Nairobi, Kenya, 26 August 2016 - The World Health Organization has released a report on health financing in Africa titled, ‘Public Financing for Health in Africa: from Abuja to the SDGs’, 

The report was released today at an event in the lead up to the the sixth Tokyo International Conference on African Development (TICAD VI) in Nairobi, Kenya, on 26 August 2016.

According to the report, since 2001, most African governments have increased the proportion of total public expenditure allocated to health – keeping true to the commitments made in Abuja to ensure sustainable and equitable health coverage.

"In 2014, African countries spent about $126 billion of domestic funding for health, and WHO estimates that an additional $65 to $115 billion in domestic funding can be mobilised annually over the next ten years,” said Margaret Chan, Director-General of the World Health Organization. “WHO is working with countries in Africa to generate those funds and help them shape the policies that will put them to best use.”

In commending the progress made so far, Dr Matshidiso Moeti, WHO Regional Director for Africa, notes that health is predominantly financed by domestic resources in Africa. 

“The challenge is how to transform domestic investments in health into actual progress toward ensuring that everyone, everywhere has the opportunity to live a healthy and productive life. Increased reliance on public funds to finance coverage expansion has proven to be successful in other settings.in reducing out-of-pocket spending and therefore improving financial protection,”  said the WHO regional Director for Africa. 

The report notes that experiences from countries in reforming public finance systems to support progress towards UHC indicates (shows) that success requires appropriately targeted health budget allocations, complete execution of health’s public budgets, and improved efficiency.

The need to develop strong health financing systems is a common objective of all countries.  However the significant informal sectors of some national economies and limited capacity in raising public revenue
makes tax collection and allocation difficult and limits opportunities for robust investments in health. 

Innovative resource mobilization instruments and effective government spending on health shall help bridge the funding gaps but external funds will still remain critical in many contexts especially with more effective use through improved predictability of flows and their harmonization with national priorities and mechanisms.

Several African countries have recently implemented successful health financing reforms that have improved financial risk protection, moving them closer to the goal of universal health coverage (UHC). Mechanisms have been put in place by some countries to protect poor and vulnerable peoples with measures that have abolished or reduced user fees at point of access to health services. The next important steps include the system-wide investments required to effectively improve quality of health services.

Public financing for health in Africa: from Abuja to the SDGs