Effects of health ODA on mortality in developing countries: Implications for the Korean health ODA strategy

Abstract

This study empirically investigates health ODA effectiveness on target health outcomes in developing countries. Using data from the World Development Indicators, we conduct the panel fixed-effects estimations for 131 countries over the period of 2002-2013. Infant mortality rate, under-five mortality rate and life expectancy at birth are used as target health outcome variables. Health ODA is categorized into basic health versus general health, and basic health is further decomposed into health infrastructure, basic health care, infectious disease control, and health education/health personnel development. Findings show that total health ODA and basic health ODA statistically significantly reduce infant and child mortality rates. Basic health ODA for basic health care and infectious disease control, in specific, are effective for health outcome improvement whereas other types of basic health ODA and general health ODA are not. These findings validate the current strategy of health ODA in the international development cooperation emphasizing primary care. The Korean health ODA may need to revise the priority focusing less on physical assistance for infrastructure and medical equipments, but more on basic and preventive health care.