At this stage, there are no plans to further modify the framework for state support to the State Health Services Organization (OKYPY), which has been extended through the end of 2026, Health Minister Neophytos Charalambides, noting that a study by PwC is expected to be completed soon, which will outline the additional measures required for the Organization’s financial sustainability.
The issue of the financial autonomy of public hospitals was at the center of the discussion in the Parliamentary Health Committee, as part of the review of the Ministry of Health’s budget for 2027.
ΣΧΕΤΙΚΑ ΑΡΘΡΑ
In presenting the budget, the Minister of Health stated that a special team of economists is analyzing the financial data of the OKYPY and the measures required to increase its revenue and reduce its expenses, while a study on the financial sustainability of its autonomy is expected.
Responding, however, to questions from journalists after the session, Mr. Charalambides clarified that the House of Representatives has approved, through relevant legislation, the extension of state support for OKYPY until the end of 2026, adding that “at this stage, there is no intention to change this in any way.”
Regarding the Organization’s financial situation, he noted that a study by PwC is expected to be completed shortly, which will outline the additional measures that need to be taken, beyond those already implemented over the past two to three years.
As he explained, a joint committee has been established, comprising the Ministries of Finance and Health, as well as OKYPY, with the aim of implementing specific policies to increase the Organization’s revenue and reduce its expenses.
“Once this report is completed, I will have a clearer picture of the steps required so that OKYPY can operate starting in 2027 without encountering any problems,” he said.
He added that there are currently sufficient financial reserves, however, the goal is to take all necessary measures so that the Organization becomes financially sustainable and presents a balanced budget.
For her part, the Chair of the Health Committee and DISY MP, Savia Orfanidou, stated that OKYPY and public hospitals must become sustainable and self-sufficient, without the need for state subsidies, which are set to expire at the end of the year.
“We acknowledge the Health Minister’s positive stance that there will be no need for a further extension of the state subsidy, and we expect this commitment to be honored,” she noted.
Ms. Orfanidou also expressed the need to promote substantive reforms for the long-term sustainability of the General Healthcare System (GHS), pointing out that shortages, abuses, waiting lists, and the decline in the quality of certain services must be addressed.
During the debate, DISY MP Giorgos Pamporidis also expressed concern about the process of making public hospitals autonomous, raising issues regarding staffing, human resources management, and the Organization’s dependence on the civil service.
ALMA MP Litsa Drousioti, who noted that this seems to be achieved more on paper than in practice.
As she said, instead of reducing deficits, state subsidies are increasing, which are presented as compensation for services of general economic interest.
At the same time, he asked for clarification on whether OKYPY fully reimburses the state for the payroll costs of seconded civil servants or whether this creates debts thatfurther burden its financial situation.
“Financial autonomy cannot be merely an accounting exercise. It requires genuine financial restructuring, transparency, good governance, and accountability,” he said.
