CNEP Delivers Insights on Hospital Expenditure to Dipres Director

• Nearly 20% of the yearly budget overseen by the Central Government for procuring goods and services is earmarked for hospitals to acquire pharmaceutical products and medical devices.

Monday, June 3, 2024. The President of the National Commission for Evaluation and Productivity (CNEP), Raphael Bergoeing, along with Senior Economist and Research Coordinator José Contreras, met with Javiera Martínez Fariña, the Director of Budgets at the Ministry of Finance (Dipres), to discuss the significant allocation of funds towards hospital expenditures, particularly in the procurement of pharmaceutical products and medical devices.

Bergoeing underscored the importance of the CNEP study, “Efficiency in Purchasing Management and Inventory Handling in Hospitals,” stating, “Our findings highlight clear avenues for enhancing efficiency. With nearly 20% of the annual budget managed by the Central Government dedicated to hospitals for acquiring pharmaceutical products and medical devices, implementing standardized measures in resource and expense management could yield substantial benefits.”

Martínez Fariña provided insight into the scale of expenditure, noting, “In 2023 alone, the State allocated $1.6 trillion towards the acquisition of surgical and pharmaceutical materials, amounting to 13% of the total Health Services expenditure for that year. Health Services represent approximately 14% of the Central Government’s Budget, underscoring its significance in our expenditure priorities.”

Martínez Fariña reiterated the government’s unwavering commitment to efficiency, stating, “Efficient spending is not just a priority, but a cornerstone of the Executive’s agenda. The insights from this study are invaluable in our ongoing efforts to enhance expenditure effectiveness at the state level, ensuring every peso is spent wisely.”

Bergoeing reaffirmed the CNEP’s dedication to its mission, saying, “As the CNEP, our unwavering commitment is to provide robust evidence that informs public policy formulation, aligning with our country’s needs. This study is a testament to our dedication and the credibility of our findings.”