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$1.7b for Health Development Fund
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$1.7b for Health Development Fund

A health development fund is to be established in cooperation with public and private banks with an initial capital of $1.76 billion. Around 500 health centers are also to be constructed by private banks in the next two years, said Health Minister Hassan Hashemi.
The measure is in line with encouraging private sector support and services in healthcare through the insurance system. Tariffs have been fixed for medical services and are seeing beneficial outcomes, he said quoted by ISNA.  
Hashemi said the private sector is critical in promoting national health. At the same time, private businesses are in dire need of modern banking and financial services. While still nascent compared to the public banks, Iran’s private banks could fill the gap in providing financial backup to the health system. The Health Ministry needs to look at new ways to take advantage of their dynamic nature.
 Healthcare costs in all sectors have increased due to multilateral development of medical technologies that are expensive and people’s rising expectations of the health system. Additionally, lifestyle changes and population aging are leading to an increase in chronic diseases and treatment that impose greater financial burden on the health system. In this regard, it is necessary to study appropriate strategies for financing the medical system through private banking to beef up the health system.  
Hashemi also pointed to the active role of private banks in medicine, medical equipment and hospital construction, and said their presence is essential in medical and health centers.

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