Global Fund for AIDS, TB, Malaria "Not in Crisis"

The Global Fund to Fight AIDS, TB and Malaria is "not in crisis" and once again is receiving commitments from key donors, Deputy General Manager Debrework Zewdie said Wednesday in Washington.

At a Council on Foreign Relations roundtable, Zewdie said the fund has received new or renewed multi-year pledges from Germany, Japan, Spain and Britain. The United States, the fund's largest donor, has maintained its financial support during an internal crisis in which the Global Fund was found to have lost tens of millions of dollars due to fraud, waste, and corruption.

In response, the Global Fund implemented major restructuring plans to deal with issues of mismanagement that led to inadequate oversight. Zewdie noted that the fund's grant-making monies used to be evenly split between administrative and programmatic costs. Now, administrative costs account for one-quarter of total grant activities.

Furthermore, the Global Fund is shifting its focus to "high impact" areas and reducing its staff, who previously numbered around 600, said Zewdie.

"Dr. Zewdie delivered a clear message that the Global Fund's transformation is well underway, with a strong focus on impeccable grant management," said Mark Isaac, interim president of the Friends of the Global Fight Against AIDS, Tuberculosis and Malaria. "She also underscored how critical ongoing U.S. leadership is to ensuring support from other nations and to reaching those most in need around the world with lifesaving services."

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