In September 2011, the country announced an 11% reduction in the National Health Servicebudget for 2012 which actually represents double what the Troika demanded in the bailout agreement, says the OECD report, Health Spending Growth at Zero – Which countries, Which sectors are most affected?
According to the document, health spending fell 5.2% in 2011 compared with previous years. The average reduction for the other countries was 0.7%. The document also shows that not only reductions were made in medicines but also with the reorganisation and rationalisation of health services.
The OECD report says that “in Portugal, the Government undertook to achieve significant savings in 2011 and 2012. These were made possible by reducing tax allowances and health benefits for civil servants as well as the reduction on the management team.”