Zimbabwe's Health ministry in budget quandary

The Ministry of Health and Child Care has called for a supplementary budget to mitigate the impact of the withdrawal of United States funding, particularly towards HIV and Aids programmes. The funding cut, which affected crucial health initiatives such as the procurement of Anti-Retroviral (ARV) drugs and condoms, has left a significant gap in the Ministry's efforts to prevent the transmission of sexually transmitted infections (STIs), including HIV.

Dr. Aspect Maunganidze, the Permanent Secretary for Health and Child Care, made the request during a joint sitting of the Portfolio Committee on Health and Child Care and the Thematic Committee on HIV and Aids. Dr. Maunganidze briefed the committees on the dire consequences of the US withdrawal of funding, particularly the US President's Emergency Plan for Aids Relief (Pepfar), and outlined the measures being taken to alleviate the effects on Zimbabwe's health sector.

The US government, under former President Donald Trump, suspended all foreign aid administered through the US Agency for International Development (USAID), including Pepfar, which is overseen by the US State Department but implemented through agencies such as USAID and the Centers for Disease Control (CDC). Dr. Maunganidze explained that while the Ministry had contingency plans in place for gradual reductions in donor support, the sudden magnitude of the funding cut was unexpected and has had severe consequences for the health sector.

"Over the years, we have noted a gradual decrease in donor support, but this sudden cut was unprecedented," Dr. Maunganidze stated. "We were aware that donors would slowly phase out, but this abrupt action from the US government has left us in a difficult situation."

To address the immediate shortfall, the Ministry is requesting that Treasury presents a supplementary budget to support the health sector, particularly in HIV and Aids prevention and treatment. Dr. Maunganidze stressed that while a supplementary budget might not fully cover all the costs, it would provide an essential starting point.

"We need timely and adequate displacement of allocated budgets from Treasury. It might not be enough, but at least if it's timely, we can start addressing the urgent needs," he said.

In addition to the request for a supplementary budget, the Ministry is also calling for the proper ring-fencing of health-related funds, such as the Health Life Fund, which collects a small percentage of money from services like mobile phone calls and SMS. Dr. Maunganidze suggested that ring-fencing these funds, along with any other available taxes earmarked for health, would help ensure steady financial support for the sector.

"The Health Life Fund has been in existence for some time, and if it is properly ring-fenced, it will go a long way in supporting our health initiatives," he explained. "If other taxes can also be ring-fenced for health, it would assist tremendously in addressing the shortfall caused by the US funding freeze."

Zimbabwe's Ministry of Health has historically relied on donor support for a significant portion of its budget, with between 40-55 percent of the budget funded by external partners. Of that, 50-55 percent came from the US government. With the US funding now in jeopardy, the Ministry is urgently seeking alternative solutions to ensure the continuity of critical health services.

Dr. Maunganidze also highlighted the potential benefits of the long-awaited National Health Insurance scheme, which is expected to provide more sustainable funding for the health sector. The scheme, once implemented, could significantly reduce reliance on donor funding and help address the systemic challenges in Zimbabwe's health sector.

As the Ministry continues to navigate this financial crisis, the call for a supplementary budget and targeted ring-fencing of health funds becomes even more critical to ensure that the country's fight against HIV and other health challenges continues without interruption.