Govt fine-tuning legal framework to curb rising private healthcare costs
Finance Minister Datuk Seri Anwar Ibrahim said the Ministry of Health (MOH) is refining the legal framework to enable initiatives under Reset, including the introduction of the Diagnosis-Related Group (DRG) payment system.
"The MOH is currently reviewing relevant acts to align efforts to address medical inflation. Amendments to the Private Healthcare Facilities and Services Act 1998 are being studied and refined to allow for the implementation of the DRG payment system, which will require the sharing of minimum clinical and financial data, as well as other related initiatives under the Reset strategic framework.
"The government will continue to consider amendments to other acts under the ministry's jurisdiction, if necessary, to empower the overall Reset strategy," he said in a written parliamentary reply.
Anwar, who is also prime minister, said the Reset strategy comprises five strategic pillars and 11 key initiatives.
The first pillar is the improvement of Medical and Health Insurance and Takaful (MHIT) through the development of a basic MHIT product that will modify MHIT product features and enable the setting of more sustainable and stable premium rates in the long term.
He said the second pillar is increasing price transparency through the display of medicine prices and the publication of price ranges for common healthcare services to enable consumers to make informed decisions.
"Third, strengthening the digital health ecosystem through electronic medical records to improve quality of care and reduce the need for repeated diagnostic tests.
"Additionally, expanding cost-effective options through Rakan KKM and the provision of more affordable hospitals, including encouraging the expansion of non-profit hospitals.
"Lastly, transforming the provider payment mechanism to a DRG system to ensure value-based healthcare payments that align with the interests of patients, healthcare providers, and payers," he said.
He added that the implementation of Reset initiatives is monitored by the Joint Ministerial Committee on Private Healthcare Costs (JBMKKS), co-chaired by Finance Minister II Datuk Seri Amir Hamzah Azizan and Health Minister Datuk Seri Dr Dzulkefly Ahmad.
He was responding to Sim Tze Tzin (PH-Bayan Baru) on the Reset strategy to address medical inflation.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Malay Mail
2 hours ago
- Malay Mail
Rebuilding Malaysia's house of care by using AI in RMK13 — David Chang and Sean Thum
AUGUST 2 — Malaysia is rebuilding our national house of care, and this time, we must do it right. After decades of wear and tear, our health systems need structural repair. The 13th Malaysia Plan, or RMK13, unveiled by Prime Minister Anwar Ibrahim, gives us the blueprint. It outlines a vision for a stronger, fairer, and more resilient Malaysia. Artificial intelligence is one of the tools that can help us get there. RMK13 rests on three pillars. First, raising the floor, so no one is left behind. Second, raising the ceiling, to push Malaysia into high-growth and high-value industries. Third, strengthening the foundations that hold everything together, through better governance and more responsive institutions. Nowhere is this transformation more urgent than in healthcare. Our clinics are overcrowded. Healthcare workers are stretched. Rural communities still face gaps in access. At the same time, our healthcare workers are carrying enormous pressure, often without the tools or support they need. If healthcare is the room in which the rakyat most often encounters the state, then it must be livable, accessible, and built to last. Raising the floor in health means improving services for the rakyat. Everyone, from elderly to children, from rural to urban, deserves reliable and timely care. It also means protecting the well-being of those who provide that care. AI can help achieve both. Artificial intelligence is not a replacement for doctors or nurses, but it can help ease their load. For example, natural language tools can write patient notes or summarise medical histories. This gives health workers more time to focus on patients. AI can also help screen for diseases early. Malaysia's own Dr Mata system already uses AI to detect diabetic eye disease in thousands of patients. These tools bring care closer to where people live. A nurse in a rural clinic, equipped with a simple tablet and an AI app, can perform eye scans, triage symptoms, or follow up with patients more effectively. This is what it means to use AI to raise the floor. We are not replacing human care, but extending its reach. Raising the ceiling means taking bold steps toward a more innovative healthcare system. Across the world, hospitals are using AI to detect heart conditions, spot tumours in scans, and even advise on treatments for rare diseases. These tools are not perfect. The author notes that Malaysia should become a place where medical innovation is both exported and accessible to our own people. . — AFP pic A homegrown health AI sector could also create new jobs and raise our global profile. Malaysia should become a place where medical innovation is both exported and accessible to our own people. The third pillar of RMK13 is good governance. In health, this means making systems that are efficient, transparent, and trusted. Right now, too many processes in our hospitals are slow or repetitive. Doctors spend hours on forms and paperwork. Patients are referred between departments with missing or incomplete records. AI can help streamline these tasks. It can automate basic documentation, manage patient flow, and support scheduling. These may seem like small improvements, but together they free up time, reduce mistakes, and make the system more responsive. One of the clearest priorities under RMK13 is building a single lifelong health record for each citizen. One person, one record. This is essential if AI tools are to work well. But it also improves care in general. With complete and accurate records, doctors can make faster, safer decisions. With better data, public health responses can be more targeted and effective. For this to work, we need strong data governance and clear safeguards. Health information is sensitive. Malaysians must trust that their records are safe, and that AI will be used to help, not harm. All of this depends on people. No technology can run itself. If we want AI to support healthcare, we must first support our healthcare workers. This includes fair pay, better career pathways, and continuous training. It also includes recognising and retaining the talent we already have. The 'Made by Malaysia' slogan is not just about products. It is about people. We cannot lead in AI or health if we continue to lose our best minds to burnout or emigration. Talent is our foundation. RMK13 gives us the chance to rebuild healthcare with purpose. Artificial intelligence is just one tool. But if we use it wisely, we can build a system that is more efficient, more humane, and more ready for the challenges ahead. This is our shared house. Let us build it so that no one is left waiting at the door. * This is the personal opinion of the writer or publication and does not necessarily represent the views of Malay Mail.
