Pay for performance for prenatal care and newborn health: Evidence from a developing country

Empirical literature analyzing the effect of pay-for-performance programs (P4P) for healthcare providers on maternal care and newborn health outcomes is scarce. In 2008, Uruguay’s Ministry Public Health implemented a P4P called Metas Asistenciales (Healthcare Goals), country-wide program that grants an economic incentive complying with certain goals. organizations use these funds to provide child services. Using administrative records difference-in-difference methodology, we evaluate outcomes. We find in institutions affected by program, number women receiving adequate prenatal controls increased 10 percentage points pregnancy detection first trimester improved 4.5 points. also found better results among newborns indicators related birth weight, premature births, stillbirths. sum, had positive, significant impact rate pregnant women’s utilization services This study thus provides evidence supporting idea incentives are promising tool incentivizing achieve developing countries.