The total expenditure on health and drug expenditure in jiangsu province in recent ten years was analyzed. Forecast the trend of total expenditure on health in the late period of the 13th five-year plan. Provide data reference for health financing decision-making and medical cost control. Methods: Accounting analysis and speculation are carried out by means of source, institutions flow method and fast calculation method. Results: The growth rate of health financing in jiangsu province slowed down in the late 12th five-year plan period. Synergistic enhancement with national economic development; However, the drug expenditure level is high, patients and medical insurance funds are under great pressure, and there is still a long way to go in drug cost control.