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Overview of the Global Fund and
Role of the Private Sector
October 12, 2010
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Donors
Global Fund to Fight AIDS, TB and Malaria: $19.3 billion contributed to
date, representing the largest global investment in health.
Government donors
include:
G8 nations
European
Commission
Over 30
additional donor
and recipient
countries
Innovative Finance:
Debt2Health
Principal Nongovernment donors
include:
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Private Sector and the Global Fund
The Private Sector can be involved with the Global Fund
In 4 ways:
• Contributor to GF governance, through PSD or CCM, and as a
public advocate
• Implementer of GF grants (through co-investment, technical
assistance, grant recipient)
• Contributor of financial and in-kind resources
• Commercial provider of goods and services
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Private Sector and Good Governance
Participation on CCMs:
• Around 10 CCMs are currently chaired by private sector
• Most notably, Standard Chartered Bank chaired CCM in the Gambia. SCB
utilized its core competencies (financial expertise and management skills)
to improve oversight of GF grants
• Chevron actively involved in Angola CCM
• Goal: More engagement from the private sector within the CCM - The PSD
will work closely with the Secretariat to ensure active participation
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The Private Sector Delegation
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GBC, as PSD Focal Point, manages the communication between the delegation and the Fund
Secretariat and Board
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Provides a platform for the private sector to provide its input and voice to the Global Fund
Board on policies, procedures, challenges, etc
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Comprises companies that are willing to invest and dedicate significant support, time,
resources, and expertise to providing guidance/direction to the Global Fund (via various
taskforces and working groups)
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Encompasses the participation of 35 companies and partners from across various sectors.
Advisory Group is meant to be kept at small size, but remains open to accepting a few new
members.
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PSD is currently represented on 4 Global Fund Committees: Portfolio and Implementation
Committee; Policy and Strategy Committee; Ad Hoc Market Dynamics and Commodities
Committee; & Affordable Medicines Facility-malaria Ad Hoc Committee
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Private Sector Delegation: Composition and Structure
Private Sector Delegation is one
of 20 Delegations to the GF
Board. PSD represented on GF
through Brian Brink-Board
Member, and Rick Wilkins,
Alternate Board Member
PSD Advisory Group: 34 members
• Appoint board members
• Counsel on policy
• Participate in taskforces, and board meetings
PSD NETWORK: +/-100 members
= LFAS and Business Coalitions
GBC:
PSD Focal Point
• Invited to periodic consultations
• Ad Hoc Counsel on Policy
PSD Broad Constituency
• Kept abreast through website
• Informed of major developments
• Selectively invited to major events
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Private Sector Delegation Advisory Group members
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Abt Associates
Access Bank plc
Anglo American plc
APCO Worldwide Inc.
Aspen Pharmacare
AstraZeneca
Bayer AG
BD (Becton, Dickinson and
Company)
BHP Billiton
Booz & Company
Bristol-Myers Squibb
Chevron Corporation
Exxon Mobil Corporation
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GlaxoSmithKline (GSK)
Global Business Coalition
Heineken N.V.
Johnson & Johnson
McKinsey & Company
Merck & Co., Inc.
bioMérieux
Mylan
Novartis
Orasure Technologies
Pfizer Inc
Premier Medical Corporation
Product (RED)
SABMiller
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Sanofi-Aventis
Standard Bank
Standard Chartered Bank
Sumitomo Chemical Co
Trinity Biotech Plc
Unilever
Vestergaard Frandsen
World Economic Forum
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Private Sector as Implementer
of Global Fund grants
• As Principal Recipient (Philipinas Shell Foundation, AngloGold Ashanti)
•As Sub Recipient (Unilever Tea Tanzania in-house hospital selected to provide free
ARVs in framework of the National Malaria Care and Treatment Plan; Access BankNigeria-health systems strengthening of the malaria grant Round 8)
• The Global Fund’s Dual Track Financing mechanism includes both governmental and
non-governmental (private sector)actors in funding proposals
•Through co-investment. Example: Marathon Oil and Equatorial Guinea
•Through technical assistance. Example: Standard Bank- Financial Management
Support; PriceWaterhouseCoopers as Local Fund Agent. Other examples include,
McKinsey worked closely with the government of Nigeria to develop program
management tool for the Round 8 malaria grant
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Private Sector as Contributor
of financial and in-kind resources
•In 2008 the private sector contributed 5.2% of all GF resources ($622
million). The goal of the Private Sector delegation, under the leadership of
Brian Brink, is to increase private sector contributions to 10%
•(PRODUCT) RED – since its launch in 2006 generated more than $150 million
Current (RED) partners include Converse, Gap, Emporio Armani, Apple,
Starbucks, Hallmark, Dell, and American Express (UK only)
•Chevron – first Corporate Champion with a total contribution of $55 million
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Innovative Mechanism: United Against
Malaria
•The ‘Gift from Africa’ campaign, initiated three months ago in partnership
with Friends of the Global Fund Africa, brings together companies from the
private sector in Africa with the United Against Malaria campaign and its
fund-raising partners (Nando’s, MTN and Standard Bank)
•The campaign has initial commitments from Access Bank Nigeria, Anglo
American South Africa, Cirrus Oil of Ghana, MTN Group and Old Mutual of
South Africa, with Access Bank recently announcing a contribution of US$ 1
million
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Corporate Champions Program - Chevron
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In January 2008, Chevron became the first Corporate
Champion committing US$ 30 Million over three years to the
Global Fund. On October 5 2010, Chevron announced that it
will commit an additional $25 million to the Global Fund,
raising its 6 year investment to $55 million, the largest
contribution from a single organization. In addition, Chevron will
engage with the PRs and the CCMs to explore joint valueadding initiatives to complement grant related activities.
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The partnership has been launched or announced in 6
countries and the development of local partnerships have
begun
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In Indonesia, Chevron is partnering with the CCM and
PACT to deliver management training to Principal
Recipients
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In the Philippines, Chevron will work with the Tropical
Disease Foundation, to launch a tuberculosis awareness
campaign
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In Thailand, Chevron is exploring partnering with the PR
in communications activities in its retail stations
Chevron has or will join the CCM in Nigeria, Angola,
Turkmenistan, and probably more countries in the future
Chevron-supported Global Fund AIDS grant
program in Nigeria.
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Opportunities for Further Engagement
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Deepening resource mobilization within the private sector to increase its
contribution to 10% of total funding for GF grants
Strengthen private sector involvement at country level through its role as
Principal Recipient, Sub Recipient, technical assistance, CCMs and
governance
PSD and NBCs to strengthen NBCs engagement in building effective
partnerships between the business community and the private sector
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