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Health Financing in Development Recent Trends in the Africa Alexander S. Preker World Bank Senegal Novembre 2007 15 10 Percentage Abuja Target Fifteen Percent of Gen Gov Revenues Government Expenditure on Health as Percentage of Total Government Expenditure 2002 25 20 5 0 Mozambique Dem. Rep. Congo Tanzania Rwanda Namibia Zimbabwe Chad Gambia Zambia Senegal Equatorial Guinea Malawi Uganda Algeria Mali Guinea Bissau Kenya Ghana Mauritius Madagascar Egypt Congo Eritrea Liberia Libya Arab Jamahiriya Morocco Guinea Angola Nigeria Burundi Abuja Target Regional Average 1 Pecentage Progress Towards the Abuja Target Has been Slow & Sometimes Negative 3.5 Dem. Rep. Congo Mozambique Gambia Cameroon Mauritania Senegal Angola Burkina Faso Lesotho Mali Uganda Central Africa Republic Tanzania Kenya Djibouti Zimbabwe Benin Zambia Namibia Rwanda South Africa Malawi Togo Ethiopia Sudan Swaziland Sierra Leone -1.5 Nigeria -1 Somaria Liberia -0.5 Percentage Point Change in Health Expenditure as percentage of National Budget 1998-2002 3 2.5 2 1.5 0.5 0 But the Abuja Target is Not Enough To Reach the MDGs Fig. 3.1.2: Expenditure on Health Compared to CMH Target Private Spending Abuja Shortall in Public Spending Would Meeting the Abuja Targets Make Much Difference? excludes all countries with total spend > $100 per capita Current Public Spend 100 90 80 70 Macromedia Contribute 3.lnk 60 50 40 US$34 CMH Target 30 20 10 E Africa W Africa Central Africa S Africa Sudan Morocco Egypt Swaziland S Tome Lesotho DR Congo Chad Congo CAR Cameroon Togo Angola Sierra Leone Nigeria Senegal Niger Mauritania Mali Liberia Guinea- Ghana Guinea Gambia Côte d'Ivoire Burkina Cape Verde Benin Uganda Tanzania Rwanda Mozambique Malawi Madagascar Kenya Eritrea Ethiopia Djibouti Comoros Burundi 0 N Africa Share of Public Spending to Reach Targets Figure 3.1.3 Share of Public Spending Required to achieve per capita public health expenditure of $34 Source: WHO 2002 excludes DRC, Niger and Ethiopia where share would need to exceed 100% 100 80 40 20 ia ni s Tu or oc co M Eg yp t Bo ts w an a N am ib ia Sw az il a nd ab on G C on go a R ep ub lic An go l ca n Le on e C en tra lA fri i er ia er ra Si N ig al M ss au ha na ea -B i bi am G ui n G -20 qu e Se yc he lle s Ta nz an ia Zi m ba bw Bu e rk in a Fa so C ôt e d' Iv oi re i aw M al M oz Ke ny a 0 Bu ru nd i D jib ou ti % of budget 60 External Spending for Health Has Increase Dramatically Recently Changes in HIV over time External Aid to SSA Growth in Social Sector Spending Composition of bilateral sectorspecific ODA from OECD members to all Sub-Saharan Africa 100% 80% 60% 40% 20% PRODUCTION SECTORS ECONOMIC INFRASTRUCTURE AND SERVICES SOCIAL INFRASTRUCTURE & SERVICES 0% 1973 1974 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 Share of sectorspecific ODA to all Sub-Saharan Africa 100% 80% 60% 40% 20% Ot h e r b i l a t e r a l ODA e x c l u d i n g d e b t r e l i e f Se c t o r s p e c i f i c b i l a t e r a l O D A 0% 1973 1974 1975 1976 1977 1978 Source: OECD DAC 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 There are Problems with Donor Funding Predictability and Longevity of ODA Must Be Improved Donor Commitment for Health as % of Total Health Expenditure Donor Commitments for Health as % of Total Health Expenditure 100 60.00 80 50.00 Mauritania 60 Tanzania 40 20 0 Guinea 40.00 Benin 30.00 Mali 20.00 Eritrea 10.00 Burundi Liberia 0.00 1997 1998 1999 2000 2001 1997 1998 1999 2000 2001 Somalia 0.0 Equatorial Guinea Madagascar Liberia Congo Sierra Leone Comoros Mauritius Burundi Libyan Arab Jamahiriya Mauritania Central African Republic Niger Democratic Republic of Congo Gabon Burkina Faso Algeria Mali Morocco Public spending on health as % of GDP Cameroon Benin Nigeria United Republic of Tanzania Sudan Kenya Egypt Cape Verde Angola Senegal Eritrea Seychelles Rwanda Ghana Ethiopia Tunisia Guinea Zambia Mozambique Swaziland Botswana Lesotho Côte d'Ivoire Guinea-Bissau Djibouti Chad Namibia Gambia Uganda Zimbabwe South Africa Malawi Togo Sao Tome and Principe % of GDP Much More Effort Needed To Harness Private Sector Resources Figure A2.1.3.1Health spending by Source as % of GDP Private spending on health as % of GDP 12.0 10.0 8.0 6.0 4.0 2.0 The End