The World Health Organization (WHO) has released a new policy titled “Responding to the health financing emergency: immediate measures and longer-term shifts”. It provides strategies for countries to manage the severe consequences of sudden reductions in the external health funding. The guidelines provide both short-term and long-term policy options to stabilize the health systems, maintain necessary services, and promote financial sustainability.
As per the WHO, external health aid was projected to decrease by 30 to 40% in 2025 compared with 2023. This creates a major challenge for low- and middle-income countries (LMICs). A WHO survey conducted in March 2025 across 108 LMICs found that these cuts have decreased critical services like maternal and child healthcare. Epidemic preparedness, vaccination, and disease surveillance have increased by 70% in some nations. About 50 countries reported health worker layoffs and significant disruptions in training programs, further weakening the already strained system.
Dr. Tedros Adhanom Ghebreyesus, Director-General of the WHO, said that sudden withdrawal of aid is “costing lives and jeopardizing hard-won health gains.” He highlighted that the crisis should be an opportunity for countries to move towards sustainable financing and self-reliance, reducing any dependency on external donors. The new WHO framework is designed to help governments prioritize and efficiently use the available domestic resources while protecting the most vulnerable populations.
The report indicates that the current funding crisis stems from long-standing structural problems in LMICs, such as chronic underfunding, limited fiscal space, high out-of-pocket spending, and dependence on donor-driven programs. These factors make the healthcare system fragile and unable to deal with sudden shocks. WHO encourages governments to view health spending as an investment instead of a cost. This highlights its role in social stability, human dignity, and economic resilience.
The guidance offers many key policy guidelines based on principles of efficiency, equity, and sustainability. These involve prioritizing essential health services for the poorest and most vulnerable populations, protecting the national health budgets, improving efficiency by better procurement, and reducing administrative costs. It also includes integration of donor-funded and disease-specific programs into a strong primary health care (PHC) system and using health technology assessment (HTAs) to guide evidence-based decisions.
WHO highlights the necessity of national leadership and global solidarity to make sure sustainable progress. Many countries have already taken protective measures. Nigeria elevated its health budget by US$200 million to address funding shortfalls and strengthen immunization and epidemic response. Nigeria, Kenya, and South Africa have approved health allocations to strengthen system resilience. Ghana removed the cap on exercise tax revenue for the national health insurance scheme and got 60% more budget, and launched The Accra Reset to reform global health governance. Uganda has developed a policy to integrate the health programs for more sustainability and efficiency.
The new framework reaffirms WHO’s commitment to achieving universal health coverage (UHC) through robust, equitable, and primary healthcare-based systems. It aligns with World Health Assembly resolutions on “Strengthening health financing globally” and “Economics of health for all.”
To support implementation, WHO and its partners will provide technical assistance, data analytics, and peer-learning platforms. A key initiative, the UHC Knowledge Hub, will be launched in December 2025 in collaboration with Japan and the World Bank to promote policy innovation and sustainable financing strategies.
The new WHO guidance serves as both a warning and a roadmap. Global health financing crisis threatens decades of progress but also presents an opportunity to build stronger, more self-reliant systems capable of delivering equitable and resilient healthcare for all.
Reference: World Health Organization. WHO issues guidance to address drastic global health financing cuts. Published November 3, 2025. Accessed November 5, 2025. WHO issues guidance to address drastic global health financing cuts
