Private medical service providers have repeatedly expressed concern about possible unfair competition arising from state and municipal medical institutions receiving support in the form of various subsidies and funding from funds.
After a large-scale study that lasted more than two years, the Competition Council found neither dumping prices nor market distortion, reported the television program "De facto" on Sunday. One of the key conclusions is that the tariffs for state-funded medical services are too low. This increases the demand for paid services, makes them more expensive, and for less affluent patients, such services become increasingly inaccessible. With such paradoxical conclusions, the Competition Council appealed to the Ombudsman’s Office.
The healthcare market study was initiated about three years ago by private service providers. In their view, state-owned and municipal medical institutions provide paid services at undervalued prices because they receive state funding—from both funds and the budget. The Competition Council's study concluded in the spring of 2026.
"As a result of the initial defined actions, even during these negotiations, there has been a leveling of prices between service providers—regardless of whether it is the private or public sector. Currently, the prices for paid services are more or less similar," said Inara Petersone, executive director of the Health Employers' Association, representing the private medical sector.
"This is already one result. The second is the conclusions drawn. For many years, there has been a myth that private medical institutions only choose the most profitable, better-paid state services, while those that do not cover costs are not provided. This report concludes that this is not true."
The Competition Council also did not identify predatory low prices; however, it discovered another problem. The excessively low state tariffs for medical services contribute to the rise in prices for paid services, as providers seek ways to compensate for the lost funds. Additionally, the increase in prices stimulates high demand, notes the Competition Council. The public sector, in turn, is oriented towards the overall price level and follows the same trend. As a result, patients not only have to wait a long time in queues but also face a constant increase in the cost of paid services, which are becoming increasingly inaccessible.
