Argentina university hospitals at risk over funding gap
BUENOS AIRES, May 5 (UPI) -- Argentina's university hospital network could stop functioning because of a lack of funding, the Universidad de Buenos Aires warned, saying the government of Javier Milei has not transferred operational money so far this year.
In a statement, the UBA, Argentina's largest public university and one of the biggest in Latin America, said the situation directly affects a healthcare system that treats more than 700,000 patients annually. The university said the funding shortfall threatens essential services and the training of future health professionals.
"So far this year, the national government has not sent funds for the operational functioning of the hospitals," the UBA said.
Argentina's national budget for 2026 allocated about $57 million to university hospitals, but the Milei administration has not transferred funds this year, resulting in an estimated shortfall of nearly $14 million.
Those monies were intended to cover basic operating costs, including medical supplies, maintenance and essential services.
University and health sector representatives warned the delay is affecting operations, with reduced services, labor issues and limits on patient care, particularly for those without private health coverage.
"This will lead to a deterioration in hospital care over time. Hospitals are currently operating at a fraction of their capacity and are surviving on funds from insurance providers, private plans and donations," UBA finance secretary Matías Ruiz told Infobae.
Ruiz said care remains available but with restrictions, including fewer appointments and surgery postponements. He said debt is accumulating with firms that provide essential medical supplies.
At a press conference, Marcelo Melo, director general of the Hospital de Clínicas, said income from health insurance is being used to cover urgent expenses, such as supplies and medications, which are priced in dollars and are costing more.
"All we are asking is that the budgeted funds owed to us be transferred, because if this situation continues, in a month and a-half, we do not know if we will be able to continue treating patients," Melo said.
The national government called the information provided by UBA doctors "false."
In a statement, the Ministry of Human Capital said it has transferred in full the funds allocated under the 2026 budget law on a monthly basis, "including health-related spending for both personnel and operational costs."
The dispute is also tied to Argentina's university funding law, which requires the state to guarantee resources for public universities and includes salary adjustments for faculty and staff. Labor unions say the government is failing to comply with that law and the national budget.
They warn the situation threatens not only the operation of university hospitals, but also access to public health care and education.
The Milei administration has pursued a fiscal austerity policy aimed at achieving a zero deficit, including significant cuts to public university funding between 2024 and 2026, and has vetoed education funding measures approved by Congress.
Copyright 2026 UPI News Corporation. All Rights Reserved.
This story was originally published May 5, 2026 at 3:32 PM.