The Health and Rights Education Programme (HREP Malawi) has welcomed the government’s establishment of Malawi’s first National Health Fund, describing it as a landmark reform that could transform the country’s health financing system by reducing dependence on donor support and strengthening domestic resource mobilisation.
The announcement was made by the Secretary to the Treasury during the National Health Dialogue Conference in Lilongwe. HREP Malawi says the new fund marks a significant shift from fragmented financing arrangements towards a more coordinated and sustainable approach to funding healthcare.
HREP Malawi Board Chairperson for International Health Financing Advocacy and National Community Health Ambassador, Maziko Hisbon Matemba, said the organisation has engaged the Ministries of Health and Finance, as well as the Treasury, for several months to advocate for stronger domestic health financing.
“We have had interface with the Secretary to the Treasury, the Secretary for Health, and the ministers responsible for health and finance on issues of financing for the sector. Almost 70 per cent of the resources are coming from outside the country, while less than 30 per cent comes from domestic resources. Our own resources have been too limited to adequately support the health sector,” said Matemba.
He said inadequate financing has contributed to persistent shortages of essential medicines, non-functional ambulances and poor maintenance of health facilities across the country.
“The government has now gazetted the National Health Fund, which, to us, is one of the most significant reforms for the health sector. For healthcare to function effectively, adequate resources are essential. The shortages of drugs, broken-down ambulances and inadequate maintenance all point to the financing gap that this fund seeks to address,” he said.
According to HREP Malawi, the National Health Fund is expected to centralise domestic health financing, improve the allocation of resources to essential medicines, medical equipment and primary healthcare services, reduce inefficiencies in the system, and promote long-term financial sustainability.
The organisation notes that Malawi currently allocates about nine per cent of its national budget to health, below the African Union’s Abuja Declaration target of 15 per cent.
Matemba said the fund provides an opportunity for Malawi to strengthen its commitment to universal health coverage while exploring additional domestic revenue streams, including taxes on harmful products and other innovative financing mechanisms.
HREP Malawi has also called on Parliament to enact legislation that protects the fund from diversion, establish decentralised financing structures to support local health facilities, and include civil society organisations, community representatives, the private sector and academia in the fund’s governance to promote transparency and accountability.
“We need a structure that mobilises, pools and allocates resources efficiently. Broad-based representation in the management of the fund will strengthen accountability and ensure resources reach the people who need them most,” Matemba said.
He further urged that resources be channelled directly to rural and underserved primary healthcare facilities to improve service delivery and minimise administrative delays.
HREP Malawi says it will continue supporting the implementation of the National Health Fund, expressing confidence that the reform will strengthen Malawi’s healthcare system and improve access to quality health services for all citizens.
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