Fiscal Space for Health in Malawi and Revenue Potential of 'Innovative Financing'
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World Bank, Washington, DC
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Malawi’s population has grown rapidly
from almost 3.6 million in 1960 to around 16.3 million in
2015 with about 85 percent of the population residing in
rural areas. During the past twenty-five years, Malawi has
made significant progress in increasing coverage for key
maternal, child health and nutrition services, leading to
improvements in several health outcomes. However,
Significant health system bottlenecks limit service coverage
and provision of quality health care. Gaps in service
coverage and poor quality of service are symptomatic of a
poorly financed and or inefficient health system. This
report is organized as follows. The next section of this
paper (Section 2) outlines the country context including the
population and demographic characteristics, health service
delivery, macro-fiscal situation, and the health financing
profile. Section 3 presents the results from the fiscal
space for health analysis for each of the five pillars
namely: (i) Conducive macroeconomic environment; (ii)
Re-prioritization for health; (iii) Generating additional
resources for health; (iv) Increased health sector-specific
foreign aid; and (v) Improved efficiency in the health
sector. Section 4 provides the results from the review of
the proposed areas for earmarked taxation while Section 5
summaries these results. Suffices to say that revenue
forecasts on fuel and motor vehicle insurance are provided
in the main body of the report while the analyses on
extractives industry, alcohol, and tobacco products are
provided in the Annexes. Lastly, Section 6 outlines the key
conclusions and recommendations from the study.
Palabras clave
HEALTH, PUBLIC FINANCE, INSURANCE, TAX, GROWTH, POLICY, DEMOGRAPHICS, HEALTH FINANCE, FISCAL TRENDS, TAXATION, EARMARKS