IMF blog highlights fragmented health financing and inadequate domestic spending in low-income countries. They call for integrated health systems, better donor coordination, and increased domestic funding to achieve universal health coverage.
In their recent blog for the International Monetary Fund (IMF), Victoria Fan and Sanjeev Gupta from the Center for Global Development highlight critical lessons from the global response to COVID-19 and ongoing health crises like the mpox outbreak in sub-Saharan Africa. The authors argue that fragmented international health financing systems, combined with inadequate domestic spending, hinder effective healthcare delivery in low- and middle-income countries.
Public health budgets in these countries remain constrained, with many allocating less than 2% of GDP to health. Coupled with high debt burdens and insufficient tax revenues, health systems struggle to address growing demands from noncommunicable diseases and ageing populations. Meanwhile, international aid is fragmented, with donors prioritising disease-specific programs over systemic improvements.
Fan and Gupta advocate for a multipronged approach emphasising integrated health systems aligned with national strategies. They urge countries to enhance tax revenues and allocate more resources domestically, reducing reliance on volatile external funding. International donors, they suggest, should streamline efforts to avoid duplication and prioritise universal health coverage.
Drawing on lessons from the 2023 Lusaka Agenda and Paris Declaration, the authors emphasise the need for sustained collaboration between global health bodies, finance ministries, and donors to foster sustainable, equitable health systems worldwide.
