Budgeting based on need: a model to determine sub-national allocation of resources for health services in Indonesia

by Tim Ensor, Hafidz Firdaus, David Dunlop et al.
Cost Effectiveness and Resource Allocation 2012, 10:11 (29 August 2012)

22 pp. 1.2 MB:
http://www.resource-allocation.com/content/pdf/1478-7547-10-11.pdf

The authors describe a bottom-up approach to developing a formula for the allocation of resources. The method is illustrated in the context of the state minimum service package mandated to be provided by the Indonesian public health system. Costing was based on best clinical practice in Indonesia and province specific data on distribution and costs of facilities. The resulting model was used to estimate essential package costs in a representative district in each province of the country. The approach to resource allocation permitted the rapid construction of a needs based formula that is highly specific to the package mandated across the country.

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