In strong defence of reshaping the external debt burden, the head of Mozambican finances has proposed significant investment in the country's health sector. Max Tonela, Minister of Economy and Finance, stipulated that around 900 million dollars, approximately 802 million euros, would be needed to build hospitals in every district of the country.
This proposal was presented during the health investors' conference held in Maputo. Tonela mentioned that the proposed plan can be seen as a third way, whereby public debt would be converted into investment in health, with sums earmarked for expanding the health network.
In addition, the Minister pointed out that two other ways of raising resources for the sector would be forming strong public-private partnerships and encouraging foreign direct investment. He emphasised the importance of these alternatives by recalling that Mozambique, as a low-income country with limited financial resources, faces challenges in making funds available for adequate social infrastructure.
Tonela highlighted that, despite budgetary constraints, the Government of Mozambique has progressively increased the allocation of resources to health, approaching the target set in the Abuja Declaration approved by African states.
Data for the past five years show growth in budget allocations for health. The sector received 20 billion meticais (278 million euros) in 2017, representing 10.7% of total State Budget expenditure. In 2022, this figure rose to 43.3 billion meticais (603 million euros), that is, 12.5% of the budget.
For 2023, Tonela indicated that 13% of total State Budget expenditure is planned to be allocated to health.
