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Can the International Health Partnership deliver a new way of funding health spending?

Friday, September 07, 2007 2:56 PM by Simon Maxwell

The International Health Partnership was launched in London on 6 September, signed by 8 bilateral donors, 7 developing countries, 9 international organisations, and 2 other donors.  Importantly, the ‘signature party’ was led by two Prime Ministers, Gordon Brown from the UK and Jens Stoltenberg from Norway.  A high profile initiative, but here’s the interesting thing – no new money was involved.  The key focus of the initiative is ‘coordination’.  Two Prime Ministers and all those others, spending time and political capital on a dry subject like coordination.  What’s that about?

The answer is that the initiative has been conceived to raise the profile of health spending, but also to help solve the problems caused by the proliferation of national donors, international agencies, special purpose vehicles like the Global Fund, and private foundations, like Gates: the problems caused, in fact, by the very existence of all those who signed up to the Partnership.  As the DFID website announcing the launch observes, there are more than 40 bilateral donors working in this field, 26 UN agencies, 20 global and regional funds, and 90 global health initiatives.  Developing country ministers at the launch events spoke eloquently about the burden of donor overload, but also about the highly selective focus of donor health spending: AIDS and malaria are high profile and reasonably well-funded, but there are many forgotten diseases and problems. Under-nutrition, for example, is a neglected topic.

Thus, the International Health Partnership is firmly focused on the health problems facing the developing world, and on the need for more effort if the health MDGs are to be met.  It is framed in the context of a ‘Global Campaign for the Health MDGs’. The relevant statistics are there: 28,000 children die every day, every minute another mother dies in childbirth.  The real meat, however, lies in what the document has to say about working together to deliver better health.

The key objective is to ensure that collective efforts back ‘comprehensive, country-owned and developed health plans which produce tangible and measurable results’.  There need to be ‘sustainable health systems’  and ‘sustainable and fair structures for health systems financing’.  This means ‘strengthening and using existing systems of coordination, coordinating support to implementation of sector plans and shared accountability for achieving results.’

In this context, developing countries commit themselves to produce comprehensive health plans, in a participatory way and with accountability to their citizens for delivery; and donors commit themselves to working together to support these plans.  In an important phrase, donors commit themselves to ‘work to ensure that disease and population specific approaches and those to achieve broad health system strengthening are mutually reinforcing’.

Of course, the principles at play in the initiative are familiar from the discourse on ownership, alignment and harmonisation that characterise the Paris Declaration on Aid Effectiveness.  Explicit mention is made of the Paris Declaration, though a separate monitoring and evaluation mechanism is proposed for the initiative.

Finally, other partners are invited to join.  The initial list is: on the recipient side, Burundi, Cambodia, Ethiopia, Kenya, Mozambique, Nepal and Zambia; on the donor side, UK, Norway, Germany, France, Italy, Portugal, Netherlands and Canada; among the international organisations, WHO, the World Bank, the Global Fund, GAVI, UNFPA, UNAIDS, UNCEF, UNDG and the EC; listed as others, the Gates Foundation and the African Development Bank.

So much for the facts.  What thoughts are triggered by all of this?

First, it is surely an initiative that must be welcomed.  The problems being tackled are real, as we have consistently argued at ODI, for example in our work on aid architecture, but also in our sector-specific work on health policy, for example by Kent Buse.  There are three potential ‘big wins: (a) refocusing health aid from treatment of specific disease to the development of health systems as a whole, including infrastructure, training and so on; (b) reversing the tendency to fund certain diseases and ignore others, so-called forgotten or orphan illnesses; and (c) providing a framework for harmonisation and alignment which will greatly reduce the transaction costs and distortions facing recipient countries.

Second, and obviously, the value of the initiative will grow to the extent that others join – big donors like the US and Japan, other special programmes like PEPFAR or the various malaria programmes, and of course the many developing countries not yet listed.

Third, and again, obviously, the proof of the pudding is in the eating.  Paris has not proved an easy agenda to implement, as various evaluations have shown.  In particular, donors are often reluctant to give up their special enthusiasms and to sacrifice their trusted procedures.  There are also real problems in implementing the alignment agenda in fragile states where coherent and democratically accountable planning is still no more than an aspiraton.

Fourth, and following on from this, a big question will be whether the new partnership will be able to leverage the large reallocations in health that are likely to be needed if the principles are to be followed.  In particular, the untied budgets, those not pre-allocated to special purpose vehicles like the Global Fund, may find themselves cast in the role of funders of last resort, left to pick up the residual budget lines in national plans, or plans as a whole in unglamorous countries.  How will that go down?

