Jakarta (ANTARA) - Lawmaker Muchamad Nabil Haroen has called for state intervention to address the high cost of medicine in Indonesia compared to neighboring Malaysia.

"State intervention is crucial to lower the exorbitant prices of medicine," Haroen said in a statement on Saturday. "This can be achieved by increasing transparency and streamlining governance within the healthcare sector."

Haroen said that the government must improve the drug distribution and procurement system by reducing unnecessary bureaucratic processes and ensuring transparency in all processes.

Stricter regulations regarding drug prices and supervision are needed to prevent parties from profiting excessively from high drug prices, he added.

Haroen remarked that the government must also take a more active role in regulating and monitoring drug prices in the market, including by providing subsidies or incentives for domestic drug producers.

Close cooperation among related institutions is needed to develop comprehensive and integrated policies, he added.

Haroen suggests that medicine prices can be brought down by using technology to monitor and manage drug distribution, making it more efficient and transparent.

A follow-up meeting is scheduled in the next two weeks to discuss the results of in-depth studies conducted by various relevant ministries and institutions.

"We hope this meeting will yield concrete and effective policies to bring down drug prices in Indonesia," he said.

He outlined three key factors contributing to the higher cost of medicine in Indonesia compared to other countries.

Firstly, inefficient trade governance plagues the health sector. This includes issues like convoluted distribution processes, opaque regulations, and flawed procurement mechanisms.

Secondly, additional costs stemming from a lack of transparency further inflate drug prices.

"These costs may arise from lengthy distribution channels, unnecessary administrative expenses, and other factors," Haroen explained.

The third factor is the disparity in pricing and regulatory policies between countries. Haroen pointed out that Malaysia has a stricter and more effective mechanism for controlling drug prices compared to Indonesia.

"The House of Representatives is ready to support the government in ensuring more affordable medicine prices for the public," he added.

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Translator: Fath Putra M, Resinta Sulistiyandari
Editor: Anton Santoso
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