The Securities and Exchange Commission of Pakistan (SECP) has released a detailed report titled “Healthcare Ecosystem in Pakistan”, offering an in-depth analysis of the current environment, stakeholder roles, and barriers to effective healthcare delivery.

The report emphasizes the alarmingly high out-of-pocket health expenditure in Pakistan, estimated at 47% of total healthcare spending, a figure significantly above countries like Malaysia (38%), Sri Lanka (40%), China, and Indonesia (both at 33%).

As part of its five-year “Journey to an Insured Pakistan” reform plan, SECP suggests expanding the health insurance market through targeted strategies. The report calls for innovative policy interventions in areas such as product development, pricing, underwriting, regulatory oversight, and greater engagement with the private sector.

Among its strategic priorities, the SECP strongly recommends that the Federal Board of Revenue (FBR) exempt personal-line health insurance from sales tax to make insurance more affordable for individuals. The report also highlights the dominance of corporate health coverage, accounting for 99% of premiums, versus a minimal retail market share of just 1%.

SECP Chairperson Akif Saeed underscores the need to integrate primary healthcare with universal health coverage, while Commissioner of Insurance Mujtaba A. Lodhi advocates for a collaborative, stakeholder-driven roadmap toward sustainable reform.

This initiative underscores Pakistan’s urgent need for an inclusive and resilient health financing model, one that reduces financial strain on households and strengthens broader health system resilience.