Hospitals see rapid rise of debt

THE DEBTS of big state-run hospitals increased by €100 million last year. The Health Ministry attributes this rise to new rules from Brussels, which allegedly cause the debt to accumulate faster than in the past. Analysts however say that the Brussels regulation is only an excuse, the Sme daily reported in its May 2 issue.

THE DEBTS of big state-run hospitals increased by €100 million last year. The Health Ministry attributes this rise to new rules from Brussels, which allegedly cause the debt to accumulate faster than in the past. Analysts however say that the Brussels regulation is only an excuse, the Sme daily reported in its May 2 issue.

The debt may cause problems with this year’s budget, as it does not take the debt into account.

Health-care sector debt rose to €318.9 million at the end of last year, which is €105.6 million more than the previous year. The main debtors are state-run hospitals whose debts rose to €246.8 million in 2013, up from €141.7 million in 2012, the TASR newswire reported.

The ministry explains that the increase is the result of a new directive from Brussels that requires hospitals to pay invoices within 60 days.

Dušan Zachar, analyst with Institute for Economic and Social Reforms (INEKO) think tank, however says that the ministry has not specified to what extent the new rules reflected in the rise in debt. He noted that the debts of the state-run social insurer Sociálna Poisťovňa are also rising. The reason, he explains, is that the state does not solve problems with systematic measures. It, for example, did not allow transforming the hospitals into joint-stock companies, and thus having stricter budgetary rules, he told Sme.

“State-run hospitals do not see the threat of execution or bankruptcy,” Zachar said. “And they expect the state to remove their debts, which does not contribute to their motivation for better management.”

The ministry, however, says it deals with the management of hospitals, but that the effects of the austerity plans may be seen later, as reported by Sme.

The state has not said yet whether it will eliminate the hospitals’ debts. Michal Horváth from the Council for Budget Responsibility told Sme that the debt poses a risk to the budget, as this year’s budget does not factor the increased debt.

Source: Sme, TASR

Compiled by Radka Minarechová from press reports

The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.

Top stories

PM Robert Fico and his wife Svetlana

Fico has neither account, nor company stake in Belize

SLOVAK Prime Minister Robert Fico and his wife do not have and have never had any banking accounts in Belize, and do not hold any stake and do not have managerial control in any company registered in Belize.

Banská Bystrica region governor Marian Kotleba stopped by police on his way to the village of Gabčíkovo

Police stopped extremists’ ride to Gabčíkovo

FIREfighters had a training at the exact place where dozens of extremists were heading to protest against placing 500 asylum seekers from Austria at the Gabčíkovo village refugee camp.

Compassion is no complicated concept

EXPRESSIONS of humanity and compassion do not necessarily need great gestures; they can take the form of a pair of shoes given to a refugee. 

Japanese company Yazaki has a plant in Michalovce.

Japanese firms seek ‘after-care service’

COUNTRIES of the central and eastern European region still remain attractive for Japanese investors and serve as a kind of entrance gate to European markets.

MOST READ ARTICLES


  1. Police stopped extremists’ ride to Gabčíkovo
  2. SEWS leaves Slovakia for Romania, buying the land under the plant
  3. Slovakia and its shameful policy on refugees
  4. Thousands join Plea for Humanity
  5. Judge Karabín dies on holiday
  6. Fico has neither account, nor company stake in Belize
  7. Fico: Countries on outer Schengen border should protect it properly
  8. Increase in number of Slovak millionaires outpaces the rest of Europe
  9. SIAF air fest was attended by 140,000 spectators, many pilots
  10. Japanese firms seek ‘after-care service’
  1. SIAF air fest was attended by 140,000 spectators, many pilots
  2. Slovakia and its shameful policy on refugees
  3. Police stopped extremists’ ride to Gabčíkovo
  4. Increase in number of Slovak millionaires outpaces the rest of Europe
  5. Fico: Countries on outer Schengen border should protect it properly
  6. Thousands join Plea for Humanity
  7. Slovak police discovered dozens of illegal migrants, politicians react
  8. Korean companies are still coming
  9. Taking it in on two wheels
  10. SNP anniversary in Banská Bystrica featured black flags
  1. Slovakia and its shameful policy on refugees
  2. Crooks may land €2 million in land deals for Jaguar Land Rover
  3. Refugees die in a truck near Slovak border in Austria
  4. Slovak man's story part of Titanic exhibition in Bratislava
  5. Slovak grandfather receives birthday wishes from all over the world
  6. SIAF air fest was attended by 140,000 spectators, many pilots
  7. Interior Minister surprised by news of refugee camp close to Austrian border
  8. A Slovak placed online ad offers money for shooting migrants
  9. Bratislava Flagship Restaurant
  10. Pollution from communist era remains a problem