External reference pricing for medicines in Ukraine: latest trends

Compared to the previous year, the share of healthcare expenditure in the state budget of Ukraine has decreased, which is associated with increased funding for the security and defense sector. In terms of gross domestic product, healthcare spending has reduced to 2.8 %, which corresponds to the figu...

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Main Authors: L. I. Kucherenko, I. V. Nizhenkovska, N. V. Sholoiko, L. O. Hala, N. O. Datsiuk
Format: Article
Language:English
Published: Zaporozhye State Medical University 2023-11-01
Series:Aktualʹnì Pitannâ Farmacevtičnoï ì Medičnoï Nauki ta Praktiki
Subjects:
Online Access:http://pharmed.zsmu.edu.ua/article/view/287758/284234
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author L. I. Kucherenko
I. V. Nizhenkovska
N. V. Sholoiko
L. O. Hala
N. O. Datsiuk
author_facet L. I. Kucherenko
I. V. Nizhenkovska
N. V. Sholoiko
L. O. Hala
N. O. Datsiuk
author_sort L. I. Kucherenko
collection DOAJ
description Compared to the previous year, the share of healthcare expenditure in the state budget of Ukraine has decreased, which is associated with increased funding for the security and defense sector. In terms of gross domestic product, healthcare spending has reduced to 2.8 %, which corresponds to the figures for 2019. These circumstances indicate the importance of proper budget utilization, including effectively regulating medicine prices. One of the key elements of rational healthcare budget usage is the development and implementation of external reference pricing (ERP). A well-formulated and implemented ERP policy for pharmaceuticals contributes to improving patient access to essential medicines (EMs). The aim of this study is to analyze the current status of ERP implementation in Ukraine and provide recommendations for improving this policy. Materials and methods. During the research process, an analysis of the ERP’s current regulatory framework was conducted, and ERP implementation in Ukraine was assessed according to adherence to the 14 best practice principles of ERP proposed by Sullivan, Kanavos & Kalo in 2015. Results. In Ukraine, ERP has been introduced for medicines from the National Essential Medicine Lists (NEML) and the “Affordable Medicines” program. The Ministry of Health (MoH) of Ukraine has approved a Register of marginal wholesale prices for medicines purchased with state budget funds and subject to price regulation. Currently, the register includes 1239 medicinal products, of which 1233 are from NEML and 6 have undergone Health Technology Assessment (HTA). Approximately 58 % of medicines have a set price through ERP, 24 % are regulated by internal reference pricing (IRP), and nearly 18 % have declared prices. This indicates a lack of uniformity in approaches to price regulation for medicines and requires further improvements. According to the latest update of the Register of medicines for reimbursement under the state medical guarantees program, there are 486 medicines, including 72 insulins and 21 immunosuppressive medicines (184 medicines are provided with co-payment). Different approaches, including different reference countries and price calculation algorithms, are applied for the price regulation of medicines in NEML and the “Affordable Medicines” program. An assessment of the implementation of the ERP system in Ukraine based on the 14 best practice principles of ERP proposed by Sullivan, Kanavos & Kalo in 2015 showed that the current policy does not adhere to all principles. Conclusions. The analysis revealed different approaches to pricing for medicines NEML and the “Affordable Medicines” program, indicating the need for harmonizing pricing policies for different lists. The adoption of a unified positive list can contribute to improving pricing policies and efficient resource utilization. Collecting, disseminating, and exchanging data on drug prices is crucial to support transparency in pricing and its control. Regular monitoring of prices in the market will help ensure compliance with pricing policies and take appropriate measures in case of violations. The implementation of a unified pricing regulation policy for medicines in Ukraine is an important step towards European integration and compliance with international standards.
