The determinants of official development assistance for healthcare in Korea

ABSTRACT

This paper aims to examine the factors that affect the amount of official development assistance (ODA) a developing country receives for healthcare by the Korean government. We empirically tested to what extent the amount of Korea's ODA in health care services, infrastructure, HIV/AIDS, and tuberculosis are affected by the relevant demand factors in the recipient countries. To do so, we carried out country-level multivariate regression analyses by setting the amount of ODA for four health care sectors as dependent variables and the relevant demand factors and economic factors as independent variables. A panel dataset was constructed by combining ODA data from the Organisation for Economic Cooperation and Development and World Development Indicators. The analyses showed that the ODA for health care in Korea is partly meeting the recipient's health care needs. In particular, the recipients with a smaller number of physicians are likely to receive more ODA for medical services. Meanwhile, the amount of international trade with Korea is likely to affect the amount of ODA for medical services. However, disease factors, such as prevalence of HIV/AIDS and tuberculosis, did not positively affect the amount of ODA for those diseases. These results indicate that Korea's ODA system for health care needs to be improved to meet the demand of the recipients in order to achieve the humanitarian objectives set by the international community. We hope that the medical community and the government of Korea can cooperate in setting the global policy agenda for health care ODA based on concrete evidence-based healthcare policy research.