Colombia’s Senate C’mmittee rejects proposed health reform by Petro govt.

A senate committee has rejected a health reform proposal by Colombian President Gustavo Petro’s administration, in a new setback for the leftist.

According to the government, the change aimed to rid insurers of authority while increasing access to healthcare, but critics said it would lead to corruption.

According to reports, the measure, which received nine votes in favor and five against, is likely to boost markets, which have been cautious of reform initiatives.

Petro lamented the vote on social media platform X, saying the committee was sending the message that major reforms are not possible and adding that business owners have become the “owners of politics.”

Report says the government will be able to propose a new version of the reform during the next legislative session, which begins in July.

Petro’s government this week took control of two major insurers – Sanitas and Nueva EPS, which combined have some 16 million insured alleging they have failed to provide adequate care.

The opposition criticised the move, saying it would give the government greater control over the healthcare system.

The government may try to intervene more through regulators in response to the legislative defeat, said Sergio Guzman of Colombia Risk Analysis.

Additionally, Petro is pushing a pension reform and changes to labor laws. The Senate could vote to reject the pension effort later.

The health bill proposed creating a government agency that would centralize payments to ensure quick disbursements to clinics and hospitals, which frequently complain of paying delays.

According to the body that administers payments to the health system, the government owes about 2 trillion pesos ($511.7 million) to healthcare providers, although hospitals, clinics, and other organizations say the figure is much higher around 10 trillion pesos.

The reform also proposed the creation of primary care centers to guarantee timely care for patients and free up emergency services, but limited patients’ choice of clinics to ones close to their residences.