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BOSNIA & HERZEGOVINA KEY FACTS Brief overview on health sector with estimated impact of HANS

BOSNIA & HERZEGOVINA KEY FACTS Brief overview on health sector with estimated impact of HANS Semra Čavaljuga, MD, MSc, DSc Ancona 29 July 2008. BOSNIA & HERZEGOVINA KEY FACTS. BOSNIA & HERZEGOVINA KEY FACTS. BH GENERAL ECONOMIC INDICATORS. NOMINAL GDP, BILLION EUR. REAL GDP GROWTH RATE, %.

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BOSNIA & HERZEGOVINA KEY FACTS Brief overview on health sector with estimated impact of HANS

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  1. BOSNIA & HERZEGOVINA KEY FACTS Brief overview on health sector with estimated impact of HANS Semra Čavaljuga, MD, MSc, DSc Ancona 29 July 2008

  2. BOSNIA & HERZEGOVINA KEY FACTS

  3. BOSNIA & HERZEGOVINA KEY FACTS

  4. BH GENERAL ECONOMIC INDICATORS

  5. NOMINAL GDP, BILLION EUR REAL GDP GROWTH RATE, % GDP is continuing fast growth in 2007 with nominal rate of 11.8% and realgrowth rate of 8%. For the first time GDP per capita exceeded amount of 3,000EUR and is continuing to approach GDP per capita of less developed EU memberstates (Bulgaria and Romania).We are assured that BiH will keep that growing trend in the current year andmaintain its leading position among neighbouring countries regarding the levelof real GDP growth rate.

  6. INDUSTRIAL PRODUCTION GROWTH RATE, % Since 1999 average annual growth rate of industrial production was 8.5% and in 2007 reachedgrowth rate of 10%. Previously announced new investments, especially in metal processingand wood industry, confirm optimism regarding further industrial production growth.

  7. ANNUAL INFLATION RATE, % Inflation in 2006, mainly caused by VAT introduction, was reduced to 4.9% in 2007 which isequal to the estimation for CEE countries. It is expected that inflation rate in the next periodwill be at the same level as before introduction of VAT.

  8. ANNUAL UNEMPLOYMENT RATE, %

  9. Unemployment, which is one of the most serious problems of domestic economy, slowly declined in 2007(according to official records, number of registered unemployed persons in 2007 was reduced for 2.7%).Even though capital inflow during the first stage of privatization process caused decrease in the numberof workplaces, it can be stated that FDI made a positive impact on the decrease unemployment rate. Thelargest contribution to the decrease of the unemployment was made by Greenfield investment (establishmentof new companies), which in the year 2007 participate with 40% in the total FDI. Labour ForceSurvey gives more realistic picture about labour market in BiH. Result of the survey is unemployment rateof 29%. The World Bank statistics show the real unemployment rate in BiH, which is around 16%.

  10. CURRENCY RESERVES, MILLION EUR Currency reserves record permanent growth and at the end of 2007 they were 3,420 million EUR, whichis 18.5% more then in the previous year.

  11. FOREIGN DIRECT INVESTMENT IN BIH TOP INVESTOR COUNTRIES IN BIH (1994 - 2007) Since May 1994 to December 2007, the most investment was made by companies from Austria27.9 %, Serbia 16.7%, Croatia 11.8%, Slovenia 9.2%, Switzerland 7.3%, Germany 5.8%,Netherlands 2.4%, Italy 2.2%, USA 1.7%, Turkey 1.4%, and other countries 13.6%.

  12. According to the FDI inflow year 2007 is a record year. Foreign direct inflow in 2007 was1.62 billion EUR and was tripled comparing with 2006. Investment in 2007 is 36% of totalFDI recorded since May 1994. Greenfield investments participate with 40% in total FDI in2007. FDI contribution in GDP in last year was 14% and it proves that BiH economy is significantlyimproving investment climate and that it became attractive location for investment.

  13. EXTERNAL TRADE IN 2007

  14. Foreign trade deficit is not unusual for the countries in transition, even though it achieved 40-50% of GDP. BiH foreign trade deficit in 2006 was reduced to 34.8% of GDP and its further decreaseis expected. Export coverage in 2006 was 44.1%, the biggest so far, and kept the samelevel in 2007. It’s very important to emphasise that the following goodsdominate BiH’s import: basic metals,coke, petroleum products, machine, devices and equipment, chemicals, rubber and plastics,vehicles, and represent 60% of total import, with amount over 4 billion EUR.Those data show that trade deficit is mostly caused by goods needed for manufacturing andinvestment activities, proving the fact BiH is generating investment.

