In almost all developing countries, family planning services are provided
by both the public and private health care sectors. But because services
offered through private clinics or doctors are expensive, most people
receive family planning care from government-funded facilities, which
offer services for free or at low cost.
The expense of providing this care is skyrocketing as populations in
developing countries grow and the demand for family planning services
increases, according to the U.S. Agency for International Development
(USAID). Between the years 1995 and 2015, costs associated with providing
family planning care in developing countries are expected to jump from
$8 billion to $22 billion.
At the same time, though, public-sector funds tagged for family planning
in the developing world are expected to stay the same-or decrease. By
the year 2015, USAID estimates that donors to and governments of developing
countries will supply only half of the anticipated $22 billion needed.
Help for family planning services in the developing world may come
from a surprising source-the private sector. In 1998, USAID's Center
for Population, Health, and Nutrition designed a five-year, $80 million
project to encourage private-sector involvement in work traditionally
performed by the public sector. The project is called Commercial Market
Strategies (CMS).
Administered by the consulting firm Deloitte Touche Tohmatsu, the
project is targeting 20 developing countries where the private sector
can be mobilized to assume more responsibility for family planning
services. National governments, with support from international
donors, will provide services for those who can't afford to seek
care elsewhere. CMS encourages for-profit enterprises like private
practices, pharmacies, and insurance companies to venture into family
planning services by offering profit incentives.
In the Philippines, for instance, CMS has extended business loans to
midwives who offer family planning services. In Jordan, it has conducted
market research for Blue Circle, a contraceptive manufacturer. In Uganda,
CMS has advised three businesses offering employees health insurance
for the first time.
But the project's most impressive success has been franchising clinics.
A prototype franchise in Bolivia helped the nonprofit organization PROSALUD
create a network of clinics catering to low- and middle-income clients.
The franchise helped PROSALUD eliminate "the bad service and outmoded
equipment of the public sector," says Director Carlos Cueller, "and
the high costs and interest in high margin of profit of the private
sector."
In order to effect partnerships between the public and private sectors,
the project draws on the expertise of specialists within the field of
public health. In March 2000, CMS asked AVSC International to function
as a resource, citing its half century of reproductive health experience
around the world.
Besides helping CMS design global clinic-based training programs, AVSC
will also participate in specific country contracts. AVSC's first contract
will involve Ghana, where a large corporation wants to establish its
own reproductive health clinic. Other contracts in Cambodia, India,
and Nepal are likely.
"We welcome the opportunity to share our expertise in furthering this
initiative," says Sara Warren Gardner, AVSC Deputy Director of Programs.
"As the universal recognition of the importance of family planning continues
to increase," she adds, "the marrying of private- and public-sector
initiatives may be a more familiar sight."
Elizabeth Uphoff is a program associate in Development at AVSC.