South African billionaire Adrian Gore calls for private sector role in NHI for better healthcare

In a forthright address delivered during PSG Wealth’s Think Big webinar, Adrian Gore, the founder and CEO of Discovery Limited, emphasized the indispensable role of the private sector in achieving the goals set by South Africa’s National Health Insurance (NHI) Bill.

His remarks brought to light critical concerns about the feasibility of the NHI Bill’s successful implementation without the active involvement of the private sector.

Gore, a top figure in South Africa’s healthcare sector and one of the continent’s wealthiest individuals, publicly acknowledged the noble intentions behind the government’s NHI plan. However, he stressed the pressing need for a well-defined roadmap that includes substantial contributions from the private healthcare sector to realize the objective of universal healthcare.

Gore’s address was straightforward. He stated, “The key issue of discussion and debate is that the NHI is not workable without private sector collaboration, that’s our unequivocal point.” He went on to add, “We are entirely supportive of it, the actual architecture of the NHI structure is something that is now enshrined in law. I think the issue to us is clear – when you look at the numbers, the funding, the complexity – it requires private sector collaboration. If that can be achieved, then the NHI Bill can be made workable.”

Highlighting successful public-private collaborations during crises like the COVID-19 pandemic and energy shortages, Gore emphasized that the private sector should play a pivotal role in shaping the future of healthcare in the country.

The NHI Bill, passed in June 2023, has faced significant opposition from the private sector, primarily related to concerns regarding funding, governance, and healthcare quality. Notably, medical aid schemes have voiced their objections to Section 33, which excludes them from providing complementary cover for healthcare services not purchased through the NHI Fund.

Gore expressed his concern that implementing the NHI in its current form could lead to a significant decline in the quality of healthcare in South Africa over the next decade. Furthermore, this may place substantial burdens on taxpayers, especially if the tax base shrinks and the economy experiences minimal growth.

Gore’s remarks have added a significant dimension to the ongoing debate surrounding the NHI Bill. Stakeholders are grappling with the best approach to achieving universal healthcare while maintaining the quality and sustainability of South Africa’s healthcare system.