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Health systems

Private sector participation in health

Improved government capacity needed for effective public-private partnerships

Authors: ; HLSP Institute
Publisher: HLSP Institute, UK, 2004

This document, from HLSP, examines a range of approaches to strengthening public-private sector partnerships in order to scale up affordable and quality-assured health services. The document summarises and assesses the evidence base for the impact of private sector interventions on the health of the poor and on the wider health systems. This includes both the supply side (contracting, social franchising and social marketing) and the demand side (vouchers, micro-credit and insurance schemes). This resource also includes four case studies involving Nicaragua, Cambodia, Pakistan and Tanzania.

The document outlines how governments need to have strong skills in market regulation and contracting to work effectively with the private sector. However, it notes that technical assistance will be required to build government capacity which is currently limited.. The document also argues that principles of public-private-partnerships need to be agreed so that funding available through Sector Wide Approaches (SWAps) can be fairly allocated. Finally, the authors outline how most countries will need to use a combination of interventions for successful scale-up of health services. However, there also needs to be considerable improvement in management and technical capacity within the public sector, including both knowledge and human resources, before this can happen. [adapted from author]

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