The board of the Global Fund for AIDS, Malaria and Tuberculosis has adopted a new approach to funding grants that will enable the organisation to “invest the world’s money more strategically and for greater impact.”
According to a statement released by Andrew Hurst, the Global Fund media relations manager, the decision to adopt a new funding model, which was taken by the Board on Friday in Geneva, Switzerland, is designed to significantly improve grant-making with a process that is more predictable, reliable, and flexible. It is hoped the change will achieve a higher success rate in all grants and more effectively save the lives of people affected by the three diseases.
“This is a tremendous, forward-looking change for the Global Fund. In addition to the substantial amounts of money we are disbursing this year, this new funding model will make our grants even more effective in the future,” said Simon Bland, chair of the board of the Global Fund.
The statement added that the new funding model will change the way implementers apply for financing, get approval of their proposals and then manage their grants.
The statement continues: “Once fully developed, it will encourage national strategic plans in each country, and strive for more simplicity and efficiency. Several aspects of the new funding model require further preparation, and the board agreed to consider them at its next meeting in November.”
Gabriel Jaramillo, general manager of the Global Fund, said it was great to see the board walk the talk.
“Now we can develop a new business model that will be simpler for implementers, will move resources faster to save lives, and will also give taxpayers in donor nations confidence that the Fund is responding to the times,” Jaramillo said.
The Global Fund states that, under the new approach, countries will be grouped in bands, which will enable the board to ensure focus is placed on countries with the highest disease burden and least ability to pay, among other factors.
“The board agreed that funds will be allocated to each band, and then divided in a way that identifies a range of funding for each country. In addition, the board decided that a portion of funds would be used to provide incentives for ambitious requests based on specific investment cases and national strategies,” the Global Fund stated.
“Our common goal is to help as many people as we can by directing resources to areas of high disease burden and limited ability to pay. Making the process more effective means more lives are saved,” said Sylvester Anemana, a board member representing West and Central Africa.