MWE Correspondent
Tanzania has taken a major step forward in strengthening its healthcare system by renewing the Health Basket Fund (HBF) agreement with international development partners for the 2025/26 financial year.
The new pact, signed on July 18, 2025, increases the funding allocation to $55.56 million (about Sh161.1 billion), up from $44.3 million (Sh128.5 billion) in 2022. This renewed commitment underscores a long-standing collaboration that has helped Tanzania advance its goals for Universal Health Coverage (UHC).
The signing ceremony was led by Tanzania’s Minister for Health, Jenista Mhagama, alongside senior representatives from key development partners. Minister Mhagama emphasized the critical role of the Health Basket Fund as a dependable financing mechanism that supports primary healthcare delivery across the country.
She highlighted how the fund backs important government reforms such as the Decentralisation by Devolution strategy, which empowers local governments and health facilities by transferring resources directly to where services are delivered. One key innovation supported by the fund is the Bepesa Direct Health Financing Facility, which channels funds straight to over 7,345 health facilities nationwide, enabling quicker access to resources and improved patient care.
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The renewed agreement also welcomed the United Kingdom back into the Health Basket Fund, joining long-term contributors including Denmark, Ireland, Norway, Switzerland, and the World Bank. Their continued partnership reflects confidence in Tanzania’s health sector priorities and effective management.
Speaking on behalf of the development partners, UNICEF’s Tanzania Representative, Elke Wisch, praised the country’s strong leadership and coordination in health sector planning and implementation. She noted Tanzania’s model approach as a positive example within the East African Community, highlighting its commitment to improving maternal and child health, combating infectious diseases like malaria and HIV/AIDS, and strengthening health systems.
For decades, the Health Basket Fund partnership has played a vital role in expanding access to essential health services, building workforce capacity, and improving health infrastructure. The increased funding for 2025/26 is expected to further accelerate progress, especially in underserved rural and remote areas.
