Fixing health gaps to boost economic prosperity for the global economy

A staggering $1.6 trillion is lost annually due to inaction in the maternal health sector, causing the deaths of almost 300,000 women worldwide. Sub Saharan Africa bears the brunt of this crisis, losing $400 billion as its health industry struggles to keep up with the growing population. I recently spoke with Rajat Khosla, Executive Director of PMNCH, to delve into the economic implications of these health disparities and explore solutions countries can pursue to enhance their health outcomes. Khosla highlighted the profound impact of inadequate healthcare on women and children in low and middle-income countries, with nearly 95% of deaths occurring in these regions. Sub Saharan Africa grapples with a particularly dire situation, accounting for 70% of maternal deaths and half of child deaths globally. These losses go beyond being a health crisis and human rights violation; they also impose a significant economic cost. Premature deaths and preventable illnesses lead to a shrinking workforce, reduced productivity, and hindered national economic growth. The World Health Organization estimates that poor quality care in developing countries, focusing solely on maternal and newborn issues, results in annual economic losses of $1.5 to $1.6 trillion globally. In Africa alone, maternal and newborn conditions cost economies up to $400 billion. These stark figures underscore the urgent need for action. Despite the potential to achieve remarkable returns on investment, with every dollar yielding up to $20, Khosla emphasized the puzzling lack of adequate funding for health. In 2021, only two out of 55 African Union countries met the Abuja Declaration target of allocating 15% of their budgets to health. The challenges faced by countries include limited fiscal space, exacerbated by inflation and external debt burdens. By prioritizing domestic financing and moving away from reliance on external aid, nations can enhance their health systems. Khosla highlighted the importance of increasing tax revenue, suggesting innovative levies on luxury goods, airlines, and harmful substances like tobacco and alcohol. Additionally, he emphasized the need to revamp the current financing model to consolidate resources and support locally-driven health system improvements, including infrastructure and human resources. Despite these challenges, Khosla pointed out examples of countries that have made significant strides in maternal and newborn health interventions. Uganda and Zambia saw a 44% to 41% reduction in maternal mortality thanks to initiatives like the 'Saving Mothers, Giving Life' campaign. South Africa's efforts to combat child and maternal mortality, particularly through HIV treatments and mother-to-child transmission prevention, have yielded positive results. Rwanda's focus on community-based health insurance and primary healthcare has also led to a substantial decrease in maternal mortality rates. While progress is evident in some regions, obstacles remain in scaling up these interventions due to various external factors. The path to improving health outcomes and driving economic growth in Africa requires concerted efforts to prioritize and fund healthcare initiatives, leverage innovative financing mechanisms, and build resilient health systems that cater to the needs of vulnerable populations.