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Many low-and lower-middle-income countries currently get a large portion of their health commodities through centralized, donor-managed procurement mechanisms, and often at subsidized prices or as donations. As global disease burdens shift, technology advances, and countries transition from aid, how will they ensure continued access to appropriate, affordable, and effective health products? CGD offers actionable recommendations for the future of global health procurement.
In recent years, many global health institutions have adopted eligibility and transition frameworks for the countries they support, generating questions about how these frameworks apply in practice—and whether global health progress will be put at risk through premature or poorly planned transition processes.
Today, politicians are under growing pressure to squeeze more out of every dollar and guarantee greater access to better, more affordable healthcare for their citizens. In such a resource-constrained environment, wasting trillions of dollars on health every year is not viable. This note provides an overview of some of the approaches and policy options that the National Health Service in England has been using to maximise value for money.
This post previews preliminary answers to one initial question: what can we say about the size and nature of health commodity markets in low- and middle-income countries? We share early insights; list the data sources we used, while also signalling others we hope to draw on going forward; and highlight our assumptions and caveats.
What can we say about the relative size and composition of health commodity markets across different countries? We took a stab at piecing together publicly available data sources to find an initial answer for low- and middle-income countries as part of the background work to inform the CGD Working Group on the Future of Global Health Procurement.
Whether it’s called strategic purchasing, evidence-informed commissioning, or value-based insurance, the quest to squeeze better value out of existing resources is global. But lack of clarity regarding global and national healthcare investment goals, coupled with low technical capacity in ministries of health and insurance funds and multiple competing interests for attracting healthcare dollars, all make proactive evidence-informed buying hard to achieve. The global health community ought to help Ghana and countries like it strengthen their national systems for allocating resources including when selecting, negotiating prices, and procuring medicines for their populations.