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Romania<br />

Adriana Galan <strong>and</strong> Victor Olsavszky<br />

Economic trends<br />

• After high real per capita GDP growth in 2008, Romania's economy<br />

contracted in 2009 <strong>and</strong> stagnated in 2010; in 2011, growth was above<br />

the European mean.<br />

• Ten-year bond rates remain high relative to the European region.<br />

• Despite a slight reduction in the size of government expenditure relative<br />

to the economy since 2009, the country's <strong>health</strong> spending priority has<br />

slightly increased, although it remains below the European mean. Total<br />

<strong>health</strong> expenditure per capita is dominated by public spending, which<br />

contracted in 2009, but returned to modest growth in 2010; growth in<br />

OOP expenditure per capita has slowed (Romania: Figs 1 <strong>and</strong> 2).<br />

Policy responses<br />

Changes to public funding for the <strong>health</strong> system<br />

• Public spending on <strong>health</strong> fell between 2007 <strong>and</strong> 2009 <strong>and</strong> recovered in<br />

subsequent years.<br />

• The Ministry of Health budget fell between 2008 <strong>and</strong> 2011 <strong>and</strong> grew in<br />

2012.<br />

• The <strong>health</strong> sector was protected in comparison with other public<br />

sectors, <strong>and</strong> national programmes for cancer, diabetes, HIV/AIDS <strong>and</strong><br />

tuberculosis were protected to ensure continuity.<br />

• SHI revenues fell because of higher unemployment <strong>and</strong> lower salaries in<br />

2009 <strong>and</strong> SHI deficits grew.<br />

• Government transfers to SHI amounted to about 24% of the total <strong>health</strong><br />

budget in 2010, 12% in 2011 <strong>and</strong> 10% in 2012.<br />

• Government announced plans to generate additional revenue through more<br />

effective collection, reducing the number of exemptions from SHI contribution<br />

<strong>and</strong> improved management (2010).<br />

• SHI contributions were extended to pensioners with an income of over<br />

RON 740 per month (5.5%), including Romanian pensioners resident in<br />

other EU Member States (2011).

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