oa South African Health Review - Primary Health Care financing in the public sector : Primary Health Care : systems support

Volume 2008 Number 1
  • ISSN : 1025-1715



This chapter examines trends in expenditure and funding of Primary Health Care services. It builds on previous models to develop an updated funding norm for Primary Health Care services in the public sector. Spending on public sector Primary Health Care services amounted to R297 per capita uninsured in 2006 / 07 and budgeted amounts rise to R395 per capita by 2010 / 11 (stated in 2007 / 08 prices). An updated funding norm is proposed of R401-R444 per capita (2007 / 08 prices) for visit rates ranging from 3 to 3.5 visits per person per year. The majority of districts are currently funded below the norm and progressive funding improvements are recommended. However, these also need to be linked to performance and efficiency. Inequities between districts are large with per capita annual expenditure ranging from R191 to R633. Nevertheless, the differences in per capita spending on Primary Health Care are gradually declining. These differing expenditure patterns point to the need for a better developed and more equitable approach to determining resource allocations to health districts.

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