Fifth, even if these problems can be solved, there remains the question about the size of health budgets relative to other sectors.  Is full funding of health budgets the right thing to do if other sectors are under-funded?  Who is making resource allocations at the margin?  How does the Ministry of Finance manage the macro-economy, including the size and distribution of public expenditure, in the face of global campaigns like this one for the health MDGs, or Education For All?

This is not to be churlish, however.  There has been much criticism of the proliferation of vertical funds, and the new International Health Partnership may provide the opportunity to implement a strategy that has been described as ‘campaign vertically but spend horizontally’ – in other words, campaign ‘vertically’ around key MDG targets, but embed spending ‘horizontally’ in government budgets.  There is lots to commend, therefore, and the challenge will be to see the partnership succeed.

 

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# ACP-EU News « APPA-SOURCE : The African News Source @ Monday, September 10, 2007 4:29 PM

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# ACP-EU News « APPA-SOURCE : The African News Source @ Monday, September 10, 2007 4:57 PM

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# re: Can the International Health Partnership deliver a new way of funding health spending? @ Monday, September 10, 2007 11:44 PM

Dear Colleagues

In my experience (going back to the 1970s) these coordination initiatives have a political and PR value to all concerned but nothing really changes from the perspective of the people at the bottom of the pyramid. I believe we can do better, but I do not see the macro approach and the top of the pyramid institutions actually doing very much of any tangible value at all.

Peter Burgess
Transparency and Accountability Network

Peter Burgess

# re: Can the International Health Partnership deliver a new way of funding health spending? @ Tuesday, September 11, 2007 6:46 PM

Dear development experts,

Given ODI's dependence on DFID funding can its Director be anything but an enthusiastic supporter of the IHP given its high political profile?  

How does the IHP add anything to donors and recipients commitments under the Paris Declaration for aid harmonisation?

Without new money what kind of leverage can the IHP exert at the country level?  

The conspicuous absence of the US and EC as signatories is troubling, particularly in terms of delivering at the country level.

So, I share Peter Burgess's views that this is mostly spin and hype and will not impact on the ground in terms of better or more aid for health.

Best regards,

Chris Lane
Consultant

Chris Lane

# re: Can the International Health Partnership deliver a new way of funding health spending? @ Wednesday, September 12, 2007 12:31 PM

Thanks, Chris.

A bit cheeky to criticise us for being acolytes of DFID.  ODI’s political and institutional independence is our most carefully-guarded asset.  Yes, we get about half our funding from DFID, but mostly on a contract by contract basis.  They say they value our challenge function, and we do challenge – see for example my blogs on the comprehensive spending review or on donor coordination.  On the substance of the health partnership, watch out for the forthcoming blog from Kent Buse at ODI.  For the record, however, the European Commission was a signatory of the IHP.

Simon Maxwell

# re: Can the International Health Partnership deliver a new way of funding health spending? @ Wednesday, September 12, 2007 2:22 PM

Simon Maxwell welcomes the newly launched International Health Partnership as it tackles problems which are real and vexing. While the compact promises no new money or institutions, it commits a number of important development partners and seven developing country governments to do things differently so as to make the existing money work more effectively and thereby accelerate flagging progress on the health MDGs.

The things that donors in the Partnership (IHP) promise to do differently are to better coordinate their support to assist to develop and implement comprehensive national health plans, provide aid to strengthen national health systems and, where possible, provide longer-term, flexible aid through national systems. Government partners pledge to invest further in health systems, address policy constraints to progress, strengthen planning and accountability mechanisms to make them more inclusive and transparent, and better link aid to improvements in health outcomes. Although roles for civil society are proposed in relation to planning, monitoring, review and accountability, civil society did not participate in the initial signing party.

Cynics may well ask if the IHP is a case of new wine in old bottles. Certainly the principles underlying many of the commitments made by both donors and governments build on pre-existing principles and commitments – as acknowledged in the IHP’s concept note. Through the initiative, support may be provided to (i) make country health plans more inclusive, ambitious and robust (an ambition dating back at least 15 years to the first health SWAps), (ii) undertake shared appraisal of country plans (again, joint annual reviews have been recommended for at least a decade), (iii) coordinate support and make funding more flexible (this commitment dates back to Monterrey Consensus of 2002) and link it to results (principles already applied by the GAVI Alliance and the Global Fund to Fight AIDS, TB and Malaria), and (iv) improve mutual accountability (as previously committed in the Paris Declaration on Aid Effectiveness).

