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Opinion: Are African Health Systems A Good Private-Sector Investment?

Opinion: Are African Health Systems A Good Private-Sector Investment?

From Devex. Story by  Jeff Tyson.

As the Ebola virus in West Africa wanes, multilateral and bilateral donors along with NGOs and country governments are making a concerted push to strengthen health systems across the developing world to protect against future health crises.

But at what point does health systems strengthening become a good business investment for the private sector?

The U.K.-based pharmaceutical company GlaxoSmithKline PLC announced today that it will invest more than $9 million over the course of three years to support the training of more than 9,000 health workers in Ghana, Kenya and Nigeria.

The initiative, in partnership with non-governmental organizations Amref Health Africa, the One Million Community Health Workers Campaign and Save the Children, is designed to train health care workers to manage noncommunicable diseases, treat mothers, children, and newborns, and build an evidence base that makes the case for both public and private investments in the health sector.

So why does such an investment make business sense?

By investing in health infrastructure in developing economies, GSK can help to create a market and a demand for its products, said Ramil Burden, vice president for Africa and developing countries at the organization.

“You cannot just simply complain as a company that the infrastructure doesn’t exist and therefore there is no market. You have a role actually in creating that market,” he said.

Read more at Devex.