The Role of Health Insurance in Ethiopia’s Healthcare Expansion
Health insurance is a critical component in ensuring that citizens, especially those from low-income backgrounds, have access to affordable healthcare services. By reducing the financial burden associated with out-of-pocket expenses, health insurance plays a key role in promoting overall well-being and making healthcare more accessible. In recent years, Ethiopia has placed increased emphasis on health insurance as a means of improving healthcare accessibility and fairness across the country.
One of the significant initiatives introduced by the Ethiopian government is the Community-Based Health Insurance (CBHI) program, launched in 2011. This initiative aimed to expand healthcare services across numerous Woredas, particularly reaching rural populations and those engaged in the informal sector. The CBHI program has played a vital role in strengthening the national health system by increasing access to essential healthcare services.
In addition to the CBHI, the government also implemented Social Health Insurance (SHI) for individuals working in the formal sectors of the economy. Since its introduction, SHI has grown significantly, benefiting millions of people. Both programs have demonstrated substantial growth and have made a meaningful impact on the population.
Progress and Achievements in Health and Nutrition Programs
Deputy Prime Minister Temesgen Tiruneh recently highlighted the encouraging success achieved in various health and nutrition programs, including the Food, Nutrition, and Community-Based Health Insurance Service. During a performance review forum held in Addis Ababa, he emphasized the importance of leadership commitment and community participation in achieving these successes.
The Seqota Declaration, which was devised to tackle nutritional challenges and strengthen the food system, is based on indigenous practices. Initiatives such as corridor development projects, the Bounty of the Basket program, and efforts to create clean environments have contributed to raising awareness, boosting productivity, and improving livelihoods. Local innovations implemented in Woredas and Kebeles have been instrumental in addressing nutrition problems and achieving progress.
The Deputy Prime Minister also stressed the need to scale up these initiatives to support sustainable national development. He praised the Community Health Insurance program, which has benefited over 63 million people during the fiscal year, marking a significant achievement in expanding equitable access to healthcare.
Expanding the Seqota Declaration and National Strategies
The implementation of the Seqota Declaration has reached a critical stage, with the expansion phase expected to be completed next year. The transition to the next 5-year expansion phase will be guided by a 15-year roadmap. According to the Deputy Prime Minister, achieving the goals set out in the Food and Nutrition Strategy and the Seqota Declaration requires creating community-based mobilizations and involving local solutions.
He also emphasized the importance of identifying approaches that can bring about change at the household level and promoting effective innovations. In the health sector, a community-based health insurance program is being implemented to achieve the goal of universal health coverage and ensure quality health services are accessible to all citizens equitably.
Strengthening Nutrition and Health Infrastructure
Health Minister Mekdes Daba (MD) announced that over 63 million citizens benefited from the Community-Based Health Insurance services during the 2017 Ethiopian fiscal year. This marked significant progress in the nation’s efforts to expand access to healthcare and ensure broader access for all.
Improving the nutritional status of children under the age of two is crucial for building a healthy and productive generation, which supports the national objective of developing productive citizens who can thrive academically. The 10-year Food and Nutrition Strategy and the Seqota Declaration aim to sustainably improve the nutritional status of all Ethiopians and eliminate stunting among children under two by 2030.
According to Mekdes (MD), the Seqota Declaration is being implemented effectively, with over 1.4 million pregnant and lactating mothers and more than 1.2 million children benefiting during the fiscal year. Preparations are ongoing to expand the program to 520 Woredas in the upcoming budget year, with the goal of eliminating malnutrition by 2022 in the Ethiopian Calendar.
Cross-Sectoral Cooperation and Future Goals
To achieve zero stunting, cross-sectoral cooperation is essential, Mekdes (MD) stated. She also highlighted national initiatives such as the Green Legacy as key drivers in strengthening the country’s nutrition system and achieving broader health objectives.
Nationwide health service coverage has exceeded 95 percent, supported by continuous efforts to build a resilient health infrastructure. The Health Insurance Strategy is being implemented across the country to enable citizens who cannot afford medical care.
The Community Health Insurance program now operates in 1,195 Woredas, covering 63 million people, a milestone attributed to the successful implementation of an income-based payment system in all regions.
A Multi-Sectoral Approach to National Development
On July 15, 2015, Ethiopia launched a major fifteen-year initiative aimed at eliminating child malnutrition by 2030. Known as the Seqota Declaration (SD), this commitment is being carried out through a coordinated, multi-sectoral effort involving nine ministries: Health, agriculture, education, water, irrigation and energy, women, children and youth, transport and logistics, finance, labor and skills, and culture and tourism.
At the forum, regional presidents, vice presidents, ministries, and stakeholders participated. A direction was also set to sustain the achievements gained in the concluded year in the upcoming budget year by addressing identified gaps to promote sustainable national growth.