Investing In Digital Health Transformation In Low- And Middle-income Countries

Digital health funding is a powerful catalytic investment to accelerate progress towards universal health coverage, and to improve the quality, coverage, affordability and accessibility of health services. However, existing investments are falling short of the long-term sustainable changes needed to reduce health inequities and build stronger, more resilient health systems. Too often, investments are short-term and uncoordinated, focusing on scaling up specific digital health solutions or addressing vertical health challenges. There is also a lack of available information and transparency about existing investments, the overall need and demand for digitally-enabled health systems, and where further investments are most urgently required. Quantifying the funding need and gap is an important first step in order to improve coordination of investment and optimise funding to the areas of highest- priority. Drawing on research and modelling by Transform Health and PATH Digital Square, this policy brief will provide an evidence-based proposal for priority investment areas and define the level of investment necessary to support the financing of equitable and sustainable digital health transformation in low and lower-middle income countries (LMICs). In addition, it will explore challenges around reporting and tracking of domestic and donor investments, including within existing mechanisms such as National Health Accounts and the OECD-DAC donor reporting system. Particular attention will be paid to the role of the new Global Initiative for Digital Health (GIDH) – catalysed by the G20 India Presidency in 2023 and identified as a priority by the Brazil Presidency in 2024 – to drive improved and better coordinated investment. The brief will include a set of actions that governments, donors and the private sector can take to increase the effectiveness of future investments and build digitally-enabled health systems that improve health outcomes for all.