WHO and Privatization Agenda

Donor countries (the US in particular) continue to push WHO towards working with industry through ‘multi‐stakeholder partnerships’, rather than giving WHO the chance to implement regulatory and fiscal strategies that could make a real difference. (David Legge) Moreover, bilateral donors (and big philanthropies) demand WHO provides data according to their particular interests. Therefore, the types of data produced by WHO (and other UN agencies) are greatly influenced by a donor mandate that goes beyond the simple compilation of country-reported statistics

C Schuftan

By Claudio Schuftan*

People’s Health Movement – PHM

Substantive Work of WHO, particularly in  Relation to Health Systems Development, Should Counter the Privatization Agenda, but Does It?

 

Donor countries (the US in particular) continue to push WHO towards working with industry through ‘multi‐stakeholder partnerships’, rather than giving WHO the chance to implement regulatory and fiscal strategies that could make a real difference. (David Legge) Moreover, bilateral donors (and big philanthropies) demand WHO provides data according to their particular interests. Therefore, the types of data produced by WHO (and other UN agencies) are greatly influenced by a donor mandate that goes beyond the simple compilation of country-reported statistics. We know that donors seek to add value primarily through providing technical interventions (and not right to health or social determinants, for instance). So, here we are clearly faced with a biased stumbling block?* (Elizabeth Pisani, Maarten Kok)

*: Consider: While economics is not WHO’s core expertise, the impact of poverty and income maldistribution on population health clearly justifies WHO working with other agencies within or outside the UN system to focus much more attention on these questions of disparity.

Things being the way they are right now, it is difficult to make sense of the shrinking scope of WHO’s role in global health governance, partly because of the ambiguity of the slogans about ‘stakeholders’ and the fait-accompli of ‘multistakeholder platforms’ and ‘public-private partnerships’ now used profusely. The continued use of the term ‘stakeholders’ (and the bundling together of public interest civil society organizations with international NGOs, private sector enterprises and philanthropies under the term ‘non-state actors’) appears to endow all of these private ‘stakeholders’ with having the right to have a ‘seat at the table’, with only the tobacco and arms industries declared off limits. Such ‘sitting rights’ sharply jeopardize the human rights enshrined in the various human rights (HR) instruments that address the rights of real people –the right to health prominently included.** (D. Legge)

**: It is important to note that the treatment of WHO by the rich countries is part of a wider onslaught on the UN system generally. The whole UN system is held hostage to short-term, unpredictable, tightly earmarked donor funding. The same strategies of control have been applied across the UN system generally through: freezing of countries’ assessed contributions, tightly earmarking voluntary contributions, and creating dependence on private philanthropy, as well as periodic withholding of assessed contributions and applying continued pressure to adopt the multi‐stakeholder partnership model of program design and implementation that, as said, gives global corporations an undeserved ‘seat at the table’.

The Reform of WHO, aimed at realizing the vision of its Constitution, will require a global mobilization around the urgently needed democratization of global health governance; and this is not separate from, but part of, a global mobilization for HR and greater equity. Why? Because to claim that global health governance is somehow independent of global economic and political governance, is simply absurd. Nonetheless, such claims, still voiced by many, play an important political role for them in that they help to obscure the vested interests and power relations at play in the constraining (shackling) of WHO. (D. Legge)

Is WHO tinkering with a bureaucratic model inherited from the postwar era?

WHO actually seems strangely detached from the broader political turmoil unfolding around the world. Globalization has created new collective health needs that cross old spatial, temporal and political boundaries. In response, we need global health governance institutions that represent the many, not the few; are sufficiently agile to act effectively in a fast-paced world, on top of being capable of bringing together the best ideas and boundary-shattering knowledge available. (Kelley Lee)

WHO may point to its 193 member states and claim to be universally representative, but it is far from politically inclusive. Like the political alienation felt by millions around the world, many members of the global health community have turned elsewhere to move issues forward and get things done. What we see is a steady decline of WHO, clinging furiously to obsolete political institutions and bureaucratic models, yet kept alive by member states as an essential public institution. This decline is not because WHO is not needed, but because it has not adapted to and is not publicly financed for a changing world; it is not the WHO that we need today. (K. Lee)

Political innovation must become a fundamental part of the process of WHO reform. Think: How might virtual and interactive town halls improve communication between global health policy-makers and the constituencies they serve? How might the closed world of global policy-making be opened up and strengthened through virtual public consultations, feedback systems and monitoring systems –all of them also aiming at reforming WHO? How might the concept of global citizenship become institutionalized within our global health institutions, especially WHO? (K. Lee)

Prescribing “LEGO models’?

