Business and Government Prepare for Further Talks to Resolve South Africa’s NHI Impasse

President Cyril Ramaphosa has urged Business Unity South Africa (BUSA) to present specific proposals addressing concerns related to the National Health Insurance (NHI) Act. This request follows a meeting on September 17 with BUSA leadership, including Minister of Health Aaron Motsoaledi, to discuss contentious issues surrounding the NHI.
BUSA, a significant business stakeholder, opted not to sign the President’s Health Compact aimed at garnering support for the NHI rollout. CEO Cas Coovadia expressed concerns that the NHI’s current framework might hinder immediate opportunities to enhance healthcare access. He emphasized that while universal health coverage is supported, the NHI is viewed as an “unaffordable, unworkable, and unconstitutional” model for South Africa.
Although the NHI Act was signed into law before the May elections, it has not yet been enacted. Meanwhile, Motsoaledi has begun the process of establishing the NHI board and promoting the initiative nationwide. However, he has faced backlash from critics, labeling their opposition as “hooliganism” and accusing the media of using divisive tactics.
Ramaphosa has highlighted the importance of dialogue, stating that he values input from those with concerns. He indicated that the recent discussions with BUSA were constructive and emphasized the need for proposals rather than just criticism.
Additionally, the Hospital Association of South Africa recently proposed mandatory healthcare insurance for formally employed workers, which could expand coverage significantly and allow the government to allocate resources more effectively. While some officials have received this idea positively, Motsoaledi claimed he had not been informed about it.
The Presidency reaffirmed its commitment to engaging with all stakeholders in good faith to achieve workable solutions for quality and affordable healthcare in South Africa.