Researchers Call for Alternative Health Financing

A cover page for a book assessing Universal Health Coverage in Uganda published in 2018. Tonny Odokonyero, a Research Analyst at the Economic Policy Research Centre (EPRC) co-authored Chapter 8.

Book Chapter Truncation

The book, titled “Universal Health Coverage in Uganda- Looking Back and Forward to Speed up the Progress”, by Makerere University School of Public Health, through SPEED project, was launched in May 3rd, 2018.

SPEED is an initiative that focuses on Supporting Policy Engagements for Evidence-based Decisions for Universal Health Coverage in Uganda.

It is being implemented through a partnership of the School of Public Health (Makerere), Economic Policy Research Centre, Uganda National Health Consumer’s Organization, and the National Planning Authority among other institutions.

The book looks at a compendium of reflections on Universal Health Coverage in Uganda while providing applied policy analysis and advice.

Tonny Odokonyero, a Research Analyst at the Economic Policy Research Centre (EPRC) co-authored Chapter 8 of the book, which discusses healthcare financing, named “Resource Mobilisation in the Context of Moving towards Universal Health Coverage”, with Chrispus Mayora Kwesiga Brendan and Baine S.O.

They called for alterative sources of health financing, since budget allocation to health has consistently been low as external funding and household out-of-pocket expenditure for health is dominant, raising sustainability, access to services, and financial catastrophe concerns.

“The health system is already burdened and currently cannot deliver all required essential health services as promised by the government,” the authors warn.

“To achieve Universal Health Coverage (UHC) in Uganda, resources for health must be increased through adopting alternative financing mechanisms beyond these traditional fiscal measures,” the trio recommends.

These options include, establishment of a special “Health Fund”, use of innovative fiscal measures such as “sin tax”, and strengthening the Public Private Partnership for Health.

The authors also recommend looking within the system to identify areas of resources waste.

They also call for a reduction in the contribution of direct out-of-pocket payments to prepayment-based methods of resource mobilization, including health insurance, and harnessing the untapped potential existing in the informal sector.

Estimates show that countries require US$60 to US$86 as per capita public expenditure on health to finance a Minimum Health Care Package for providing UHC.

The per capita public expenditure on health in Uganda is estimated to be between US$ 4 and US$ 7, which is far below the estimated funding for the provision of a Minimum Health Care Package.

Uganda derives health financing from development partners for health infrastructure development and maintenance, reproductive health, child health, HIV/AIDS interventions, among others.

Other sources of health financing include private financing for health, household out-of-pocket payments and commercial or corporate entities.

Gracing the 20 chapter book, Prof. Barnabas Nawangwe, the Vice Chancellor Makerere University in his forward writes thus “this book is a must-read for professionals in government concerned with improving health and well being in Uganda and similar countries.”

Dr. Jane Ruth Aceng the Minister of Health says the book provides an in-depth understanding of the policy trade-offs, especially in resource-constrained countries like Uganda.

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