By Ma. Teresa Montemayor
MANILA – The Department of Health (DOH) has assured it constantly tries to identify various sources of domestic financing to address the overall projected funding gap in human immunodeficiency virus/acquired immunodeficiency syndrome (HIV/AIDS), malaria, and tuberculosis programs.
The DOH, in partnership with the Philippine Country Coordinating Mechanism for the Global Fund (PCCM-GF), strives to optimize public financial management strategies to ensure the sustainability of critical health programs through a Transition and Public Financial Management (PFM) Plan.
This plan aims to increase domestic health financing by mobilizing Philippine Health Insurance Corporation reimbursements, optimizing DOH budget utilization, and securing alternative funding sources such as grants, loans, and investments from local government units (LGUs) and the private sector.
“It is clear that governments like ours, must recognize our own priorities and take more responsibility for financing these priorities in our national health budgets, lessening our dependence on foreign funding cycles and external decisions and protocols. Increasing domestic financing is one of the most sustainable solutions,” Health Secretary Teodoro Herbosa said in a news release.
During recent PCCM-GF meeting, it was reported that the decline in foreign fund allocations for the Philippines may pose significant challenges, because the country uses the support of the Global Fund to fight AIDS, tuberculosis, and malaria for essential commodities such as second-line drugs, anti-retroviral therapy, and human resources for health.
“We, as a country, must find ways to source funds that international partners have previously funded,” Herbosa said, adding that the DOH and PCCM-GF has readily identified several alternative fund sources.
To improve budget execution, the Transition and PFM plan would focus on procurement and supply chain reforms (especially with the New Government Procurement Act or RA 12009), digitalizing financial management systems like the Budget and Treasury Management System, and leveraging financing mechanisms, he shared.
Additionally, the DOH official said, the Transition and PFM would enhance localized health program implementation given the country’s devolved health system, by supporting LGUs in the procurement and delivery of essential health commodities. (PNA)