BIDS Study
Unmet healthcare needs persist in Bangladesh as OOP spending soars to 79%: BIDS study
A significant portion of Bangladesh’s population continues to face unmet healthcare needs, driven largely by rising out-of-pocket (OOP) expenditures, according to a study of Bangladesh Institute of Development Studies (BIDS).
Although unmet healthcare needs persist across all segments of society, the financial burden falls disproportionately on the poor, it showed.
The research by Dr Abdur Razzaque Sarker of BIDS underscored that OOP spending remains the dominant mode of healthcare financing in the country, with its share reaching an alarming 79 percent in 2024.
The study titled “Re-thinking unmet healthcare needs and dynamics of out-of-pocket (OOP) expenditure in Bangladesh,” was conducted under BIDS’ Population Studies Division.
The study utilised data from the latest Household Income and Expenditure Survey (HIES) 2022, comprising 14,400 households and 62,387 individuals where descriptive statistics were employed to analyses and summaries the percentage of unmet need, service utilisation across providers.
The distribution of benefits from public spending and progressivity/regressivity is assessed using Benefit and Financing Incidence Analysis.
The findings revealed that around 22 percent of the population reported a need for healthcare services on a monthly basis. Among them, 15 percent experienced unmet healthcare needs, accounting for 65 percent of the total need.
Unmet needs were found to be significantly higher in rural areas compared to urban centres—68 percent versus 59 percent. Regionally, the highest levels of unmet need were recorded in Narail (81 percent) and Habiganj (80 percent), while the lowest was observed in Feni (18 percent).
Healthcare spending and inequality
On average, Bangladeshi households spend TK 3,454 per month on healthcare, representing about 11 percent of total household expenditure. Medicines and diagnostic services were identified as the primary cost drivers.
The study noted that while public healthcare services are relatively equitably utilised, private healthcare services remain disproportionately concentrated among wealthier groups.
Despite higher absolute spending among the rich, poorer households bear a significantly heavier financial burden.
Healthcare expenses account for about 35 percent of total income for the poorest households, compared to just 5 percent for the wealthiest, indicating a regressive healthcare financing system.
The heavy reliance on OOP payments often leads to catastrophic health expenditures, limiting access to necessary care and pushing vulnerable households further into poverty.
The study concluded that although unmet healthcare needs persist across all segments of society, the financial burden falls disproportionately on the poor.
To address these challenges, the researcher recommended urgent reforms in healthcare financing, particularly the development and implementation of risk-pooling mechanisms such as social health insurance.
Such measures, the study suggested, are essential for reducing inequality in healthcare access and achieving Universal Health Coverage (UHC) in Bangladesh.
18 days ago
Bangladesh’s productivity falters for unskilled labour force: BIDS Study
Bangladesh is falling behind other South Asian nations in average productivity due to a deficit in trained labour force, revealed a study by the Bangladesh Institute of Development Studies.
BIDS, a government-aided public research organization, disclosed in the study report on Sunday at a city hotel in the capital.
The research found that around 96 per cent of the country’s labour force are unskilled and cannot make the desired contribution in the production sector.
It is said that the productivity of Bangladesh is the lowest compared to other South Asian countries because the workers are not properly trained for skills.
BIDS conducted the study on 15 industrial sectors including jute, pharmaceutical, plastic, construction, and other manufacturing factories.
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Experts from the government and private sectors were present at the report release ceremony.
Planning Minister MA Mannan was the chief guest at the function.
Nasreen Afroz, the executive chairman of the National Skill Development Authority was the special guest. Among others, DU professor Dr. Sayema Haque Bidisha, Dr Zafrullah Chowdhury, spoke at the function. Director General of the BIDS Dr. Binayak Sen presided over the program.
Senior research fellow of BIDS Dr. Kazi Iqbal led a group of young researchers to conduct the study. He presented the report on the occasion.
Mannan said, 'Good governance is needed, but development is needed first.’
The rural and village people want water, electricity, and fertilizer, and they have no idea of good governance. What they want is security, he said.
Nasreen Afroz said that the gazette of the National Development Policy-2022 will be published soon.
An action plan has been prepared in this regard, she said.
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Dr. Binayak said explained the objective of the survey. He said the survey seeks to find out the country’s requirement of workers in next 10 years and what policy support is expected from the government.
Expert panel discussants said that the programmes taken in the name of skill development did little to achieve the target.
They said training is definitely needed, but job opportunities must be secured before that. Otherwise, it will not be beneficial. Quality education should also be given importance.
According to the BIDS study, the construction sector has the most unskilled workers. The number of unskilled workers in this sector is 98 per cent.
Up to72 per cent of workers in the light engineering sector have no education.
The study noted that there is a substantial shortage of skilled workers in the agro-processing industry.
Professionals, machine operators and skilled workers in the IT sector are most in demand. Apart from this, the survey mentions that the demand for nursing is increasing.
The survey revealed that 47 per cent of the workers going abroad are unskilled.
3 years ago