China adds drugs eligible for state reimbursement

Beijing on Thursday published a new edition of a catalog of drugs eligible for reimbursement under government-backed insurance plans, boosting the number of approved medicines by 15.4% as it updated the list for the first time in seven years, Caixin reports. The new catalog lists 2,535 drugs, up from 2,196 in the previous version, published in 2009, according to a statement on the Ministry of Human Resources and Social Security of the People’s Republic of China website. Among the drugs in the updated catalog, 1,297 are Western and the other 1,238 are Chinese. Inclusion on the list can mean big profits for drug companies since their products become available for reimbursement under the government health insurance plans that cover most Chinese citizens. The big news could affect many pharma stocks.