Otherwise, in the first decade of the new millennium, donors have pushed for increases in development assistance for health, yes, but in particular for medicines. This has clearly contributed to the re-legitimation of the ‘free trade agenda’ in health and has strengthened intellectual property (patents) protection regimes with their well-known negative consequences. Furthermore, in that development assistance, the mantra they preach to recipient countries is the one called ‘realistic costing of outputs’ that prescribes a LEGO model of program implementation, i.e., with each program comprising a set of planned outputs each of which comprises a known number of prescribed activities all of which have known costs. This approach leaves little, if any, room for flexibly managing complexity in planning and carrying out program implementation.*** (D. Legge)

***: WHO is made wary of prolonged project implementation processes, in part because they disrupts the ‘production schedule’ demanded by its paymasters. (Elizabeth Pisani, Maarten Kok)

What is missing from the whole discourse is carrying out a robust analysis of the root causes of the preventable global disease burden. Only this will provide clearer criteria regarding which ‘stakeholders’ (duty bearers in the proper HR lingo) are part of the problem and which are part of the solution –and therefore which of them can be trusted to have a seat at the table. Human rights principles provide such criteria and so does the WHO report on Social (and political) Determinants of Health of 2008.****            (D. Legge)

****: The importance of non-medical factors is largely recognized as being a key predictor of health. In 2008, the WHO Committee on Social Determinants of Health stated: “Social injustice is killing people on a grand scale and constitutes a greater threat to public health than a lack of doctors, medicines or health care services”. The general conditions under which people live and work thus have a major impact on health outcomes. These social determinants of health further comprise, among other, the structural determinants of socioeconomic development, working conditions, education, housing, sex and high-risk behavior… What this implies is that health care is just one of the factors to influence health and can, therefore, only be considered part of the solution. (Koen Detavernier)

The influence/control of donors over ministries of health in the South is nowhere more evident than in having kept any possibility of these ministries focusing on the human rights based approach in their agenda beyond mere lip service. Instead ministry officials keep pushing the newest slogans such as ‘universal health coverage’, ‘development assistance ‘and public-private partnerships’ that, in essence, are part of a common agenda consistent with the program of the 1% richest. They thus speak for the priorities of the 1% perhaps not realizing that they do so from within a worldview that accepts as natural and unchanging the global inequalities, the environmental degradation and the beneficence of private enterprise. (D. Legge)

 

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* article originally published in The Social Medicine Portal, February 11th, 2017

http://www.socialmedicine.org/2017/02/11/human-rights/substantive-work-particularly-relation-health-systems-development-counter-privatization-agenda/

Claudio Schuftan, M.D. (pediatrics and international health) was born in Chile and is currently based in Ho Chi Minh City, Vietnam where he works as a freelance consultant in public health and nutrition.

He is an Adjunct Associate Professor in the Department of International Health, Tulane School of Public Health, New Orleans, LA. He received his medical degree from the Universidad de Chile, Santiago, in 1970 and completed his residency in Pediatrics and Nutrition in the Faculty of Medicine at the same university in 1973. He also studied nutrition and nutrition planning at the Massachusetts Institute of Technology (MIT) in Cambridge, MA in 1975. Dr. Schuftan is the author of 2 books, several book chapters and over fifty five scholarly papers published in refereed journals plus over three hundred other assorted publications such as numerous training materials and manuals developed for PHC, food/nutrition activities and human rights in different countries . Since 1976, Dr. Schuftan has carried out over one hundred consulting assignments 50 countries in Africa, Asia, Latin America and the Caribbean. He has worked for UNICEF, WFP, the EU, the ADB, the UNU, , WHO, IFAD, Sida, FINNIDA, the Peace Corps, FAO, CIDA, the WCC (Geneva) and several international NGOs. His positions have included serving as Long Term Adviser to the PHC Unit of the Ministry of Health (MOH) in Hanoi, Vietnam under a Sida Project (1995-97); Senior Adviser to the Dept. of Planning, MOH, Nairobi from 1988-93; and Resident Consultant in Food and Nutrition to the Ministry of Economic Affairs and Planning, Yaounde, Cameroon (1981). He is fluent in five major languages. He is currently an active member (cschuftan@phmovement.org) of he Steering Group of the People’s Health Movement and coordinated PHM’s global right to health campaign for 5 years.

