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Introduction of a 'Better Budgeting Practices Tool' - for better alignment of PFM with HF - P4H Network

Introduction of a ‘Better Budgeting Practices Tool’ – for better alignment of PFM with HF

Public Financial Management (PFM) and Health Financing (HF) systems aim to make use of public funds effectively. In health this means that funds are spent efficiently and equitably, and used to purchase quality interventions.  Alignment between Budget Cycle/ PFM system and health financing policy is critical here.

The tool presented to the HF Technical Working Group of the Ministry of Health, Community Development, Gender, Elderly and Children is a tool developed initially by OECD and then adapted to LMIC through assistance of WHO/WB through Results for Development (R4D) Consulting firm.  It consists of a framework and diagnostic guide which helps to do 3 things:


    • Gain better understanding of the health financing environment and its bottlenecks

    • Create a collaborative roadmap for action that will allow countries to strengthen alignment and

    • Have lasting and constructive impact on dialogue between health and finance officials

The tool was presented by USAID’s Public Sector Strengthening Project (PS3) which, if consented to by the Government partners (MOHCDGEC, President’s Office for Regional and Local Government and Ministry of Finance), will assist in the application of the tool in Tanzania.

Application will be realized by conducting joint workshops (potentially in August) between the three Ministries to have them work through the tool, discuss jointly and thus be part of the analysis as well as the formulation of an action plan to overcome bottlenecks.  This process will be generally supported by WHO in TZ with support also from PS3 and P4H.

PFM and HF alignment_Rationale_Final

Tanzania_Process Guide Presentation short