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Smart Contracts - Transforming Public Health Services

Updated: Oct 26, 2023

The National Strategic Plan 2017-2025, with the goal of eliminating TB by 2025, recognizes private-sector engagement as a critical strategy. Under the partnership guidelines, a third-party agency is contracted to engage private-sector labs, doctors, and other service providers who cater to private-sector patients through various partnership options. Ensuring regular payments to these partners and effective financial management is of utmost importance to maintain engagement and support the TB elimination efforts.

However, the manual nature of various processes involved, such as physical verification of Key Performance Indicators (KPIs) achieved, submission of documentary evidence, calculations, and invoice generation, can lead to significant issues, including human errors and unforeseen delays in payment processing. To address these challenges and streamline the payment and financial management processes, a Smart Contract Module is being developed in Ni-kshay to digitize the entire contract execution workflow.

The development of the Smart Contract Module in Ni-kshay is a significant step in addressing the challenges associated with manual processes for private-sector engagement in the National Strategic Plan for TB elimination by 2025. This module offers a digital solution to streamline the entire contract execution workflow. The key components of this module - Compliance, Inspection, and Entitlement - work together to ensure efficient financial management and accurate payments to partners while reducing human errors and delays. Authorization and Payment are other components of this module.

Here's a breakdown of how the three major components of the Smart Contract Module work:


  • Contract Profile: This component captures all relevant details and contractual norms of the partnership agreements. This information serves as the basis for payment preconditions.

  • Electronic Documentation: Once the profile is created, NGOs are linked to that contract and can submit required documentation electronically, which can be easily verified and processed. NGO staff can use the mobile app to upload documentary evidence against patient records. This digitizes the submission process and ensures that documentary evidence is easily accessible and securely stored in the cloud.


  • Verification: The uploaded files are accessible to designated health authorities (DTO/STO) who can review and verify them. This step adds transparency and accountability to the process.


  • Payment Processing: When KPIs are achieved, the system initiates entitlement generation / proforma invoices with detailed calculations and patient lists for further payment processing. This ensures that partners can be paid promptly upon meeting their performance goals.

In addition to these core components, the Smart Contract Module also offers -

  • KPI tracking in terms of task lists and alerts - the system automatically detects and sends alerts for non-achieved KPIs.

  • Data Analytics - This feature provides administrators with visibility into the system's performance and user engagement. It can help in monitoring the effectiveness of partnerships and identifying areas for improvement.

Overall, the implementation of the Smart Contract Module in Ni-kshay is a significant advancement in enhancing the efficiency and accuracy of financial management for private-sector engagement in the TB elimination plan. Automating processes, digitizing documentation, and providing real-time tracking of KPIs, contribute to the success of the National Strategic Plan and ensure that private-sector partners are appropriately supported in the fight against TB.

Very soon we will start a pilot in 2 districts in the state of Uttar Pradesh in India. Looking forward to witnessing its impact when this module will enable easy and faster payments for government-based contracts of all types.

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