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Do the Credit Policies of the WB, IMF & EC Damage Health?

Despite recent positive rhetoric by the IMF, WB and the EC to reform conditionality policies, a gap persists between the declared intentions and the general practice. It is time for the three institutions to turn the rhetoric into reality

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by  Daniele Dionisio*

PEAH – Policies for Equitable Access to Health

Do the Credit Policies of the WB, IMF & EC Damage Health?

 

The mandates of the International Monetary Fund (IMF) and the World Bank (WB) include the obligation to facilitate financial stability, international trade, and economic growth, while securing assistance in the form of loans to countries suffering from balance-of-payments constraints. The European Commission (EC) provides both Budget Support – accounting for approximately 25% of EU development aid – and Macro Financial Assistance (EUMFA) in the form of loans and grants for non EU countries facing a balance-of-payments crisis, provided the country has an IMF programme.

This context gives these three institutions great power to shape domestic policies in other countries, through quite identical prescriptions.

Conditionalities: a threat to health?

As creditors, the three institutions seek to ensure that they recover their loans from borrowers by setting strict ‘conditionalities’ on lending. Loan disbursements have been linked to economic and trade liberalization with regressive consequences for poor people.

In most cases, conditionalities encompass cutting public spending, including  government subsidies and ceilings on government wage bills (common in Africa), as well as privatization of public services such as health and education and removal of barriers to international trade.

Critics have charged macroeconomic reform programmes with a narrow vision on economic stability and for not protecting social spending on health and education. For example, ceilings on governments’ wage bills disrupt the much needed expansion of the health workforce, thus impairing the ability of the health sector to recruit and retain health workers.

The impact of the reform recipes has been highlighted especially in Africa in terms of cuts in public spending and adopting user fees policies which are known to act against poor people, especially women. However, recently the same recipes have been implemented in high income countries such as Greece where cuts in public spending and dismissal of health workers have led to deterioration in the health of the population.

Moreover, cuts in the health spending affect the supply of medicines, which can have tremendous negative consequences on the health of a population, including fueling transmission of infections like HIV/AIDS, tuberculosis (TB), hepatitis and sexually transmitted diseases. For example, a study of the link between the IMF loans and TB in the former Soviet Union and Eastern European countries documented a 16.6% rise in annual TB mortality from early to mid-1990s.

The WB, IMF and EC defend themselves by denying fixing targets for specified expenditures or wages and stating that governments are accountable for expenditure priority allocations. They thus deny any responsibility for their actions.

However, regular reviews by the WB, IMF and EC determine whether a loan is released depending on economic performance, not on protection of social spending. As contended, ‘this is an example of how the power dynamics between WB, IMF, EC and the recipient of their programmes make it very difficult for the latter to ignore policy prescriptions, even when they are not legally binding.’

Basic requirements to reform

Given the influence of these institutions on domestic policies, they should focus on helping countries explore a wide range of options for dealing with fiscal deficits. These options should ensure the protection and increase in social spending, especially on health and education, and the removal of the budget ceiling on the recruitment and retention of health workers.

A key problem underlying the damage of the macroeconomic reform recipe is that negotiation is usually limited to a narrow circle of finance ministries in the absence of public participation or scrutiny. Transparency of negotiation and participation of other relevant ministries and civil societies are essential to ensure pro- human development policies.

