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Title: Demand Side Financing for Reproductive and Child Health Services in India
Authors: Bhatia, MR
Yesudian, CAK
Gorter, A
Thankappan, KR
Keywords: Public Health
Issue Date: 2006
Publisher: Economic and Politivcal Weekly
Citation: Economic and Politivcal Weekly. 41;3;279-84
Abstract: Currently, reproductive and child health services in India are tax financedand provided through supply side financing mechanisms. Some of the limitations ofsupply side financing are the inability to target the poor, lack of user choice, andthe absence of linkages between provider payments and performance. Hence, there is a needto develop innovative financing mechanisms, which are able to target scarce resources atthose who cannot afford to pay. One option is demand side financing. Demand sidesubsidies are not only better at targeting subsidies to the poor, but by linking subsidieswith output, also provide the right incentives for efficiency. This paper discusses theconcept of demand side financing and recommends piloting of a competitivevoucher scheme as a mechanism for RCH services in India.
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