Recorded presentation

Suneeta Sharma, PhD, MHA¹, Varuni Dayaratna¹, and Gracia Subiria, MD². (1) Planning and Finance, The POLICY Project, Futures Group, 1050 17th Street, NW, Suite 1000, Washington, DC 20036, 202-775-9680, s.sharma@tfgi.com, (2) Planning and Finance, The POLICY Project, Avenida La Paz 596, Miraflores, Lima, 18, Peru

In Peru, in 1995, the Ministry of Health (MOH) instituted and widely publicized a policy mandating provision of free contraceptives for all. This had the effect of dramatically changing the composition of Peru’s FP market structure. Between 1996 and 2000, the MOH market share increased from 59% to 68%, while commercial sector market share declined from 26% to 17%. During this period, contraceptive prevalence increased from 26% to 32%. A market segmentation study conducted using DHS data from 1996 and 2000 shows that this increase in public sector share was concentrated among higher income groups, with a 32% increase among middle income clients and a 28% increase among upper-middle income clients. Today, 29% of MOH clients belong to the two top income quintiles, and can potentially afford to pay private sector prices. This evidence of market distortion has served as a wake-up call for Peru’s MOH, which is facing imminent phaseout of donor support for contraceptives. The MOH has taken the initiative to bring together stakeholders from different sectors to develop strategies and interventions designed to create a policy environment conducive to greater private sector participation, and to foster complementary public-private roles. This presentation will present the findings of the market segmentation analysis, discuss its use in policy dialogue with key stakeholders, and outline subsequent measures being undertaken by Peru’s MOH to encourage private sector participation in meeting the Peruvian population’s contraceptive needs.

Learning Objectives:

• To better understand the unintended impacts of policy decisions on the public sector resource use

Keywords: Policy/Policy Development, Family Planning

Presenting author's disclosure statement:
Organization/institution whose products or services will be discussed: The POLICY Project, The Futures Group International
I have a significant financial interest/arrangement or affiliation with any organization/institution whose products or services are being discussed in this session.
Relationship: Employment

Recorded presentation