Health Financing/Insurance

World Bank approves additional funds for health development in Tanzania

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The World Bank Board of utive Directors has currently approved an additional International Development Association (IDA) credit of US$ 60 million for the Government of Tanzania to support the second phase of the Health Sector Development Project.

The additional funds of the World Bank will support Tanzania’s Second Health Sector Strategic Plan (HSSP) for an additional two years: 2007-2009. Through this project there will be increased funds for more efficient delivery of essential health services and staffing at district level. Out of the total additional financing, US$ 35 million will be disbursed through a pooled fund, which finances the annual work plan and budget of the Ministry of Health and Social Welfare, and the Comprehensive Council Health Plans of 121 districts. Nine Development Partners, including the World Bank, United Nations Fund for Population Activities, Canada, Denmark, Ireland, Germany, the Netherlands, Norway and Switzerland will contribute to this “health basket fund” in order to reduce transaction costs and strengthen government systems. The remaining US$ 25 million will support the Government of Tanzania’s innovative public-private partnership for increasing the use of insecticide treated bed-nets to prevent malaria. The main objective of the additional financing is to assist the Government of Tanzania in continuing to improve the quality of health services and the management of resources allocated to the health sector through strengthening health sector policy and strategy, and through building institutional capacity. The Government of Tanzania in 2000, with support of IDA and other development partners, embarked on a long-term health sector development program aimed at improving access, utilization, quality and financing of health services through increased efficiency and effectiveness in use and allocation of resources.

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