Expanding Access to Healthcare through Entrepreneurship in Ethiopia

Ethiopia’s healthcare system faces persistent challenges in ensuring equitable access to essential services, particularly in rural areas where the majority of the population resides. Limited availability of healthcare products, long distances to health posts, and financial constraints continue to restrict access to basic care. To address these issues, TRAIDE Foundation partnered with Healthy Entrepreneurs to implement a model that empowers local community health workers to become Community Health Entrepreneurs (CHEs), expanding access to affordable healthcare solutions.

Overcoming Barriers in Ethiopia’s Healthcare System

The Ethiopian healthcare system faces multiple challenges that hinder effective healthcare delivery. Over 40% of healthcare needs remain unmet, and around 54% of community healthcare expenses are paid out of pocket, posing a significant financial burden on families. Health posts, often the closest access point for rural populations, struggle with supply shortages and limited operational capacity, with availability rates as low as 50% for essential commodities. Community health extension workers, who provide vital services, are often underpaid and overburdened, limiting their ability to meet community demands.

Recognizing these gaps, TRAIDE identified Healthy Entrepreneurs’ Community Health Entrepreneurship (CHE) Module as a proven model that could complement Ethiopia’s health extension program by introducing a sustainable, market-driven solution to improve healthcare access.

Introducing the Community Health Entrepreneurship Module

The CHE model addresses Ethiopia’s healthcare challenges by empowering community health workers to become self-sustaining entrepreneurs. By combining healthcare provision with entrepreneurial opportunity, CHEs are equipped to improve healthcare access while earning sustainable incomes.

Through comprehensive training, CHEs develop skills in healthcare delivery, inventory management, and business operations. Each entrepreneur is provided with a smartphone preloaded with telehealth applications, educational content, and digital tools for product ordering. CHEs also receive an initial starter kit of essential health products on credit, ensuring they can start their business with minimal risk.

By streamlining the supply chain and reducing unnecessary markups, Healthy Entrepreneurs ensures CHEs can provide healthcare products at up to 15% lower prices than market rates. This approach reduces healthcare costs for families while enabling CHEs to earn a sustainable income.

Building Partnerships for a Sustainable Healthcare Model

TRAIDE played a vital role in adapting and introducing the Healthy Entrepreneurs model to Ethiopia by supporting partnership development, regulatory processes, and sustainable implementation.

Working closely with stakeholders such as the Ethiopian Ministry of Health, Oromia Regional Health Bureau, and various development partners, TRAIDE facilitated the alignment of the CHE model with Ethiopia’s national healthcare objectives. Through organized stakeholder meetings and technical discussions, TRAIDE established a clear framework for CHE’s implementation, which resulted in a Memorandum of Understanding with the Ministry of Health, ensuring policy alignment and support for the pilot phase.

To ensure product availability, TRAIDE connected Healthy Entrepreneurs with partners such as the Ethiopian Pharmaceutical Supply System, AMREFT Ethiopia, PSI, and DKT, enabling access to affordable and high-quality healthcare products. Additionally, TRAIDE guided Healthy Entrepreneurs in navigating regulatory requirements such as business registration, consultation licenses, and a digital health license, allowing Healthy Entrepreneurs to integrate telehealth and e-Dispensing services within Ethiopia’s regulatory framework.

Laying the Foundation with a Pilot Program

The initial phase of CHE’s introduction in Ethiopia is focused on a pilot program in the Oromia region. This pilot involves recruiting and training 50 CHEs who will deliver essential healthcare products and services to rural families. The pilot will serve as a proof of concept, testing the model’s ability to improve healthcare access and reduce costs for rural families.

In collaboration with the Ministry of Health, the pilot also aligns with Ethiopia’s efforts to expand home-based care and introduce innovative healthcare solutions such as telehealth and e-Dispensing for improved health outcomes. The results of this pilot will inform further refinements to the CHEM model before a broader rollout.

Expanding for Long-Term Impact

With the successful completion of the pilot phase, Healthy Entrepreneurs aims to expand the CHE network to additional regions in Ethiopia. TRAIDE continues to support this process by facilitating partnerships with suppliers, technology providers, and local organizations to improve scalability. The expanded CHE network is expected to serve an estimated 7,500 families within the first year, improving healthcare access while reducing household healthcare costs by up to 60%.

Building a Sustainable Future

TRAIDE’s collaboration with Healthy Entrepreneurs aligns with its broader mission to foster sustainable business models that improve healthcare access in underserved regions. By combining healthcare delivery with entrepreneurship, the CHE model empowers local communities to achieve better health outcomes while supporting jobs and economic development.

Are you interested to find out more about this initiative? Or is your business looking to expand to Ethiopia? Please reach out to us at ethiopia@traide.org