IDB grants $161.8mn for improving Colombian social security system’s sustainability
The program is made up of a US$150 million loan that will have a repayment term of 14.7 years and a LIBOR interest rate; and a US$11.8 million of non-reimbursable resources aimed at improving access to health for the migrant population, of which US$9.6 million are contributed from the IDB migration facility and US$2.2 from the German government.
IDB | Bogota | Updated: 04-12-2020 17:21 IST | Created: 04-12-2020 17:21 IST
In Colombia, the social security system has made important structural advances. However, both COVID-19 and the sociodemographic transition facing the country, present challenges that threaten its economic sustainability, and put at risk the successes achieved in coverage and financial protection.
With the objective of supporting the improvement of the Colombian social security system's sustainability, the Inter-American Development Bank (IDB) approved a US$161.8 million program. These will be destined to improve the management of the total cost of services and technologies in health, as well as the efficiency and coverage of the General Social Security System; and to increase health coverage for the immigrant population.
In Colombia, the social security system has made important structural advances. However, both COVID-19 and the sociodemographic transition facing the country, present challenges that threaten its economic sustainability, and put at risk the successes achieved in coverage and financial protection. Added to this, the country faces specific challenges to its social security system, such as limited financing for new technologies; a fragmented model of care; and a flow of migrants whose health needs are being attended through the emergency system and not the insurance.
The funds will be used for three components. The first component will seek to alleviate the pressures that affect health spending for the provision of services and technologies not financed with the per capita Payment Unit without affecting the quality of service provision. The second component is a model of comprehensive territorial action that allows improving the efficiency and effective coverage of the General Social Security System. The third component is coverage for insurance and services for the immigrant population, which will provide coverage to ensure immigrants and coverage of services for the vulnerable immigrant population.
With this project it is expected to obtain savings for services and technologies not financed with the Unit of per capita payment in contributory; a number of departments/districts that are monitored for health promotion and maintenance program activities; and affiliated immigrant population.