Despite recent positive rhetoric by the IMF, WB and the EC to reform conditionality policies, a gap persists between the declared intentions and the general practice. As maintained in a recent Eurodad analysis, ‘…The IMF continues to attach problematic conditions to its loans, notably by suggesting reforms in sensitive economic areas. The World Bank continues to make loan decisions on the basis of the assessments made by its rich country-dominated board on the economic agenda of recipient countries. Finally, the EC’s Budget Support was originally created to support the local ownership of its recipients and its guidelines reflect that. In practice, though, it sometimes incentivizes economic reforms that are not part of partner countries’ development strategies…’

It is time for the three institutions to turn their new rhetoric into reality.  But, will they be up to this at this time of  Trump, Brexit, and the rising success of so-called populist/nationalist movements – which perhaps mirror the mounting unpopularity of the idea of globalization as the driver for economic prosperity?

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*article originally published in International Health Policies 

http://www.internationalhealthpolicies.org/do-the-credit-policies-of-the-wb-imf-ec-damage-health/

Daniele Dionisio is a member of the European Parliament Working Group on Innovation, Access to Medicines and Poverty-Related Diseases. He is an advisor for “Medicines for the Developing Countries” for the Italian Society for Infectious and Tropical Diseases (SIMIT), and former director of the Infectious Disease Division at the Pistoia City Hospital (Italy). Dionisio is Head of the research project PEAH – Policies for Equitable Access to Health. He may be reached at d.dionisio@tiscali.it http://www.peah.it/ https://twitter.com/DanieleDionisio

 

Oltre il PIL per la Misura del Benessere Globale

‘GDP is an abstraction that has little personal meaning for individuals’ - Richard Easterlin, professor of economics , University of Southern California

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by Daniele Dionisio

Membro, European Parliament Working Group on Innovation, Access to Medicines and Poverty-Related Diseases

Responsabile del Progetto Policies for Equitable Access to Health – PEAH

Oltre il PIL per la Misura del Benessere Globale

 

Il successo del PIL (Prodotto Interno Lordo, GDP in lingua inglese), quale abusato indice di misura del benessere nazionale, non accenna a diminuire. Una fissazione che persiste sebbene evidenze e fonti autorevoli ne denuncino l’insufficienza come indicatore di progresso. Il Nobel economista Joseph Stiglitz ha affermato che il PIL non è una buona misura di performance economica né di benessere. E secondo un altro economista, Jennifer Blanke, ‘…it merely provides a measure of the final goods and services produced in an economy over a given period, without any attention to what is produced, how it’s produced or who is producing it.’ Blanke pone una domanda chiave trascurata dal PIL: è la crescita equa, rispettosa dell’ambiente, e migliorativa delle nostre vite?

In effetti, qual è la giusta direzione per un’economia moderna e inclusiva? Senza dubbio che essa dovrebbe impegnarsi a soddisfare le necessità di base di ognuno, principalmente in termini di salute e serenità di vita. E che dovrebbe anche evitare di immagazzinare ogni potenziale fonte di danno di lungo termine, estrema diseguaglianza e collasso ambientale inclusi.

Nel contempo, l’economista Richard Easterlin, ha definito il PIL ‘an abstraction that has little personal meaning for individuals’. E Joseph Stiglitz incalza ‘Ciò che misuriamo informa ciò che facciamo. E se misuriamo la cosa sbagliata, noi faremo la cosa sbagliata’.

In tal senso, secondo Jennifer Blanke, il PIL è solo una misura parziale di breve termine, mentre il mondo ha bisogno di strumenti di fiducia e di più larghe vedute per informare il modo in cui costruire le economie del futuro.

Al riguardo, dati presentati al World Economic Forum (WEF) del gennaio 2017 mostrano che sebbene il PIL di buona parte delle economie avanzate indichi una crescita annuale di circa il 2% nel 2016, in realtà il reddito medio pro-capite in 26 nazioni ricche è caduto del 2,4%. Il dato non stupisce se è vero che oggi masse di poveri vivono in aree dove maggiore benessere coesiste con sacche di maggiore diseguaglianza per l’incapacità dei governi a trasferire la crescita economica entro un ampio ed equo progresso sociale.

