Time for Allocation
The Global Fund finalized allocation amounts for 2014-2016, as part of a new funding model that is designed to encourage ambitious planning and to optimize the use of funding from all sources in order to achieve the greatest impact. Today, the Global Fund informed countries about their individual allocation amounts for HIV, tuberculosis and malaria, and encouraged countries to see how to best fit allocation amounts with national health strategies and national strategic plans.
The new funding model relies on strong country dialogue to bring partners together to best decide how to maximize impact, and to look at how all available resources can best serve a country’s objectives. Once country dialogue has focused those objectives, and is aligned with a national strategic plan, each country can submit a concept note to apply for funding. Countries are encouraged to critically examine how all funds contribute to impact and shift funds or significantly reprogram grants accordingly.
“To defeat these diseases, we all need to think big,” said Mark Dybul, Executive Director of the Global Fund. “By prioritizing and focusing on maximum impact, we may be able to achieve more than seems possible today.”
“The new funding model was designed to more fully deliver on the promise of partnership that created the Global Fund. The Global Fund is not the Secretariat in Geneva, it is a global partnership beginning with country ownership,” he said.
“We see lots of reasons for hope, and we are confident we can support our partners in a way that makes a dramatic difference in the years ahead,” he added.
Dr. Dybul warned that in many countries, there will be a funding gap between ultimate goals and available resources.
“In many countries, people want to see larger allocations and we share that feeling,” he said. “But if we look beyond today, we can see that as a global community we can achieve bigger impact by reforming the way we invest in a partnership approach that maximizes every available resource. We are guided by the demands of the diseases, and we are on the road to defeating them.”
A total of US$14.82 billion is available for allocation in 2014-2016, drawn from funds raised in the recent replenishment and existing funds that have not yet been disbursed. That total is 20 percent higher than the amount the Global Fund disbursed in the previous period. In addition, many countries can compete for US$950 million of “incentive funding” for ambitious requests. The Global Fund is also providing US$200 million to countries through regional grants. Added together, this represents US$16 billion in funding. More than half of that amount, around US$9 billion, is already committed to existing grants that are in the pipeline.
An important principle of the new funding model is to allocate more funds to countries where the burden is greatest and there is the least ability to pay, and the majority of available funds are indeed allocated to lower-income countries. In countries with high levels of grant money in the past, or “over-allocated” countries, commitment levels will need to be adjusted downward over time. For countries where the existing grant pipeline is greater than the allocation, only the existing grant pipeline will be disbursed.
Many countries with HIV, TB and malaria programs do not have access to the full amount of funding they need, and may find it odd to be considered “over-allocated” by the Global Fund’s allocation-based funding model. But that is the reality. In countries where the Global Fund needs to adjust its funding downward, it will work closely with CCMs and in-country partners to encourage governments to increase their contributions in the response to HIV, TB and malaria.
The Global Fund is a partnership at its core, and the new funding model is a fuller manifestation of that reality. By making partnership central to defeating HIV, TB and malaria, the new funding model calls on the skills, knowledge and determination of everyone responding to these disease to find the best solutions. With a more strategic approach based on national plans, the new funding model will support countries in planning how to control these epidemics and how to provide care and treatment to people affected by them, including the strengthening of health systems.
“The challenges will be many, but the opportunity is great,” said Dr. Dybul. “By continuing to work closely together, creating stronger partnerships and having open lines of communication, we can fulfill our collective mission.”
New Funding Model: the Movie
If you want an easily-explained overview of the new funding model, we have a movie for you. It takes just five minutes to watch. It features the Global Fund’s Head of Grant Management, Mark Edington, and explains how partners can achieve greater impact against AIDS, tuberculosis and malaria worldwide. Just click here: