Social Return on Investment (SROI)

“The best way to predict the future is to create it.”

— Abraham Lincoln

Social Return on Investment (SROI)

1 euro yealts 40 euro!

Analysis for 2023 Malaria Prevention in Bukavu (DRC) – for a Population of 370,634 [in Kadutu Health Zones 1-10].

While the primary aim of ARHF is to alleviate suffering, it is also crucial to consider the socio-economic implications, as healthcare costs significantly affect the economy in Africa. (see also article on Social Impact)

An exemple: The investment for making PC240m for malaria prevention available to 73,757 in 10 Health Zones in Kadutu district was $4,300.

The data of 2023 were compared with 2018 figures when PC240m was not used in Bukavu. The population of Health Zones 11-13, where PC240m was not used, served as the control group. Data were adjusted for population changes in each area.

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Real-world data from DR Congo shows substantial improvements across all age groups after introducing PC240m

Tangible Health and Economic Impacts of PC240m Implementation

For children aged 0-5:

  • 273 fewer treated as outpatients for malaria.
  • 950 fewer hospitalized for malaria.

For individuals aged 6 and older:

  • 105 more treated as outpatients for malaria.
  • 3,044 fewer hospitalized for malaria.

Malaria-related deaths reduced:

  • 98 fewer deaths among children aged 0-5.
  • 38 fewer deaths among individuals aged 6 and older.

Improved overall health of the population

Reduced malaria-related treatments and deaths

Decreased absenteeism from school or work

Reduced socio-economic losses

Monetary Valuation

  • Outpatient treatment costs for children aged 0-5: $10 each.
    • Savings: 273 x $10 = $2,730.
  • Hospitalization costs for children aged 0-5: $35 each.
    • Savings: 950 x $35 = $33,250.
  • Treatment costs for individuals aged 6 and older: $14 on average.
    • Additional cost: 105 x $14 = $1,470.
  • Hospitalization costs for individuals aged 6 and older: $45 on average
    • Savings: 3,044 x $45 = $136,980.
  • Economic loss (lost future earnings + parental work loss) for children aged 1-5: $23,000 each.
    • Savings: 98 x $23,000 = $2,254,000.
  • Economic loss for individuals aged 6 and older: $19,600 each.
    • Savings: 38 x $19,600 = $744,800.

Social Return on Investment (SROI)

  • Health Care Savings:
    • Outpatient treatment savings for children aged 0-5: $2,730.
    • Hospitalization savings for children aged 0-5: $33,250.
    • Additional outpatient treatment costs for individuals aged 6 and older: -$1,470.
    • Hospitalization savings for individuals aged 6 and older: $136,980.
    • Total health care savings: $171,490.
  • Economic Loss Savings:
    • Savings from reduced deaths among children aged 1-5: $2,254,000.
    • Savings from reduced deaths among individuals aged 6 and older: $744,800.
    • Total economic loss savings: $2,998,800.
  • Total Social Value Created:
    • Health care savings: $171,490.
    • Economic loss savings: $2,998,800.
    • Total: $3,170,290.

SROI Calculation Outcomes

  • Health Care Savings Only: $171,490 / $4,300 = 40
  • Health Care Savings + Economic Loss: $3,170,290 / $4,300 = 737

The SROI analysis for the malaria prevention program in Bukavu shows a significant return on investment, especially when considering broader socio-economic impacts.

The high SROI suggests that expanding the program to more health zones or regions with high malaria prevalence is highly recommended.

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