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Bangladesh Healthcare Faces Crisis: 80% of Budget Wasted

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  Published in Health and Fitness on Tuesday, February 10th 2026 at 5:49 GMT by The Hans India
      Locales:

Dhaka, Bangladesh - February 10th, 2026 - A scathing assessment of Bangladesh's healthcare financing has revealed a systemic crisis, with a staggering 80% of the national health budget going to waste annually. The alarming figure, disclosed by Asif Zaman, Director of Health, Nutrition and Population Programme at BRAC, during a seminar on 'Health Financing in Bangladesh' on Monday, paints a grim picture of a sector struggling to deliver basic services despite consistent investment.

Zaman's statement has ignited a firestorm of debate amongst policymakers, healthcare professionals, and civil society groups, demanding immediate action and a complete overhaul of the existing system. The revelation isn't simply about mismanaged funds; it's about access to care, preventable deaths, and the erosion of public trust in vital institutions.

A Deep Dive into the Wastage

According to Zaman, the primary drivers of this massive wastage are a trifecta of issues: pervasive inefficiencies, rampant corruption, and fundamentally flawed resource allocation. While Bangladesh allocates approximately 3% of its GDP to healthcare - a figure often cited as insufficient for a nation of over 170 million people - the lack of effective oversight and accountability renders a substantial portion of that funding useless.

The most significant leakages appear to stem from opaque procurement processes. Without transparent bidding and rigorous auditing, funds are routinely diverted through inflated contracts, ghost supplies, and outright embezzlement. This impacts the availability of critical medicines, diagnostic equipment, and even basic medical supplies like bandages and syringes, particularly in rural and underserved areas.

The supply chain itself is riddled with vulnerabilities. Leakages during transportation and storage, combined with the lack of a robust inventory management system, contribute to significant losses. Essential drugs expire before reaching patients, are stolen, or are diverted to the black market, creating a vicious cycle of scarcity and increased healthcare costs.

Beyond Procurement: Systemic Issues

The problem extends far beyond procurement, however. A lack of strategic planning and inefficient distribution of resources further exacerbates the situation. Resources are often concentrated in urban centers, leaving rural communities - where the majority of the population resides - severely under-served. This geographical disparity is compounded by a shortage of qualified healthcare professionals willing to work in remote areas.

Furthermore, the current healthcare financing model relies heavily on out-of-pocket expenses, pushing many families into financial hardship. While the government has implemented some social health insurance schemes, coverage remains limited and accessibility is often a challenge. This creates a two-tiered system where those who can afford it receive adequate care, while the vulnerable are left to suffer.

Calls for Urgent Reform and Accountability

The widespread acknowledgement of the problem has spurred a growing chorus of voices demanding comprehensive reforms. Experts are calling for:

• Independent Audit: A thorough and independent audit of the entire health budget is crucial to identify the specific areas of wastage and corruption. This audit should be conducted by a credible, impartial body with full access to all relevant financial records.
• Transparency in Procurement: Implementing a fully transparent and competitive bidding process for all healthcare procurement is essential. This includes public disclosure of contracts, clear evaluation criteria, and robust monitoring mechanisms.
• Strengthened Supply Chain Management: Investing in a modern and secure supply chain management system will help to minimize leakages and ensure that essential medicines and equipment reach those who need them.
• Increased Investment in Rural Healthcare: Allocating more resources to rural healthcare infrastructure and incentivizing healthcare professionals to work in underserved areas is vital.
• Expansion of Social Health Insurance: Expanding coverage and improving accessibility of social health insurance schemes can help to reduce out-of-pocket expenses and ensure that everyone has access to quality healthcare.
• Enhanced Accountability Mechanisms: Establishing strong accountability mechanisms, including whistleblower protection and swift prosecution of those involved in corruption, is critical to deterring future misconduct.

The Future of Healthcare in Bangladesh

The situation demands swift and decisive action. Failing to address these systemic issues will not only continue to drain valuable resources but will also undermine Bangladesh's progress towards achieving its Sustainable Development Goals. The country's growing population and increasing prevalence of non-communicable diseases require a robust and efficient healthcare system. The current crisis, if left unaddressed, threatens to reverse years of gains and jeopardize the health and well-being of millions of Bangladeshis. The time for reform is now - before the entire system collapses under the weight of its own inefficiencies.