditure amounted to MVR 7.4 billion (USD 479.25 million), with the highest spending recorded in 2022. Despite the substantial budget, the company consistently exceeded its allocated budget by 20 per cent each year, indicating a persistent demand and possibly rising costs in healthcare services.

Investing in Healthcare: A Path to Long-Term Savings

The continuous increase in expenditure highlights the growing need for robust healthcare financing in the Maldives. Investing in healthcare infrastructure within the country could potentially save money in the long run. By improving local healthcare facilities and services, the Maldives can reduce the need for expensive overseas treatments and medical travel, which currently contribute to higher healthcare costs.

Moreover, enhancing the domestic healthcare system can lead to better health outcomes for the population, reducing the overall burden of disease and associated costs. Preventative care, early diagnosis, and effective management of chronic conditions can significantly lower long-term healthcare expenditures.

As Aasandha navigates these financial challenges, it remains crucial for the company to balance its budget while ensuring comprehensive healthcare services for the population. Strategic investments in the healthcare sector are essential to achieving sustainable healthcare financing and improving the overall health of Maldivians.

While the rise in Aasandha’s expenditure reflects the increasing demand for healthcare services, it also underscores the importance of continued investment in the country’s healthcare infrastructure. By doing so, the Maldives can aim for a more sustainable and cost-effective healthcare system in the future.

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