A strong economy needs a healthy population

Resources allocated to health are an investment with proven returns  in economic growth and social well-being

La pérdida de productividad por enfermedad le resta en promedio 3.5% del PIB a los países de Latinoamérica. Esta es la conclusión de un estudio comisionado por la Federación Latinoamericana de la Industria Farmacéutica (FIFARMA) y elaborado por el instituto alemán de investigación económica WifOR (el documento completo puede ser descargado here.).

The study, published last June, estimates the cost of productivity losses and the economic impacts derived from a group of common diseases in Latin America, such as cardiovascular diseases, diabetes, respiratory infections, breast cancer, migraines, among others. It concludes that during the period 2018-2022, Latin American economies stopped producing 895 billion dollars due to productivity losses caused by these diseases. In particular, the socioeconomic burden of diseases in Peru is very significant, representing economic losses of up to 9.5 billion dollars, which in turn represents 4.3% of the country's GDP.

Seen from another perspective, it is possible to affirm that, if that same population had experienced better health conditions and had not had to incur these disabilities, they could have made a significant contribution to the aggregate production of their respective economies.

One of our priorities at FIFARMA is to work with governments, legislative bodies and health stakeholders in Latin America to promote a vision of health financing as an investment and not as an expense. 

Multiple international studies have shown that adequate funding of health systems is an investment with high economic and social returns. A healthy population has greater labor productivity, which contributes to sustainable economic growth. In turn, a healthier population can engage in various recreational, educational and social activities, which improve their quality of life and well-being. 

According to World Bank data, the country in the region with the highest health expenditure (Brazil with 9.89% of GDP) is below the European country with the lowest expenditure (Portugal with 10.62% of GDP). This shows us that there is still a long way to go and although the allocation of resources by countries has allowed important advances in terms of coverage and significant improvement in several indicators, challenges still persist in terms of access and quality of health care, which require not only greater financing, but also more efficient spending, which favors those areas and technologies that have a greater impact on the health of the population. 

From the pharmaceutical industry, we will continue to make our contribution by developing innovative treatments such as vaccines, which prevent and limit the impact of certain diseases that impose enormous health care costs. We will also continue to make medicines available to health systems to allow patients with diseases such as diabetes, cardiovascular conditions or migraines to enjoy a productive life, and even diseases that until a few years ago were fatal or totally incapacitating, such as HIV and certain types of cancer. Today, thanks to these innovations, these people can continue with their social and work activities, contributing to economic growth and social well-being. 

Health is the fundamental requirement for personal and collective development. Resources allocated to health are an investment in a better future.