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PRESS RELEASE

World Bank Supports Better Health for Moldovans

May 22, 2014

WASHINGTON, May 22, 2014 — The World Bank’s Board of Executive Directors today approved a US$30.8 million credit to the Republic of Moldova for the Health Transformation Operation, which will contribute to reducing key risks for non-communicable diseases and improving efficiency of health services in Moldova.  

The new health program supports the country’s comprehensive National Health System Development Strategy (NHSDS) 2008-17. The NHSDS has four priorities: (i) improving management of the health system; (ii) improving funding and payment mechanisms for health services; (iii) organizing and providing health care services to meet health care needs of the people; and (iv) generating and ensuring necessary resources for the health care system.

Over the last 20 years, Moldova has made good progress in reducing death rates among the young. However, mortality in adult males has increased. Non-communicable diseases (NCD) have become the largest health burden for the population and carry a significant economic cost.  Moldova spends relatively more on health than comparable countries but its health outcomes are not as good as expected for its level of expenditures.  This discrepancy points to the need to improve the effectiveness and efficiency of health spending.

In this context, the Health Transformation Operation will support two major priorities. First, the Operation will assist the Government to address key risks for NCD in order to improve health outcomes and reduce NCD-related economic costs. The focus will be on reducing tobacco consumption and improving hypertension management in primary care facilities. Second, to improve the efficiency of the health sector, the Operation will support the rationalization of hospitals and the use of performance-based incentives for health workers. The bulk of the World Bank support will be disbursed after selected results have been achieved and verified under the Program-for-Results approach.     

“We are very pleased to support the Government of Moldova to deliver on its priorities in health system strengthening through a program which focuses on results. This program will contribute to longer and healthier lives of the Moldovan people, and to better value for money spent on health in the country,” said Abdoulaye Seck, World Bank Country Manager for Moldova.

Since Moldova joined the World Bank in 1992, over US$1 billion has been allocated to 49 projects in the country. Currently, the World Bank portfolio includes 8 active projects with a total commitment of US$189.9 million. Areas of support include regulatory reform and business development, education, social assistance, e-governance, healthcare, agriculture, environment and other. The International Finance Corporation has invested US$233 million in 24 projects in various sectors, and the Multilateral Investment Guarantee Agency has provided guarantees totaling US$95 million. Both institutions are members of the World Bank Group.

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PRESS RELEASE NO:
2014/519/ECA