Daily Express
4 hours ago
- Daily Express
RM2.3 billion lost to respiratory diseases: Experts
Published on: Saturday, August 02, 2025 Published on: Sat, Aug 02, 2025 Text Size: According to the 2023 National Health and Morbidity Survey, 6 per cent of adults and up to 13 per cent of children in Malaysia have asthma, with an estimated one in three sufferers remaining undiagnosed. Kota Kinabalu: Respiratory diseases continue to pose a significant challenge to the Malaysian and Sabah health systems, with experts calling for more integrated strategies to manage asthma, chronic obstructive pulmonary disease (COPD) and post-tuberculosis (TB) lung conditions. According to the 2023 National Health and Morbidity Survey, 6 per cent of adults and up to 13 per cent of children in Malaysia have asthma, with an estimated one in three sufferers remaining undiagnosed. Another study puts the national prevalence of COPD at 6.5 per cent among adults, a disease that often leads to breathlessness and poor quality of life. The cost of managing COPD is estimated at RM2.3 billion a year, with additional financial pressure caused by reduced productivity and increased social welfare costs. Although Sabah-specific statistics are limited, health officials believe the situation mirrors the national trend. More efforts are being made in the state to strengthen screening and diagnosis, particularly in rural areas. These issues took centre stage in here as more than 100 health experts and researchers from across Asia gathered for the Annual Scientific Meeting of the NIHR Global Health Research Unit on Respiratory Health (Respire), Held from July 29 to Aug 1, marking the first time Sabah is hosting the annual meeting since the programme was launched in 2017. Themed 'Promoting and Prioritising an Integrated Lung Health Approach', the meeting brought together participants from Malaysia, Bangladesh, India, Indonesia, Nepal, Pakistan, the Philippines, Sri Lanka, Thailand, Vietnam and the United Kingdom, who presented research findings and discussed strategies to reduce the burden of lung disease in low- and middle-income countries. The discussions highlighted the need to improve early diagnosis, provide timely treatment and ensure long-term follow-up for chronic respiratory conditions, particularly for communities with limited access to healthcare. The event was officiated by Deputy Director-General of Health (Research) Datuk Dr Nor Fariza Ngah. Dr Nor said the Ministry of Health (MOH) remains committed to addressing lung health issues through the Healthy Lungs Initiative 2025-2030, which aims to enhance screening and care services nationwide. Sabah, in particular, continues to record the highest TB burden in the country, with 161 cases per 100,000 population. In response, Respire researchers are working with the Sabah Health Department and MOH to co-develop a clinical tool for improving TB diagnosis in primary care settings, especially for patients with smear-negative results. Malaysia has also taken a lead role at the international level, tabling a resolution at the 78th World Health Assembly to address asthma, COPD, TB, lung cancer and pneumonia, along with environmental factors such as air pollution and access to affordable diagnostics and medicines. The Respire programme, led by the University of Edinburgh and Universiti Malaya, is supported by the United Kingdom's National Institute for Health and Care Research (NIHR). It aims to deliver sustainable, cost-effective respiratory health solutions through collaboration with institutions across Asia.
Malay Mail
8 hours ago
- Malay Mail
Op Selamat PaPa: Over 280,000 premises checked, 459 cases under smoking control law
KUALA LUMPUR, Aug 2 — The Health Ministry (MOH) has inspected 281,381 premises throughout the country under Op Selamat Paru-Paru (Op Selamat PaPa) conducted since Oct 1, 2024. Its minister, Datuk Seri Dzulkefly Ahmad said that 459 investigation papers were opened under the Control of Smoking Products for Public Health Act 2024 (Act 852), 340 for advertising smoking products, 68 for selling smoking products not according to set prices and 51 for manufacturing, importing or distributing smoking products not according to proper packaging and labelling. 'The operation is a significant step to protect the young generation from the dangers of smoking products, including electronic cigarettes and vape,' he told reporters after attending the launch of the national level Op Selamat PaPa here yesterday, after joining an operation at the area around KL Traders Square, where he distributed flyers on Act 852 to traders. Act 852 came into effect on Oct 1, 2024 and was introduced to strengthen controls over the sale, advertising and promotion of all smoking products and is specially for non-adults aged under 18, who are prohibited from being involved with the sale, purchase or use of any smoking product. — Bernama
