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Health sector gets 9pc allocation

Staff Correspondent
The government has proposed allocating Tk 5,862 crore for the health sector for the next fiscal year (FY), which is 8.9 percent of the total allocation of the national budget.
Of the amount, Tk 3,423 crore has been allocated for the nondevelopment sector while Tk 2,439 crore for the development sector.
The allocation for the health sector has been increased by Tk 392 crore in the next fiscal year over FY 2007-08, when the allocation for the health and family welfare ministry was Tk 5,470 crore, about 5.0
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percent of the total allocation of the national budget. The allocation for the sector was Tk 4,784 crore in FY 2006-07 and Tk 4,240 crore in FY 2005-06.
Supplementary duty of 60 percent will be imposed on the raw materials for manufacturing of cigarettes and 20 percent on the papers used in producing packaging materials of cigarettes, considering its harmful effect on public health
Manufacturing of scented tobacco (Jarda) and burnt tobacco (Gul) will be brought under the purview of VAT, irrespective of their turnover.
A proposal for raising the price structure of cigarettes, tariff value of handmade cigarettes (bidi) and applicable supplementary duty has also been made.
The existing 25 percent customs duty will be reduced to seven percent on inhaler actuator, used as medicaments with the supplementary duty on it abolished.
The recent withdrawal of customs duty and VAT on import of drugs used for treatment of Thalassacmia would remain in force in the next FY.
Besides, the government will continue implementing the seven year (2003-2019) Health, Nutrition and Population Sector Programme (I INPSP) at an estimated outlay ofTk 32,450 crore.
The government is also revising the National Health Policy, rules related to medical waste management, private medicare laws and the Essential Drugs List.
It has also put emphasis on increased involvement of private initiative in the health sector. Implementation of a programme is underway to outsource the management of 342 community clinics and 130 Union Health and Family Welfare Centres and Hospitals to the private sector.
The experts, however, apprehended that the increased amount will have little effect on people's health as bulk of the allocation would be exhausted in paying salary, allowances and other purposes.
At the same time, outsourcing of the management of community clinics and hospitals would benefit people less as they have to pay user fees, the experts said adding that rather it could be incorporated with the local government after adopting measures to ensure its accountability.