Per l’occasione il WEF ha lanciato l’Inclusive Development Index – IDI, un indicatore più completo e inclusivo del PIL, per la misurazione del benessere globale.  L’IDI associa ai consueti indicatori economici, criteri più ampi tra i quali la disparità nei redditi e nelle ricchezze, la mobilità sociale, la qualità della vita e dell’ambiente, la sicurezza.  In base all’IDI la Norvegia si conferma ancora la più virtuosa fra i Paesi avanzati: con una crescita economica solo dello 0,5% tra 2008 e 2013, lo standard di vita è in realtà cresciuto del 10,6%.  Lussemburgo, Svizzera, Islanda e Danimarca seguono a ruota (Figura).

most inclusive advanced economies

Gli Stati Uniti, invece, si collocano al 23mo posto, peggio di Estonia, Repubblica Ceca e Corea del Sud.

L’Italia, ventunesima su trenta economie avanzate per PIL pro-capite, scende al ventisettesimo posto (su 29) nella classifica IDI. Secondo il rapporto WEF l’Italia paga il ritardo sulla crescita, sul lavoro e sui giovani mentre il sistema di protezione sociale non affronta questi problemi con la dovuta efficienza.

L’IDI è solo l’ultimo, in ordine cronologico, di una serie di indicatori inclusivi proposti per il superamento del PIL in termini sociali, economici e ambientali. Tra essi, l’ Human Development Index (HDI), lanciato dalle Nazioni Unite e focalizzato, fra l’altro, al monitoraggio di qualità e attese di vita, educazione e redditualità pro-capite; il Social Progress Index con enfasi sul benessere sociale e ambientale; e il World Happiness Index inclusivo di ‘measures of generosity, freedom and corruption’.

Nel frattempo, la New Economics Foundation (NEF) proponeva 5 indicatori in un report dell’ ottobre 2015: buona occupazione lavorativa, benessere, ambiente, equità, e salute. Giusto ad esempio il report sottolineava, fra l’altro, come a fronte di un 94% di cittadini inglesi ufficialmente al lavoro nel 2014, solo il 61% godeva di posti sicuri e remunerativamente soddisfacenti.  E, con riguardo alla salute, proponeva la misura delle ‘morti evitabili’ quale indice della qualità degli interventi e dei livelli di prevenzione.

Senza dimenticare, una volta ‘rodato’ e implementato, il potenziale impatto nella realtà italiana del BES, l’indice di Benessere Equo e Sostenibile sviluppato da ISTAT e CNEL per valutare il progresso di una società non solo dal punto di vista economico ma pure sociale e ambientale, e corredato da misure di disuguaglianza e sostenibilità.  I 12 indicatori del BES includono, fra gli altri, la salute, l’istruzione e la formazione, il lavoro e il benessere economico, il benessere soggettivo, l’ambiente, la qualità dei servizi.

Il 28 luglio 2016 il BES è entrato nel Bilancio dello Stato al fine di rendere misurabile la qualità della vita e valutare l’effetto delle politiche pubbliche su alcune dimensioni sociali fondamentali.

 

PER APPROFONDIRE

This might be the best alternative yet to GDP as a way to measure a country’s growth https://qz.com/885723/this-might-be-the-best-alternative-yet-to-gdp-as-a-way-to-measure-a-countrys-growth/

Beyond GDP – is it time to rethink the way we measure growth?https://www.weforum.org/agenda/2016/04/beyond-gdp-is-it-time-to-rethink-the-way-we-measure-growth/

Five measures of growth that are better than GDP  https://www.weforum.org/agenda/2016/04/five-measures-of-growth-that-are-better-than-gdp/

The Inclusive Growth and Development Report 2017 WEF http://www3.weforum.org/docs/WEF_Forum_IncGrwth_2017.pdf

Inclusive Development Index: Measuring What Matters  http://impactalpha.com/inclusive-development-index-measuring-what-matters/

Human Development Index  http://hdr.undp.org/en/content/human-development-index-hdi

Social Progress Index http://www.socialprogressimperative.org/global-index/

World Happiness Index http://worldhappiness.report/

Rapporto Bes 2016: il benessere equo e sostenibile in Italia https://www.istat.it/it/archivio/194029

 

 

 

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...health researchers and professionals are (or should be) asking how Brexit will, and could, affect public health.  Among the questions, informed by a political economy perspective on health and its social determinants, five stand out.
One needs to remind oneself that the last word in Albert Camus’ famous essay about suicide is ‘hope’.  But it is hard to sustain in these times.

