Does Development Assistance for Health Really Displace Government Health Spending? Reassessing the Evidence
"The Current Evidence on Aid Displacement Cannot Guide Policy"
PLoS Medicine "...the reality is that we still lack a sufficient accounting of public financing on health to make any conclusions on overall trends. Of course, some displacement of aid from the health sector may occur. It would be rational for governments seeking to improve the distribution of limited national resources, and seeking to avoid interruptions in health service provision with annual fluctuations in aid to avoid a rapid rise in health sector spending. However, our findings should relieve donors of the need to make unrealistic demands on recipient governments, and of the pressure to divert resources to NGOs. While in some settings aid likely is displaced from the health sector, we call into question the assertions that donor health funds are being systematically displaced and misused," conclude Rajaie Batniji and Eran Bendavid in a study for PLoS Medicine.