06.01.2015 Views

Child Poverty in Mozambique. A Situation and Trend ... - Unicef

Child Poverty in Mozambique. A Situation and Trend ... - Unicef

Child Poverty in Mozambique. A Situation and Trend ... - Unicef

SHOW MORE
SHOW LESS

You also want an ePaper? Increase the reach of your titles

YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.

Figure 3.29: Total sector resources <strong>and</strong> share of external f<strong>in</strong>anc<strong>in</strong>g, 2001 – 2005<br />

400<br />

65<br />

350<br />

63%<br />

344<br />

300<br />

60<br />

250<br />

253<br />

59%<br />

Million US$<br />

200<br />

150<br />

165<br />

55%<br />

209<br />

54% 54%<br />

178<br />

55<br />

100<br />

50<br />

50<br />

0<br />

2001 2002 2003 2004 2005<br />

Global Health Funds<br />

Proportion of External Assistance [RHS]<br />

45<br />

Sources: M<strong>in</strong>istry of Health (2005 & 2006)<br />

The health sector has <strong>in</strong> recent years experienced difficulties with low execution<br />

rates. Sector data <strong>in</strong>dicate that overall budget execution <strong>in</strong> 2005 was 73 per cent for<br />

current expenditure <strong>and</strong> 22 per cent for <strong>in</strong>vestment expenditure (M<strong>in</strong>istry of Health,<br />

2006). Moreover, budget execution levels vary considerably between prov<strong>in</strong>ces<br />

<strong>and</strong> also between central <strong>and</strong> prov<strong>in</strong>cial levels. For example, execution rates varied<br />

between 71 – 98 per cent for current expenditure <strong>and</strong> between 0 – 64 per cent<br />

for <strong>in</strong>vestment expenditure amongst the prov<strong>in</strong>ces <strong>in</strong> 2005 (M<strong>in</strong>istry of Health,<br />

2006b). 45 The problem arises due to slow <strong>and</strong> unpredictable disbursement of central<br />

government funds (which <strong>in</strong> turn is primarily a result of liquidity constra<strong>in</strong>ts), the<br />

complex budgetary procedures <strong>and</strong> schedules for different sources of funds <strong>and</strong><br />

the difficulties aris<strong>in</strong>g from the non-payment of VAT on <strong>in</strong>frastructure projects by<br />

<strong>in</strong>ternational partners (discussed <strong>in</strong> more detail <strong>in</strong> Chapter II <strong>and</strong> <strong>in</strong> the follow<strong>in</strong>g<br />

Section). This issue highlights the importance of a coherent <strong>and</strong> concerted move<br />

to build the capacity of the sector, <strong>in</strong> particular <strong>in</strong> the area of plann<strong>in</strong>g <strong>and</strong> f<strong>in</strong>ancial<br />

management at prov<strong>in</strong>cial <strong>and</strong> district levels.<br />

Divid<strong>in</strong>g health fund<strong>in</strong>g as reflected <strong>in</strong> 2005 State Budget by the total estimated<br />

population gives a total level of budgeted health fund<strong>in</strong>g of around US$10.0 per<br />

capita. PARPA II aims to <strong>in</strong>crease this amount to US$15 per capita by 2009 (GoM<br />

2006, p. 103). However, if the total M<strong>in</strong>istry of Health fund<strong>in</strong>g <strong>in</strong> 2005 is used as the<br />

numerator, the health budget <strong>in</strong> per capita terms is about US$17.7 per person, of<br />

which US$10.4 per person was actually spent (M<strong>in</strong>istry of Health, 2006). 46 Although<br />

this was an <strong>in</strong>crease from the previous year (US$13.3 per capita budgeted <strong>and</strong><br />

US$9.3 per capita spent), it rema<strong>in</strong>s less than the recommended “m<strong>in</strong>imum package”<br />

to meet basic health needs <strong>in</strong> low <strong>in</strong>come countries of both the World Bank <strong>and</strong><br />

World Health Organisation <strong>and</strong> below the average for Sub-Saharan Africa, which was<br />

estimated at US$31.9 <strong>in</strong> 2002. 47<br />

45 Much of the <strong>in</strong>formation on prov<strong>in</strong>cial <strong>in</strong>vestments is not available due to a lack of <strong>in</strong>formation on external funds, expla<strong>in</strong><strong>in</strong>g why some<br />

prov<strong>in</strong>ces realise execution rates as low as zero.<br />

46 This is based on a total population figure for 2005 of 19.4 million (INE, 2005) <strong>and</strong> a total sectoral budget figure of US$344 million, of which<br />

US$202 million was executed.<br />

124 CHILDHOOD POVERTY IN MOZAMBIQUE: A SITUATION AND TRENDS ANALYSIS

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!