Kenya: Government signs agreement to coordinate donor support for health sector
By Peter Omondi
Nairobi, Kenya—The Government of Kenya, has signed a Joint Financing Agreement (JFA) with the Royal Danish Embassy (DANIDA) and the World Bank to enhance the efficiency of donor support and help improve the delivery of health services in Kenya. Under the new mechanism, funds contributed initially by DANIDA and the World Bank will flow through the Ministry of Finance and be implemented by the two health ministries using Government procedures.
The JFA emphasises the principles of aid effectiveness, enhanced government ownership and harmonisation, and the promotion of results and mutual accountability in the health sector. This new funding mechanism will also allow for greater predictability of funds from the participating development partners to the health sector, and strengthened partnerships with public and non-public service providers.
Based on the vision of the health Sector-Wide Approach (SWAp) and the Code of Conduct that was signed in 2007, this new approach will help to ensure that stakeholders in the health sector work towards common goals, streamline activities and increase impact.
The signing of the JFA is a major step forward in the implementation of the Health Sector-Wide Approach, and it is hoped that more development partners will join the JFA in the near future. The Ministry of Public Health and Sanitation and Ministry of Medical Services will implement the JFA.
The new JFA provides for several “baskets” under which partners will be able to pool funds. The baskets include direct support to dispensaries and health centres to improve services at both the facility and community levels; the procurement of essential medicines and medical supplies; and the provision of additional staffing particularly in primary health care facilities. Other funding baskets will cover support for the rehabilitation and strengthened management of hospitals, and technical assistance and training activities. The baskets will be activated progressively, in line with the availability of funding.
The new JFA mechanism will initially utilize funds that the two partners have already approved for the sector. The Danish support to the sector is provided through the Health Sector Programme Support Phase 2, amounting to Danish Kroner 360 million (equivalent to Ksh. 4.5 billion) covering the period 2007-2011. Phase 3 of the programme is under formulation, and is set to start in January 2012 with an amount of Danish Kroner 430 million (equivalent of Ksh. 5.5 billion).
The JFA was signed at a ceremony at the Treasury by Permanent Secretary Joseph Kinyua, on behalf of the Treasury, Mr. Ole Thonke on behalf of the Royal Danish Embassy and Mr John Zutt, Country Director for Kenya, on behalf of the World Bank. Also in attendance was Mr. Mark Bor, Permanent Secretary for the Ministry of Public Health and Sanitation.
The World Bank has recently approved an IDA credit of US$100 million equivalent (approximately Ksh. 8 billion) for the health sector through the Health Sector Support Project. This is for the four-year period 2010-2014.