  15. BiH Health sector: facts • Bosnia and Herzegovina comprises two entities: the Federation of Bosnia and Herzegovina (Federacija Bosna i Hercegovina) and the Republika Srpska, as well as the independently administered District of Brcko – over which neither Republika Srpska nor the Federation of Bosnia and Herzegovina have jurisdiction. Each of the above-mentioned two entities cover about 25 000 km2 of land.

  16. BiH Health sector: facts • There is NO health mininistry in CoM (Council of Ministeres), but health sector is part of Ministry of Civil Affairs – some coordinative functions • The governments of the Federation of Bosnia and Herzegovina and Republika Srpska are charged with overseeing internal functions; this includes all activities related to health. • The ten Federation of Bosnia and Herzegovina cantons share responsibility with the Federation government for health, natural resources and environment, social welfare, education, tourism, and other public services.

  17. BiH Health sector: facts Demography and health • All population-based data in Bosnia and Herzegovina are estimates, since an official census of the population has not yet been undertaken since the war ended. • The war 1992-1995 had a strong impact on the demographic and health situation (According to 1998 estimates and compared with the 1991 census, the population is believed to have decreased by more than 16%...). • nn

  18. BiH Health sector: facts

  19. BiH Health sector: Facts • According to the Dayton Agreement, which broke down the country’s health system into two separate systems, health care organization, finance, and delivery would be the sole responsibility of each entity. After the signing of the Agreement, the entities approved their separate health legislations as health laws. Created in 2000, Brcko District, with an estimated population of 90 000, has its own obligation to organize, finance and deliver health care services – as expressed in the Law on Health Care of the Brcko District of Bosnia and Herzegovina.

  20. BiH Health sector: Facts • Health care finance, management, organization and provision in Bosnia and Herzegovina are the responsibility of each entity, while Brcko District runs a health care system over which neither entity has authority. Bosnia and Herzegovina, therefore, has 13 ministries of health and health systems for its 3.8–4.3 million population (see above): one for Republika Srpska, one for Brčko District, one for the Federation level and ten cantonal ministries in the Federation of Bosnia and Herzegovina (one for each canton). In brief, the different organizational structures of each entity plus Brčko District are as follows:

  21. BiH Health sector: Facts • In Republika Srpska, authority over the health system is centralized, with planning, regulation and management functions held by the Ministry of Health and Social Welfare in Banja Luka.

  22. BiH Health sector: Facts • In the Federation of Bosnia and Herzegovina, health system administration is decentralized, with each of the ten cantonal administrations having responsibility for the provision of primary and secondary health care through its own ministry. The central Ministry of Health of the Federation of Bosnia and Herzegovina, located in Sarajevo, coordinates cantonal health administrations at the Federation level. This feature will have obvious functional repercussions in terms of transaction costs, coordination of decision-making at the entity level, and other matters not faced by Republika Srpska.

  23. BiH Health sector: Facts • The district of Brčko provides primary and secondary care to its citizens. Because of the small size of its population, the above-mentioned Agreement on Brčko (Agreement on the implementation of the entity obligations from the final arbitral award for Brcko on health care and health insurance. Sarajevo, OHR, 1999.) • It is essential to understand that there is no national mandate for health care financing and provision.

  24. Organizational structure of the health care system in the Federation of Bosnia and Herzegovina

  25. Organizational structure of the health care system in Republika Srpska

  26. Collection of data for HANS: 3 agencies for statistics: • BHAS – BiH Agency for Statistics • Republic of Srpska Institute of Statistics • BiH Federation of Bosnia and Herzegovina Federal Office of Statistics Other sources: • FBiH Institute of Public Health – Annual Reports • Cantonal Monthly and Annual Reports

  27. Collection of data for HANS: NO: • National Cancer Register • NO Cancer Register for FBiH (Yes for RS, but data not available), • As no census, denominators are estimated

  28. HANS impact: • Regional action on data collection • Common indicators • Raise awareness on common approach for data collection • BUT: • Political agreement condicio sine qua non

  29. ????

  30. Thank you!

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