April 08, 2013 - April 10, 2013
The Global Fund to Fight AIDS, Tuberculosis and Malaria announced in April that it will need to raise $15 billion to effectively fund the battle against these three epidemics in the 2014 to 2016 period. The announcement came as Global Fund donors, partners, stakeholders and private sector representatives met in Brussels on April 9-10 for preparatory meetings for the pledging conference, known as the Global Fund’s Fourth Replenishment, that will be held for donors in late 2013. The Private Sector Delegation (PSD) was represented at the two-day meeting by the PSD Board member, Dr. Brian Brink, Chief Medical Officer of Anglo American plc., and GBCHealth’s Whitney White, the PSD’s Focal Point.
Together with projected domestic funding from countries andother external donors in 2014-2016, a $15 billion investment from the Global Fund would allow collective resources to fund 87% of global treatment, prevention and care gaps for HIV, TB, and malaria.
The Global Fund presented a needs-based target of $15 billion for the upcoming Replenishment to effectively fight AIDS, TB and malaria. Global Fund leadership and partners made a forceful case for the critical timing of this Replenishment, presenting evidence that the current moment marks an unprecedented opportunity to leverage scientific advances, epidemiological insights and implementation know-how to turn the tide against the three diseases. Presenters warned that without investment now, the important progress of the past decade could be lost or even reversed.
Despite the financial crisis in recent years that has left many governments faced with national budget constraints, Global Fund stakeholders urged public donors to invest now in order to avoid staggering human and economic costs in the future. There was an emphasis on supplementing official development aid by increasing contributions from non-traditional sources, such as emerging economies, high net worth individuals, and the private sector. European Commissioner for Development Andris Piebalgs and Anglo American’s Brian Brink called for the private sector to significantly increase the financial support provided to the Fund and for government donors to gather support from multinational companies in their own countries to help reach that goal.
Recent transformations at the Fund and the new approach to funding show strong positive improvements to budget and disbursement parctices, providing assurance that the Global Fund continues to offer excellent value for money. The new approach to funding being rolled out in 2013 also promises to be more effective and sustainable by strengthening national strategic plans, incentivizing ambitious programs, and encouraging greater country ownership and closer dialogue with technical partners and other funders.
The Global Fund has outlined a replenishment strategy that relies on the private sector as one of four key pillars, along with traditional Official Development Assistance (ODA), emerging economies, and domestic financing from implementing countries. The private sector pillar will focus not only on multi-million dollar contributions from multinational corporations, but also on local co-financing of Global Fund programs, contributions from high-net-worth individuals, and innovative financing mechanisms.
Reception for Private Sector Executives, April 8th
Andris Piebalgs, the European Commissioner for Development and Dr. Mark Dybul, the Global Fund’s Executive Director, hosted a private sector executive reception on April 8th to engage with new and potential private sector partners as the Fund seeks to engage new companies to partner as donors, co-investors and/or implementing partners. The dinner was attended by senior executives from Anglo American, Eli Lilly, Gilead Sciences, Heineken, L’Oréal , Sanofi, Saatchi & Saatchi, Total, Vestergaard Frandsen, and ONE/Product (RED).
Read the Global Fund’s Press Releases
Learn more about the Global Fund Private Sector Delegation