Phase 2

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Private Sector Partnerships in Health (PSPH)

The programme aims to provide better access to affordable and quality health services. This will be through development and support of health financing products (health insurances) for the mass market to reduce high out of pocket payments and the support to health service delivery through health networks of private sector providers. This mandate is promoting affordable service provision to the population, which also feeds into the development agenda of Somalia of working with the private sector to promote sustainability in development.

Country/region	Topic	Period	Budget
Somalia	Health Inclusive economic Development Health systems strengthening Business support & economic inclusion	01.08.2025 - 31.07.2029	CHF 4’700’000

The project in brief

Background	The health services in Somalia are offered by both the public and private sector. The public sector supports primary health care facilities. However, only limited budget is allocated by health authorities to support these facilities and as such most of these public facilities depend on Non-Governmental Organizations (NGOs) funded by donors. In the wake of reduced donor contributions, many programmes have scaled down considerably and health services in the publicly run facilities have reduced, and health authorities are unable to take over the responsibilities due to limited resources allocated to social services as the priority is national security. On the other hand, the private sector is active. The for-profit private health sector currently dominates healthcare service provision where 80% of curative services and most pharmaceutical provision depend on the private sector. This means that the population faces high out of pocket payments for health services. The PSPH programme seeks to boost access to health services through the private sector for the lowincome population. The programme will be implemented in selected towns in Somalia (Mogadishu, Kismayo, Galmudug, Hargeisa and Burao). The programme will work through the Market Systems Development (MSD) approach to remove root causes of market constraints which then results to more long-term positive impact on the private sector partners.
Objectives	To provide Somali citizens, including the most disadvantaged groups, with better access to quality and affordable health services.
Target groups	• Private sector businesses in the health sector • 10’000 individuals using health financing interventions • 20% annual increase of individuals accessing the private health facilities annually • Ministry of Health
Medium-term outcomes	• Low-income Somalis can access better quality and affordable healthcare through the provision of innovative financing mechanisms and safety nets. • Organized private service providers deliver quality and inclusive health services across the country, including areas of difficult access
Results	Expected results: • Improved delivery of health services through the private sector partners • Improved healthcare financing interventions • New service provider interventions • Increased capacities of private health professionals through targeted trainings to enhance their capacities Results from previous phases: • Pioneered 3 health insurance products in a context where such health financing options do not exist. • Supported the membership network (Caafinet) that has been key in linking the public private discussions in health with the government • 1’600’000 patients accessed health services in the PSPH supported facilities. • Supported 48 market interventions in the programme implementation areas.
Directorate/federal office responsible	SDC
Project partners	Contract partner Private sector Foreign private sector South/East • Contract partner - DT Global International Development East Africa Limited (DT Global) • Subcontracted partners – Swiss Tropical Public Health Institute. (STPH) and Somali Research and Development Institute (SORDI)
Coordination with other projects and actors	This support complements SDC engagements in the public health sector (CHASP) as well as in governance (COMPEL, WB). All work on different sides of the same coin to build the health system. PSPH also complements other basic health services programmes supported in Somalia by other donors (Damaal Caafimad by WB, Better lives by FCDO).
Budget	Current phase Swiss budget CHF 4’700’000 Swiss disbursement to date CHF 583’200 Total project since first phase Swiss budget CHF 4’543’099 Budget inclusive project partner CHF 10’315’435
Project phases	Phase 2 01.08.2025 - 31.07.2029 (Current phase) Phase 1 01.01.2019 - 31.10.2025 (Current phase)

Further technical details

Sector according to the OECD Developement Assistance Commitiee categorisation	HEALTH BUSINESS & OTHER SERVICES
Sub-Sector according to the OECD Developement Assistance Commitiee categorisation	Health policy and administrative management Business support services and institutions
Aid Type	Mandate with fiduciary funds
Project number	7F10062