China boosts medical insurance spending on innovative drugs

During the 14th Five-Year Plan period (2021-2025), China's medical insurance spending on innovative drugs grew significantly with it increasing by 40 percent annually, an official from the National Healthcare Security Administration said on Thursday.

In 2024, related spending reached 3.9 times the amount recorded in 2020, Zhang Ke, head of the administration, told a press conference.

During this five-year period, medical insurance fund expenditure totaled 12.13 trillion yuan (about 1.7 trillion U.S. dollars), growing at an average annual rate of 9.1 percent, Zhang said.

According to Li Tao, the administration's deputy head, the basic medical insurance fund spent 2.98 trillion yuan in 2024, with the financial burden of patients reduced by around 5 percent compared to the previous year.

Also, relevant departments have strengthened supervision of the spending and operation of medical insurance funds, adopting a zero-tolerance approach to all types of fraud and abuse related to these funds -- retrieving 104.5 billion yuan as a result, Zhang said.

By the end of 2024, the cumulative balance of medical insurance funds was 3.86 trillion yuan, Zhang revealed.