South African President Cyril Ramaphosa on Wednesday signed into law a bill that aims to overhaul the healthcare system to address deep inequality, but it faces legal challenges from critics. The law introduces what is known as National Health Insurance, which will provide funds for all South Africans to access private healthcare. Currently, 80% of the population relies on strained state-run public health services while about 16% has access to private healthcare through medical aid plans.
Ramaphosa’s ruling African National Congress faces the possibility of receiving less than 50% of the vote for the first time since it came into power in 1994. Concerns have also been raised about the affordability of the law and possible tax increases to fund it. The official opposition Democratic Alliance said Wednesday it would legally challenge the new law.