Pro's

  • Rwanda now provides 71% of HIV/AIDS victims with anti-retroviral treatments. This is an increase of 70% since funding began in 2003!
  • At the end of 2007 1.4 million people were recieving anti-retro viral treatment because of Global Fund grants.
  • Product Red and the consumers who support it have raised 110 million dollars for the Global Fund!

 Con's

  • Because of the Global Fund's spending criteria many programs focus on treatment instead of prevention of Mother to Child transmission, the cause of an estimated 420,000 cases in 2007. For instance, in Ghana 2,000 people began anti-retroviral treatments where as only 600 mothers went through preventative treatment. 
  • The Global Fund uses the accounting firms Price Waterhouse Cooper (PWC) and KPMG to enforce spending requirements. Both these companies have had serious ethics scandals in the past.
  • The Global Fund is 900 million dollars in debt.

 The graphs below were organized by the Global Fund to illustrate the distrubution of grant money provided through round 7. The grants are submitted by Country Coordinating Mechanisms (CCM). These CCMs are partnerships between countries, organizations and/or businesses. The function of a CCM is to appoint one or a couple Principal Recipients (PR) for each grant. The CCM oversees the PR acting as a governmental force and often as a liaison between The Global Fund and the PR though this relationship is different with each grant. The PR is responsible for distributing the funds to the organizations that were designated by the grant. The distribution of funds is negotiated on a grant by grant basis by the PRs. After negotiations The Global Fund distributes the first phase of funding, which lasts 3 years, to the PR. The PR then gives the funds to the organizations. After this first phase of funding is used a Local Fund Agent or LFA (This is the role of accounting firms PWC and KPMG) analyzes the use of the money to ensure that the funds were used within the requirements of the negotiations. If the PR and sub-recipients prove successfully that the funds were spent as designated then the PR receives the second phase of funding. However, there are other considerations that have little to do with the legitimacy of the PR. The Global Fund also makes decisions based on the money available to them something to consider when you look at The Global Fund's debt.

 

 The graph above separates the grants provided by the disease the funds will affect. 61% going to AIDS, 25% to Malaria and 14% to tuberculosis. 

 

 

 This graph shows the percentage of funds dedicated to Low Income, Lower-Middle Income and Upper-Middle Income countries. These classifications of income originate from the World Bank. The higher income the country the more specifications they must meet. In an Upper-Middle income country the presence and affect of the disease must overwhelm the existing system and the money must be dedicated to the hardest affected population.

 

 

This graph breaks down fund allocation by region. The poorest and hardest hit region, Sub-Saharan Africa recieved 57% of funding. In the Global Fund's Summary report of approved grants through phase II of grant distrubution Sub-Saharan Africa is further broken down. The summary Report indicates that 28% of total funds were allocated to East Africa, 17% went to Southern Africa  and 16% went to West and Central Africa.

 

 

 This graph indicates what the money will be spent on. The drugs, commodities and products, totalling 45% of fund spending, is designated to HIV and Malaria treatments as well as chemically treated mosquito nets. Funding for CCM's governing costs, the Secritariat in Geneva, Switzerland of 335 people and the LFAs are included in this graph in Monitoring and Evaluation and Administration. Included in Infrastucture and Equipment are testing centers and the supplies needed for these centers. Human Resources generally include the individuals who work the organizations.

 

 

This graph divides the participitory organizations who participate in CCMs and PRs.

 

 

This graph further divides the organizations that participate in CCMs.