Monrovia – NAYMOTE Partners for Democratic Development, as part of its Liberia Civil Society Activity (CSA) project, with support from the United States Agency for International Development (USAID) on Wednesday held a one-day national policy dialogue on alternative funding sources for healthcare in Liberia.
By Francis Boayue, [email protected]
The event, held at the Corina Hotel in Monrovia, brought together a diverse group of stakeholders to review Liberia’s health sector and its ongoing challenges with limited financial resources, which hinder efforts to improve health outcomes and access to quality care.
Overview of the Dialogue
Joshua Dennis Cleon, Deputy Program Director at NAYMOTE, provided an overview of the dialogue. He explained that the report examined alternative funding options that could provide a more sustainable financial base for healthcare in Liberia. According to Cleon, traditional funding sources—such as government budget allocations, international aid, and out-of-pocket payments—are often insufficient, unsustainable, and inequitable. This has led to a growing recognition of the need to explore new sources of funding to strengthen Liberia’s healthcare system.
“NAYMOTE, with USAID’s support, commissioned this study under the ‘Civil Society Activity’ project in June 2024 to investigate alternative funding sources and identify sustainable financing mechanisms to enhance Liberia’s healthcare system,” Cleon stated.
He added the study assessed best practices from other African countries and identified key policy recommendations and strategies that could be implemented by the Government of Liberia, especially through the National Legislature, Ministry of Health, and Ministry of Finance and Development Planning.
Key Findings
The study identified several alternative ways for Liberia to secure additional healthcare funding, including Public-Private Partnerships (PPP) for Health Infrastructure.
Through this, Naymote said Liberia could encourage private investment in healthcare infrastructure through Build-Operate-Transfer (BOT) agreements, where private entities finance, build, and operate health facilities before transferring ownership to the government.
Joint Ventures: The government could foster joint ventures between public and private sectors to develop and manage health facilities, ensuring efficient service delivery.
Outsourcing Non-Core Services: Outsourcing services such as diagnostics, waste management, and facility maintenance to private providers could enhance efficiency and reduce costs. Partnerships with pharmaceutical companies for local production and distribution of essential medicines were also suggested to lower costs and ensure a steady supply.
Innovative Financing Mechanisms: Issuing health bonds, such as Social Impact Bonds (SIBs), where private investors provide upfront capital for health projects and are repaid based on achieving specific health outcomes, was proposed.
Health Insurance Schemes: Introducing a national health insurance system and expanding community-based health insurance (CBHI) could pool resources and ensure universal health coverage.
Health Levies and Taxes: Implementing or increasing taxes on tobacco, alcohol, and sugary drinks, with the revenue earmarked for healthcare funding, was suggested.
Telecom and Airline Levies: Additional levies on mobile phone usage and airline tickets could be introduced, with the funds directed toward healthcare services and infrastructure.
Diaspora Bonds: Issuing diaspora bonds targeted at Liberians living abroad could encourage investment in the country’s healthcare sector.
Global Health Initiatives: Increasing engagement with global health initiatives, such as The Global Fund and Gavi, the Vaccine Alliance, could secure continued support for health programs, including immunization and vaccine procurement.
Conclusion
The study concludes that Liberia can build a sustainable and resilient healthcare system by leveraging public-private partnerships, innovative financing mechanisms, international and domestic philanthropy, and community and social funding. Collaboration among the government, civil society, and international partners will be crucial to the success of these initiatives.
Recommendations
In a set of recommendations, Naymote called for strengthening regulatory frameworks, creating an enabling environment for public-private partnerships and private investment in healthcare; adopt Innovative Financing Mechanisms. This could see the implementation of health insurance schemes, community-based health insurance, and explore social impact bonds.
The organization also called for the development of strategies to attract diaspora contributions and encourage corporate social responsibility (CSR) initiatives; enhancement of development partnerships to improve project management and accountability to secure and effectively utilize international aid.
In addition, it wants the Promotion of Community funding. This can be achieved through mobilizing communities and leveraging technology for health savings groups and crowdfunding initiatives.
