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BRIEFJune 5, 2023

Health financing in Asia-Pacific faces old and new challenges post-COVID

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Old Scars New Wounds highlights feasible paths countries could take to finance their UHC aspirations.

A new World Bank discussion paper, Old Scars, New Wounds? Public Financing for Health in Times of COVID-19 in the Asia-Pacific Region, explores how health financing systems have been impacted by the pandemic and other subsequent shocks such as Russia’s invasion of Ukraine, high inflation, and debt distress. The paper argues that when these are compounded by longer-term health challenges—aging, non-communicable disease, climate change, and pandemic preparedness—public financing for health will likely remain restricted putting at risk the region’s progress towards Universal Health Coverage (UHC).

Drawing on lessons learned throughout Asia and the Pacific, Old Scars New Wounds highlights feasible paths countries could take to finance their UHC aspirations, by strengthening primary health care to improve health outcomes, leveraging health taxes to reduce unhealthy environments and lifestyles, and increasing the pro-poorness of public spending on health. It contends that without adequate public financing and financial protection, the hard-won gains made toward UHC over several decades could be lost.

The paper is part of an ongoing series of publications designed to encourage discussion and debate on health, nutrition and population in East Asia and the Pacific. The paper was supported by the Australian Government through the Advance UHC Multi-Donor Trust Fund, the Government of Japan’s Policy and Human Resources Development Fund, and the Bill and Melinda Gates Foundation.