Zimbabwe commits to boost domestic health financing

Zimbabwe has taken a significant step towards strengthening its health system by committing to increase domestic financing through a health levy, a sugar tax, establishment of National Health Insurance and other initiatives. This commitment was made during a three-day national dialogue on health financing, aimed at exploring sustainable strategies to improve the country’s health sector which brought together key stakeholders, including government officials, healthcare providers, civil society organizations, and international experts, to discuss innovative approaches to bolstering financing to the country’s health system.

Finance, Economic Development and Investment Promotion Deputy Minister Kudakwashe Mnangagwa announced $10 million through the Health Levy and $18 million through a sugar tax has been raised to date. These funds are intended to strengthen the country’s health system and improve access to healthcare for all citizens.

“We will have periodical meetings between Treasury and the Ministry of Health and Child Care(MoHCC) to discuss major challenges facing the health sector, including budget utilisation, disbursements, cash support, as well as coming up with a minimum monthly health sector requirement to guide our cash flows,” he said.

The country is yet to meet the Abuja Declaration target of allocating 15% of its annual budget to health, leading to a healthcare system burdened by rising costs, limited resources, and inequitable access to care. Imposing taxes on unhealthy products like tobacco and alcohol can generate additional revenue for health programmes. Countries like Vietnam and South Africa have implemented such measures with varying degrees of success.

Key issues identified during the dialogue included the need to increase public revenue allocation to healthcare, improve the predictability and stability of funding flows, and strengthen accountability mechanisms. Collaboration with the private sector, establishing efficient cost-recovery mechanisms, ensuring health remains a priority in national budgets, leveraging indigenous knowledge systems, and timely disbursement of health funds were some of the recommendations brought forward during the meeting. In addition to sin taxes, levies, diaspora remittances, and climate financing, investing in preventive health programmes, expanding immunization programmes, and prioritizing allocation to primary health care and prevention of high-burden diseases were identified as some of the low-hanging fruits. 

To improve service delivery, shifting from siloed approaches to consolidated management structures, implementing cost-effective quality improvement initiatives, and identifying and eliminating wastage were also emphasized. Collaborating with civil society organizations, involving communities in decision-making, investing in capacity building for health workers, promoting innovation, developing social contracting policies, and promoting regional, national, and subnational knowledge exchange were also highlighted as important strategies. 

The World Health Organization (WHO) Representative to Zimbabwe Dr Desta Tiruneh commended the government’s commitment to health financing and emphasized the need for collaboration between the MoHCC, the Ministry of Finance, and Parliament to implement proposed reforms and ensure equitable access to healthcare. He pledged WHO continued support to the government in implementing the recommendations provide during the dialogue and achieving the goal of Universal Health Coverage (UHC).

Distributed by APO Group on behalf of World Health Organzation (WHO) – Zimbabwe.