Impact of Results-Based Financing on Key Health Indicators in a Devolved Health System: A Case Study from Northern Zambia
Abstract:
Results-Based Financing (RBF) has been promoted as an
innovative health financing mechanism to improve service delivery and health
outcomes in low-resource settings. However, evidence on its impact within
devolved health systems remains limited. This study examines how RBF influences
key performance indicators (KPIs) in Zambia's devolved district health
services. An embedded multiple-case study was conducted across 12 districts in
Northern Province, Zambia. Mixed methods were employed, combining qualitative
interviews with 44 stakeholders and quantitative analysis of health facility
data. The study focused on maternal and child health indicators, service
utilization patterns, and health worker motivation following RBF
implementation. RBF implementation was associated with improvements in several
KPIs: maternal health outcomes (100% of facilities reported improvements), medicine
availability (91%), and the quality of primary healthcare services (67%).
Health worker motivation increased, with 42% agreeing and 24% strongly agreeing
that RBF positively affected service delivery. Community-based volunteers
responded positively to incentive structures. However, challenges included
delayed fund disbursement (91.7% reported), inadequate funding (83.3%), and
monitoring gaps (50%). RBF can enhance key health indicators in devolved
systems when properly designed and implemented. Success depends on timely
incentive disbursement, robust monitoring systems, and integration with
existing community health structures. The study provides evidence for
policymakers considering RBF scale-up in decentralized health systems.
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