But the launch of the Partnership is indeed significant in some respects. First, as pointed out by Simon Maxwell, it is newsworthy that heads of state and international agencies would devote political capital to an initiative that lacks any sex appeal and photo opportunities – indeed of the plethora of international health partnerships launched over the past decade, I can only think of one other that addressed an equally important but unglamorous issue – namely the Health Metrics Network. Optimistically, and paradoxically, one might hope that this announcement marks a turning point in international development – a reflection and recognition of the fatigue and frustration with the launch of new initiatives which often exacerbate rather than solve underlying problems within health sectors in developing countries.

The Partnerships is also noteworthy for the explicit but hedged reference to performance-based funding. It is described as a Compact between donors and developing country governments and states that increasing levels of external support are likely to be linked to performance. Application of this principle would mark a significant shift for many of the parties to the Compact and would require that a host of difficulties encountered in performance-based funding in the health sector and elsewhere are addressed. It is instructive to recall in this respect that the major education sector Compact, the Education for All - Fast Track Initiative, which has a well defined process of education plan ‘endorsement,’ has encountered problems after finding that its endorsement of country plans as credible and robust do not necessarily result in a boost of funding from donors.  

The third significant feature relates to the attention that is given to mutual accountability and in particular to the reliance on independent assessment and monitoring to inform accountability. While this is not wholly novel, and is a feature of a number of SWAps, it provides a potentially useful vehicle for increasing accountability in the sector – particularly of donors. Experience in the AIDS sector with the scorecard-type accountability tool promoted by UNAIDS – the Country Alignment and Harmonization Tool – suggests that developing country governments and civil society appreciate the light it shines on donor practices.

So the real question is whether or not the Partnership will be able to deliver where previous commitments have only been partially realized – or not realized at all.   The answer is that the devil is in the detail – and as both the global and national compacts have yet to be fully designed – there remains a window of opportunity to get the details right. In my view, four challenges require further thought and action.

First, our research on global health initiatives has revealed that failure to specify SMART objectives and to explicitly define roles and responsibilities of all partners at the outset leads to much ineffectual finger pointing and dissatisfaction when things do not go as well as expected. Inadequately elaborated objectives also undermine systems for performance review and accountability. With the daring and hopefully correct decision, to desist from establishing a secretariat to keep the venture and its partners on track, verifiable indicators are central to ensuring success and clear roles and responsibilities are necessary to ensure that it is indeed a partnership not just another tired cliché of one.

Second, the initiative provides another opportunity to leverage more programmatic support which delivers funds and technical support through national planning and budgeting systems (while strengthening them as required). In the first instance, one approach which would yield considerable returns, involves donors in this Partnership linking their support for replenishment of the Global Fund to progress that it makes on shifting to programmatic support. ODI research suggests that this is more a question of getting the Board and management to support a change to the internal culture than a matter of redesigning the Fund’s business model. A response to the call to ‘campaign vertically but spend horizontally.’ A second approach would involve improving the incentive frameworks within partner organizations to reward programmatic styles of working.

Third, and most boldly, the Initiative could recognize that limited progress on the MDGs is not merely the result of weak capacity, poor planning and aid (mis)management, but also the result of the quiet opposition posed by vested interests in the health sector – as we have argued at greater length in The Lancet. Small ‘p’ political opposition to resource reallocation, to sensitive but sensible policies on gender, sexual health, to the control of the determinants of non-communicable diseases, to shifts from project to programme approaches is real if often not widely acknowledged. Holding governments to account for their failure to deal with these small ‘p’ politics without providing them with the support to confront them is a recipe for failure. The Partnership provides an opportunity for the highest level acknowledgement of these barriers to the MDGs, for making them visible, and for developing approaches to address them.

Fourth, the Partnership promises a renewed emphasis on mutual accountability. Evaluations of past efforts at mutual accountability within the context of reforms to the aid architecture, for example of the Paris Declaration on Aid Effectiveness or the Global Task Team on Improving AIDS Coordination among Multilateral Institutions and International Donors, reveal the many challenges ahead. The technical issues are likely not overly complicated but will require significant investments in national monitoring systems. But all of this is of little use if there continues to be slippage on the political side – that is holding parties responsible with sensible sanctions for their failure to deliver on their commitments. As we have argued elsewhere, progress in this domain will require getting civil society to act on harmonization and alignment in the same way it has acted successfully on a range of issues (for example, on access and prices of drug to infant formula issues). If the politicians can take on such a dull cause – so too should the NGOs.

Kent Buse

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