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spelling doaj.art-e0359d7cc0254776858c76ca12004f6d2023-11-20T13:32:46ZengZaporozhye State Medical UniversityAktualʹnì Pitannâ Farmacevtičnoï ì Medičnoï Nauki ta Praktiki2306-80942409-29322023-11-0116327227610.14739/2409-2932.2023.3.287758External reference pricing for medicines in Ukraine: latest trendsL. I. Kucherenko0https://orcid.org/0000-0003-2229-0232I. V. Nizhenkovska1https://orcid.org/0000-0001-5065-3147N. V. Sholoiko2https://orcid.org/0000-0002-5083-7218L. O. Hala3https://orcid.org/0000-0002-0086-2706N. O. Datsiuk4https://orcid.org/0000-0002-5975-7978Zaporizhzhia State Medical and Pharmaceutical University, UkraineBogomolets National Medical University, Kyiv, UkraineBogomolets National Medical University, Kyiv, UkraineBogomolets National Medical University, Kyiv, UkraineBogomolets National Medical University, Kyiv, UkraineCompared to the previous year, the share of healthcare expenditure in the state budget of Ukraine has decreased, which is associated with increased funding for the security and defense sector. In terms of gross domestic product, healthcare spending has reduced to 2.8 %, which corresponds to the figures for 2019. These circumstances indicate the importance of proper budget utilization, including effectively regulating medicine prices. One of the key elements of rational healthcare budget usage is the development and implementation of external reference pricing (ERP). A well-formulated and implemented ERP policy for pharmaceuticals contributes to improving patient access to essential medicines (EMs). The aim of this study is to analyze the current status of ERP implementation in Ukraine and provide recommendations for improving this policy. Materials and methods. During the research process, an analysis of the ERP’s current regulatory framework was conducted, and ERP implementation in Ukraine was assessed according to adherence to the 14 best practice principles of ERP proposed by Sullivan, Kanavos & Kalo in 2015. Results. In Ukraine, ERP has been introduced for medicines from the National Essential Medicine Lists (NEML) and the “Affordable Medicines” program. The Ministry of Health (MoH) of Ukraine has approved a Register of marginal wholesale prices for medicines purchased with state budget funds and subject to price regulation. Currently, the register includes 1239 medicinal products, of which 1233 are from NEML and 6 have undergone Health Technology Assessment (HTA). Approximately 58 % of medicines have a set price through ERP, 24 % are regulated by internal reference pricing (IRP), and nearly 18 % have declared prices. This indicates a lack of uniformity in approaches to price regulation for medicines and requires further improvements. According to the latest update of the Register of medicines for reimbursement under the state medical guarantees program, there are 486 medicines, including 72 insulins and 21 immunosuppressive medicines (184 medicines are provided with co-payment). Different approaches, including different reference countries and price calculation algorithms, are applied for the price regulation of medicines in NEML and the “Affordable Medicines” program. An assessment of the implementation of the ERP system in Ukraine based on the 14 best practice principles of ERP proposed by Sullivan, Kanavos & Kalo in 2015 showed that the current policy does not adhere to all principles. Conclusions. The analysis revealed different approaches to pricing for medicines NEML and the “Affordable Medicines” program, indicating the need for harmonizing pricing policies for different lists. The adoption of a unified positive list can contribute to improving pricing policies and efficient resource utilization. Collecting, disseminating, and exchanging data on drug prices is crucial to support transparency in pricing and its control. Regular monitoring of prices in the market will help ensure compliance with pricing policies and take appropriate measures in case of violations. The implementation of a unified pricing regulation policy for medicines in Ukraine is an important step towards European integration and compliance with international standards.http://pharmed.zsmu.edu.ua/article/view/287758/284234pharmaceutical preparationsreference pricesexternal reference pricinghealth technology assessment
spellingShingle L. I. Kucherenko
I. V. Nizhenkovska
N. V. Sholoiko
L. O. Hala
N. O. Datsiuk
External reference pricing for medicines in Ukraine: latest trends
Aktualʹnì Pitannâ Farmacevtičnoï ì Medičnoï Nauki ta Praktiki
pharmaceutical preparations
reference prices
external reference pricing
health technology assessment
title External reference pricing for medicines in Ukraine: latest trends
title_full External reference pricing for medicines in Ukraine: latest trends
title_fullStr External reference pricing for medicines in Ukraine: latest trends
title_full_unstemmed External reference pricing for medicines in Ukraine: latest trends
title_short External reference pricing for medicines in Ukraine: latest trends
title_sort external reference pricing for medicines in ukraine latest trends
topic pharmaceutical preparations
reference prices
external reference pricing
health technology assessment
url http://pharmed.zsmu.edu.ua/article/view/287758/284234
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AT nvsholoiko externalreferencepricingformedicinesinukrainelatesttrends
AT lohala externalreferencepricingformedicinesinukrainelatesttrends
AT nodatsiuk externalreferencepricingformedicinesinukrainelatesttrends