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Health Sector Budget Performance Analysis 2019-2021 - P4H Network

Health Sector Budget Performance Analysis 2019-2021

Results are presented on the budgetary performance of the health sector in 8 countries. This document can serve as a guide for other countries in the region to improve financial management in the health sector, allowing for a more effective and efficient response to health crises and greater protection of the population’s health.

The main findings in the analysis of budget performance in the health sector over the 2019-2021 period include:
– Central government transfers to mandatory contributory health insurance schemes: It is observed that in countries such as Chile, Colombia, Panama, Dominican Republic and Uruguay, central government transfers to these schemes represented different proportions of the expenditure of health insurance schemes, Chile being the country with the highest proportion equal to 60%.
– Impact of the pandemic on budget formulation and execution: It is mentioned that the response of governments affected the ability to predict the health budget, with an increase in the budget execution rate due to significant adjustments made to the initial budgets. These findings highlight the importance of analyzing budget performance in the health sector to understand how financial resources are allocated and used, especially in crisis contexts such as the COVID-19 pandemic. The allocation and use of financial resources in the health sector varied greatly among the countries analyzed, suggesting differences in the absorption and management capacity of resources allocated to health.

The differences in the efficient use of budgetary resources among the countries analyzed reflect the diversity of contexts, management capacities and responses to the health crisis in the region. These disparities underscore the importance of strengthening financial management capabilities in the health sector to achieve a more equitable, effective and efficient allocation of resources.

The evidence presented in the paper highlights the importance of increasing public investment in resilient health systems. This information can motivate other countries to prioritize investment in health and adapt their public financial management regulations to ensure the sustainability and efficiency of their health systems.

Reference
Pan American Health Organization/World Health Organization, Health Sector Budget Performance Analysis 2019-2021 Results for Chile, Colombia, Dominican Republic, Guatemala, Honduras, Panama, Peru and Uruguay, Pan American Health Organization, 2024