Health Financing
Health financing remains inequitable and inefficient.
Despite COVID-19-related spending surges in 2021, low-income countries saw declining health priority in government budgets. The latest data shows that 2 billion people suffer financial hardship.
Insights
Political: Many countries lack sustained political will to prioritize health in national budgets.
Economic: Inadequate domestic spending leave health systems vulnerable and millions financially exposed during illness.
Social: Health financing gaps hit poor and marginalized communities the hardest, with 2 billion people facing financial hardship due to healthcare expenses.
Technological: Digital tools for budgeting, cost-tracking, and payment systems remain underutilized in health financing reform.
Legal: Only a few countries have strong systems to ensure fair health financing or to protect public funds from being diverted away from primary and preventive care.
Environmental: External shocks—climate, pandemics, global supply chain disruptions—highlight the risks of weak, centralized, and underfunded systems.
Reflective Questions
How might countries shift toward more resilient and equity-focused health financing models?
What policy levers can increase domestic investment in foundational health services?
How can financial protection mechanisms be scaled to eliminate catastrophic spending for the most vulnerable?
Related Insight Cards
References:
World Health Organization and International Bank for Reconstruction and Development / The World Bank, 2023. Tracking universal health coverage: 2023 global monitoring report. Geneva: World Health Organization and The World Bank. Available at: https://iris.who.int/handle/10665/374059