This publication discusses how countries in Asia and the Pacific can overcome public sector inefficiencies in the health system and how governments can obtain better outcomes on their journey towards universal health coverage. As governments in Asia and the Pacific invest more on health, unmasking inefficiencies in spending is a priority to achieve Universal Health Coverage (UHC). This paper looks at inefficiencies in the public sector, and how they affect the way health systems’ functions are performed. Countries in the region are making efficiency gains in the health sector. National Health Insurances, whereby a single payer is providing financial protection for an entire national population, are increasingly being used as an instrument to move toward UHC in Asia and the Pacific. Such systems offer a potential for efficiency gains and better performing health systems functions, from stewardship to pooling and delivering services.