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Ekonomi & Bisnis editorial

Open AccessOA2025

Economic Burden and Policy Gaps in Noncommunicable Disease Management in Georgia: A Health Economics Perspective

This study examines the economic burden of noncommunicable diseases (NCDs) in Georgia, highlighting direct and indirect costs, healthcare system inefficiencies, and policy gaps. It recommends expanded public financing, improved cost-efficiency, and integration of NCD prevention into national development strategies.
Nino Mikava; Simon Gabritchidze· Agora International Journal of Economical Sciences· 2025· DOI 10.15837/aijes.v19i1.7154

The core problem

Noncommunicable diseases (NCDs) pose a significant economic challenge for healthcare systems, particularly in low- and middle-income countries such as Georgia. Beyond the health sector, the escalating burden of NCDs has substantial macroeconomic implications, including long-term fiscal pressure on public healthcare budgets, diminished labor market productivity, and increased poverty due to out-of-pocket healthcare expenditures. Collectively, these effects can impede national development and economic growth potential. This study employs a health economics perspective to examine the direct and indirect costs incurred by patients and caregivers, the economic inefficiencies of the current healthcare system, and the broader implications for labor productivity and national development.

Innovation

The study utilizes a mixed-methods approach, comprising:

- **Literature review**: Synthesis of existing evidence on NCD economics and policy in Georgia.
- **Qualitative focus group discussions**: Exploration of financial barriers, caregiving burdens, and infrastructure deficiencies from stakeholder perspectives.
- **Quantitative survey**: Measurement of direct and indirect costs, and assessment of policy inadequacies.

This triangulation allows for a comprehensive understanding of the economic impact of NCDs and the effectiveness of current policies.

Introduction
Noncommunicable diseases (NCDs) pose a significant economic challenge for healthcare systems, particularly in low- and middle-income countries such as Georgia. Beyond the health sector, the escalating burden of NCDs has substantial macroeconomic implications, including long-term fiscal pressure on public healthcare budgets, diminished labor market productivity, and increased poverty due to out-of-pocket healthcare expenditures. Collectively, these effects can impede national development and economic growth potential. This study employs a health economics perspective to examine the direct and indirect costs incurred by patients and caregivers, the economic inefficiencies of the current healthcare system, and the broader implications for labor productivity and national development.

Why it matters

The findings inform economic policy recommendations, including:

- **Expanded public financing**: Increase government spending on NCD prevention and control to reduce out-of-pocket costs.
- **Improved cost-efficiency**: Streamline care delivery, enhance primary care, and promote generic medicines.
- **Integration of NCD prevention**: Embed NCD strategies into national development plans to address social determinants and economic impacts.

The study advocates for urgent health system reforms that not only improve health outcomes but also mitigate the long-term economic impact of NCDs. The macroeconomic implications underscore the need for a multisectoral approach, involving finance, labor, and health ministries.

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