Despite impressive economic development in the region, many people suffer financial catastrophe and impoverishment each year because they have to pay for health care. Many others forgo health services because of the costs of health care. This reflects insufficient health spending by many countries in the region, limited prepayment mechanisms and safety nets, and an overreliance on out-of-pocket expenditures to finance the costs of health care. Ultimately, these concerns, the World Health Organization developed a new health financing strategy for Asia Pacific region.
This is defined as securing access for all to appropriate promotive,
preventive, curative and rehabilitative services at an affordable cost.
4 target indicators:
1. out-of-pocket spending should not exceed 30%-40% of total health expenditure;
2. total health expenditure should be at least 4%-5% of GDP;
3. over 90% population should be covered by prepayment and risk pooling schemes; and
4. close to 100% coverage of vulnerable population with social assistance and safety net programmes.
8 strategic areas:
1. increasing investment and public spending on heatlh
2. improving aid effectiveness
3. improving efficiency by rationalizing health expenditures
4. increasing the use of prepayment and pooling
5. improving provider payment methods
6. strengthening safety-net mechanisms for the poor and vulnerable
7. improving evidence and information for policymaking, and
8. improving monitoring and evaluation of policy change.