Global Fund: Helping Fund the Just Fight

1. Global Fund: Helping Fund the Just Fight Global AIDS Forum January 7, 2003

2. Overview of Presentation • Global Fund • What is the Global Fund? • Why do we need to fund it? • Roundtable Topics • Finance • Targeting • Program/Activity Area • Intellectual Property

3. What is the Global Fund? • Global Fund is a financial instrument, not an implementing entity • Fund will base its work on programs that reflect national ownership, respecting country sovereignty • Fund will evaluate proposals and distribute grants, with a priority on countries most at risk • Governing board includes equal amount of donor and developing countries

4. Why give to the fund? • Empower countries financially to do their own work • Minimize global security threats/instability • Advance gender equality & alleviate poverty • Ethical/Moral obligation to assist in humanitarian crisis

5. Roundtable Topics • Finance • Targeting • Program/Activity Area • Intellectual Property

6. Financial Goals • US $7 billion by end of 2003 • US $10.5 billion by 2005 • US $15 billion by 2007 • US $21 - $25 billion by 2015

7. Participation Goals • To involve as many facets of society in financing the alleviation of HIV/AIDS and in providing services for those impacted

8. Global Fund Financial Predicament National Government Pledges US $2.0 billion Private Sector Pledges US $100 million Total Pledges US $2.1 billion Pledge Promises US $1.6 billion

9. The Global Funds Challenge • Inadequate pledge amounts • Failed delivery of pledges

10. Challenges Help us fund the just fight

11. Challenge #1: UNAIDS • To raise the necessary US$10.5 billion by 2005 • To have sustainable financial resources for the Fund’s future projects

12. Challenge #2: National Governments • Short term: Annually allocate a percentage of your GDP to the Fund • Long term: Establish a multilateral taxing mechanism as a financial resource for the Fund

13. Challenge #3: Private Companies and Foundations • Add 25 private partners annually • Designate “HIV/AIDS Goodwill Ambassadors” such as the Gates Foundation to help us build partnerships with this sector

14. Challenge #4: NGO community and citizens’ groups • Assist the Fund in fundraising by educating the public and private sectors about the urgency and needs of the AIDS crisis

15. Challenge #5: International Lending Institutions • Forgive at least 25% of highly indebted and poor countries’ debt on the condition that this money is earmarked for social sectors including appropriate HIV/AIDS programs

16. Targeting • The Global Fund places priority on • Areas with greatest burden of disease • Interventions that address social and gender inequalities and behavioral practices • Areas in conflict and distress

17. Targeting Developing Countries • 96% of people living with HIV/AIDS live in developing countries • Sub-Saharan Africa is the most affected region with 29.4 million people living with AIDS. • Social and and economic impact of AIDS is greatest in developing nations

18. Targeting • More specific targeting is needed • Women • Mothers and Children • Youth ages 15-24 • Other vulnerable populations

19. Women • Fastest growing rate of infection • Gender inequalities in sexual behaviors makes women more vulnerable • Women’s physiology increases risk of infection • Women are key to socio-economic cohesion

20. Mothers & Children • 1500 HIV positive infants are born daily, 95% in developing countries • Transmission rates are increased due to cultural norms • Abortion is prohibited • Breastfeeding is sole option • Low rate of pre/post natal care

21. Youth • Half of all new infections (over 7000 daily) are young people between 15-24 • Youth are vulnerable • Risky sexual behavior • Substance abuse • Lack of access to information and health care • Young women and girls are most vulnerable

22. Other vulnerable populations • Injecting drug users • Sex workers • Homosexual men having unsafe sex • Prisoners • Migrants and refugees • All have high HIV prevalence rates and rates of transmission to other populations

23. Effective programming • Education programs to change behavior • Treatment options for mothers and babies • Education programs tailored for youth • Targeted programs for sex workers

24. Program/Activity Area • Who Can Apply • Characteristics of Successful Proposals • Ideas for the Future

25. Who Can Apply • National Country Coordination Mechanism (CCM) • Regional CCM (Multiple Countries/Small Island States) • Sub-national CCM • Individual Organizations

26. Characteristics of Successful Proposals • Soundness of approach • Feasible program implementation • Potential for sustainability • Evaluation and analysis

27. Soundness of Approach • Consistent with internationally accepted best practices • Priority to most affected/at risk groups • Develops, strengthens, expands partnerships • Eliminate stigma and discrimination • Respect intellectual property rights

28. Feasible Program Implementation • Programmatically and technically specific to country’s needs • Transparent in financial arrangements • Increase quality and coverage of proven and effective practices • Augments/coordinates with existing regional and national programs • Uses equitable supply and distribution systems

29. Potential for Sustainability • Sustained political involvement for allocation of national resources • Strategy for ensuring that Global Fund investments will be additive and catalytic • Approved by Country Coordination Mechanism

30. Evaluation and Analysis • Results focused using a clear and measurable set of indicators • Include a monitoring and evaluation mechanism

31. Ideas for the Future • Maintain balance between prevention, treatment, and support • Continued CCM efforts to coordinate with NGOs and other smaller organizations • More in-depth monitoring process to ensure maximized success • Expanded support of programs directed at previously specified targets

32. Intellectual Property Background • What is intellectual property? • TRIPS Agreement • Doha and going forward • Relation to Global Fund efforts

33. Problems for poor countries • High prices of patented pharmaceuticals • Even generics unaffordable to poorest countries • Limited opportunity to procure generics • Few countries have ability to produce • Trade agreements limit generic exports

34. Recommended Solution • Waiver for AIDS medications for needy countries • Protections against re-importation and parallel importing to rich countries and potentially for middle income countries • Requires tight definition of needy countries

35. Other solutions • To prevent reimportation, UN purchases drugs in bulk at discounted prices, becomes sole distributor • Increase incentive subsidies for R&D to produce at marginal cost (separate incentives from low cost distribution)

36. HAPPY BIRTHDAY LINDA!