Tanzania To Improve Health Sector With New TSZ 531 Billion Health Basket Fund

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The Development Partners Group Tanzania (DPG) has recently announced the signature of a new Memorandum of Understanding (MoU) between the Government and seven development partners that will contribute with the Health Basket Fund for the period 2015-2025 (HBF 2015-2025).

The aim is to support the implementation of a decentralized responsibility for health services to Tanzanian Government Authorities to reach a more efficient and effective use of aid resources.

The MoU signed with Canada, Denmark, Ireland, Switzerland, United Nations Population Fund (UNFPA), United Nations Children’s Fund (UNICEF) and the World Bank, settles a new HBF 2015-2025 worth TSZ 531 billion focused on improving the performance of the health sector in Tanzania.

The HBF 2015-2025 is also meant to support the Health Sector Strategic Plan IV (HSSP) which will guide the Tanzanian Health Sector for the next five years by driving major reforms and implementing health programs with financial incentives for workers according to their level of achievements.

According to the Tanzanian Permanent Secretary in the Ministry of Health and Social Welfare, Dr. Donan Mmbando, the overall scope of the HBF 2015-2025 will attract more development partners whom so far have allocated TSZ 80 billion from which TSZ 65 billion were addressed directly to Local Government Authorities (LGAs) in line with the program’s main goal.

On the other side, speaking on behalf of the DPG, the Irish Ambassador to Tanzania Ms. Fionnuala Gilsenan explained that the HBF 2015-2025 is not only continuing the MoU signed between the local Government and the Health Basket Financing Partners for the period 2008-2015, but also includes a new approach to secure a better delivery of results.

According to the World Bank, the Tanzanian Government has stipulated a USD 2.62 billion or TSZ 5,678 billion budget over the next five years for meeting the goals of the new HBF and other programs in the country’s health sector.

An 11.1% of the total budget equals to TSZ 628 billion, is expected to be financed by the DPG for the first five years of the HBF 2015-2025.