Report: China plans to issue new medical reform plan in January

BEIJING, Dec. 26 (Chinese media) -- China's long-awaited medical reform plan,

which aims at providing universal medical service to 1.3 billion people, is

likely to be issued in January, Friday's 21st Century Business Herald reported.

Five supplementary plans on medical insurance, basic medicine, grassroots

medical service, public health service and public hospital reform will be issued

at the same time, the newspaper quoted an unnamed source as saying.

Growing public criticism of soaring medical fees, a lack of access to

affordable medical services, poor doctor-patient relationship and low medical

insurance coverage compelled the government to launch the new round of reforms.

On Oct. 14, the National Development and Reform Commission (NDRC) issued a

draft plan on its website for public debate. The commission received more than

35,000 suggestions in one month.

A health official told Chinese media that the announcement of the new plan in

January is "likely". "A revised version based on the public feedbacks has been

submitted to the State Council," said the official, who declined to be named.

According to the newspaper, "the new version didn't have significant

difference from the old one."

In the draft, the government promised to set up a "safe, effective,

convenient and affordable" medical system that would cover all urban and rural

residents by 2020.

It clarifies government's responsibility by saying that it plays a dominant

role in providing public health and basic medical service. Central and local

governments are required to increase health funding to ease financial burden of

individuals.

The draft, written by a team of officials and experts from 16 departments,

including the Ministry of Health and the NDRC, has been criticized as being "too

general" and "full of empty principles".

The five new supplementary plans are believed to outline specific measures.

Among them, the one on the building of a basic medicine system and reforms of

state-run hospitals are the most important, the newspaper quoted the source as

saying.

The basic medicine system includes a catalogue of necessary drugs that

would be produced and distributed under government control and supervision,

according to the draft plan.

The draft plan did not outline clear measures for state-run hospital

reform. But it said government should increase funding to public hospitals to

improve their services.

Insufficient government funding resulted in deficits for public health

institutions, thus opening doors for hospitals to generate their own revenue by

raising fees and aggressively selling drugs.

"Reform of state-run hospitals is a very complicated and difficult

project," Bai Chong'en, a professor with the Tsinghua University, said.

"I think the government should pilot the reform in some places and then

work out a reform plan based on China's realities," he said.