The Health Compact that was signed by Deputy President Paul Mashatile last week is nothing but an act of bad faith on the part of the government, says Busisiwe Mavuso, chief executive of Business Leadership South Africa (BLSA).

Mashatile presided over the signing as acting president as President Cyril Ramaphosa was away on sick leave for an eye infection.

In her weekly newsletter, Mavuso said much can be achieved when government and the private sector work together and that “compacts” can be helpful in forging a vision and achieving consensus.

However, she said that the Health Compact signed by Mashatile last week made a mockery of that idea.

“A compact that excludes key organised business is not a reflection of any deep consensus, and not the way for the country to make progress,” Mavuso said.

BLSA CEO Busisiwe Mavuso. Picture: Supplied

“Business Unity South Africa (BUSA), the apex business body, as well as key organisations in the health sector have publicly expressed dismay that the compact was unilaterally redrafted by government to put the National Health Insurance scheme at its centre.

“BUSA and BLSA are on record for our clear view that the NHI as currently conceived is unworkable, and a huge risk to the economy. We cannot compact with government, unless it is in line with the many constructive proposals from business on how the NHI could be made workable without extensive damage to the economy.

“That government would go ahead and sign a compact that is nothing of the sort, is an act of bad faith,” Mavuso said.

BUSA, which had supported the original compact drafted in 2018, said there had been no consultation on the updated wording in the second compact, which now has a strong focus on the implementation of the NHI.

“Our concern is that this is at the expense of immediate opportunities to expand and improve healthcare access,” BUSA chief executive Cas Coovadia said in a statement prior to the signing of the second compact.

“While everybody supports universal health coverage, there are ways to achieve it other than implementing an unaffordable, unworkable and unconstitutional NHI, which is essentially a funding model that is impractical, inequitable, and not feasible in the South African context.”

“Furthermore, it is putting the cart before the horse to sign and agree to a compact when structured, formal discussions and engagement with government on the NHI, as a key pillar of universal health coverage, still need to take place,” Coovadia said.

However, in a speech at the official signing ceremony, Mashatile said that involving the private sector, labour and civil society would be key to ending inequality in healthcare.

“The private sector has a crucial role to play in strengthening health systems in South Africa. Our experience with Covid19 showed how we could deepen private-public partnerships.”

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