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During the years of Ukraine's independence, the healthcare system has not changed significantly. Until recently, the country had a fragmented network of medical institutions established in the Soviet Union years ago. This system did not cover the real customer needs and did not comply with international standards. Semashko system provided funding for medical institutions' existence, instead of funding for provided services. The lack of independence of budget medical institutions in decision-making, outdated infrastructure, low wages, and financing of the industry by a residual principle has caused a crisis in the healthcare industry. The article examines the primary world models of healthcare system organization, summarizes the approaches to the public administration of the domestic system and its financing in the healthcare reform context – outlines the main benefits and risks at the present stage. It proves the necessity and expediency of the non-state healthcare sector's development and clarifies the main mechanisms of state influence on its functioning; reveals a comprehensive approach to the public administration of this sector, which represents a set of management mechanisms: political, administrative, financial and economic, organizational, motivational, etc.
Keywords: healthcare, health reform, non-state healthcare sector, public health governance mechanisms.
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