THE as % of GDP

Percent

This is a core indicator of health financing systems. It provides information on the level of resources channeled to health relative to a country's wealth.

Level of total expenditure on health (THE) expressed as a percentage of gross domestic product (GDP).

Provider type (public/private)

National health accounts (NHA) indicators are based on expenditure information collected within an internationally recognized framework. NHA synthesize the financing flows of a health system, recorded from the origin of the resources (sources), to the purchasing agents (financing schemes), which distribute their funds between providers, to pay for selected health goods and services to benefit individuals. Beneficiaries are analysed across geographical, demographic, socioeconomic and epidemiological dimensions. Total expenditure on health (THE) is measured as the sum of all financing agents managing funds to purchase health goods and services. The NHA strategy is to track records of transactions, without double counting in order to reach a comprehensive coverage.  Monetary and non monetary transactions are accounted for at purchasers' values. Guides to producing national health accounts exist. (OECD, 2000; WHO-World Bank-USAID, 2003).

Input

In countries where the fiscal year begins in July, expenditure data have been allocated to the later calendar year (for example, 2008 data will cover the fiscal year 200708), unless otherwise stated for the country. These data are generated from sources consulted by WHO for over ten years. The most comprehensive and consistent data on health financing is generated from national health accounts. Not all countries have, or update, national health accounts.  In these instances, data are obtained through technical contacts in-country or from publicly-available documents and reports and harmonized to the NHA framework. Missing values are estimated using accounting techniques depending on the data available for each country. The principal international references used are the EUROSTAT database, International Monetary Fund (IMF), government financial statistics and international financial statistics; OECD health data; and the United Nations national accounts statistics. National sources include national health accounts reports, national accounts reports, health system's financing reports. Other possible data sources include ad hoc surveys, general government (GG) accounts, Public Expenditure Reviews (PER), expenditure by purpose reports (COFOG, COICOP), household surveys, business surveys, actuarial and financial reports of health insurance institutions, economic censuses. Additional sources are: reports by central banks and nongovernmental organizations; data provided by central statistical offices and ministries on official web sites; statistical yearbooks; executed budget reports; other government reports; and academic studies. WHO sends estimates to the respective Ministries of Health every year for validation.

Sum of total expenditure on health for all countries divided by sum of gross domestic product for all countries by relevant group. WHO region, income-group and global expenditure estimates are calculated using absolute amounts in national currency units converted to Purchasing Power Parity (PPP) equivalents unless otherwise noted. Regions are based on WHO regions, income groups on the World Bank classification and the global aggregate based on all WHO Member States.

N/A

Annual

Annual

When the number is smaller than 0.05% the percentage may appear as zero. The most relevant attribute of this indicator is being comprehensive in its content.