TSchrecker

By Ted Schrecker *

Professor of Global Health Policy, Durham University, UK

Brexit can be Hazardous to our Health

 

Some public policies should carry health warning labels like cigarettes or uncooked meat.  Certainly that is true for a reckless and ill-thought-out policy like the UK government’s current approach to leaving the European Union, after a close advisory referendum in which at least one of the campaigns would quickly have run afoul of trading standards law if had involved a consumer product.  As controversy rages on about exit paths – ‘strategies’ would be too kind a word – health researchers and professionals are (or should be) asking how Brexit will, and could, affect public health.  Among the questions, informed by a political economy perspective on health and its social determinants, five stand out.

  1. Whose living standards will be hit first, and worst, as sterling dives towards parity with the US dollar, or even lower? Make no mistake, it is headed that way.  What will be the direct and indirect effects on housing costs, on transport costs, on the cost of a healthy diet?
  2. What kind of job losses are likely to be associated with the shift of corporate operations to locations where they are ensured of continued access to the single European market? It is certainly plausible that the most severe losses will be concentrated among the so-called ‘unskilled’, whose mobility and options are limited by lack of formal credentials.  If you doubt that the locational shift will be substantial, ask yourself:  how much of your pension pot would you want to invest in a country with no access to any markets other than the 64 million within its borders beyond that ensured by time-consuming WTO disciplines that its government has no experience of negotiating?

I thought so.  Prime Minister May herself conceded the point during the referendum campaign.

  1. Beyond these impacts on social determinants of health are those on the NHS – where those of us without deep pockets or private insurance go when things go wrong. The most recent figures and projections from the International Monetary Fund show projected UK government spending as a percentage of GDP trending downward towards US levels – or, in historical terms, to the levels characteristic of the pre-war period, before the establishment of the NHS and the Beveridge approach to social policy.

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A public sector budget of that constrained size is simply incompatible with a comprehensive health service that is free at the point of use.  The insurance industry, as shown by a tube advertisement from 2011, understood this point years ago.  Crucially, these expenditure projects do not take into account the need (at least, so we will solemnly be told) for further austerity measures as government revenues drop with slower growth in anticipation of Brexit.

Diapositiva2

  1. In a similar vein, how will economic policy respond to the challenges of Brexit? Chancellor Hammond has recently warned (or threatened) that the post-Brexit UK might need to become a tax haven to an even greater degree than is already the case in pursuit of corporate investment, abandoning ‘a recognisably European-style economy’ in favour of ‘something different’ – travelling still further down the neoliberal road that my colleague Clare Bambra and I described in 2015.  (Some of us think that was the objective of ruling class Brexiteers all along.) What is this likely to mean for public sector revenues, and for whatever solidaristic social policies have survived the post-2010 upward redistribution of income, wealth and opportunity?
  2. Finally, what will post-Brexit trade negotiations mean for the future of the NHS? A detailed legal analysis by the UK Faculty of Public Health pointed out the possible dangers of investor protections proposed as part of the Transatlantic Trade and Investment Partnership: ‘the worst case scenario for the NHS would then be that commercialisation becomes “locked in”, sealed by the threat of huge compensation claims by investors’.  TTIP is now almost certainly dead, but the UK would face post-Brexit trade negotiations with both the EU and the United States from a far weaker position that it occupied as part of the EU negotiating bloc.  It is hard to imagine that UK negotiators informed by the health system wisdom of Jeremy Hunt would resist opening up investor access to health services, in particular when dealing with a United States in which the health care industry accounts for one-sixth of the entire economy, with associated domestic political clout.  Indeed, the profit potential of a privatised NHS might be one of the most important offers available to those negotiators.

One needs to remind oneself that the last word in Albert Camus’ famous essay about suicide is ‘hope’.  But it is hard to sustain in these times.

———————

*article originally published in OurNHS openDemocracy

https://www.opendemocracy.net/ournhs/ted-schrecker/5-reasons-brexit-is-very-bad-for-our-health

 

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