Multilateral sectoral funds (sectoral funds) provide a single point through which pooled funding from multiple sources can be disbursed to achieve outcomes for specific development needs. Sectoral funds also allow access to levels of expertise and development resources not usually available to individual countries. Australia provides funding to a number of sectoral funds that are working to improve outcomes in health and education, sustainable development and innovative financing in low income countries. These include Gavi, the Vaccine Alliance; the Global Fund to Fight Aids, Tuberculosis and Malaria; the Global Partnership for Education;, the Global Environment Facility; the Multilateral Fund for the Implementation of the Montreal Protocol; the Green Climate Fund; and, the Global Partnership for Output-Based Aid.
Gavi, the Vaccine Alliance
Gavi, the Vaccine Alliance (Gavi) works to reduce childhood deaths through helping low-income countries procure new and underused vaccines at globally low prices. These vaccines tackle the most common causes of childhood illness and death, including pneumonia, diarrhea and measles.
Gavi is an example of a successful public/private partnership. Its work aligns with the goals of Australia’s aid program: contributing to sustainable economic growth and poverty reduction through better health. Gavi also uses innovative approaches to generating funding for development, including the International Finance Facility for Immunisation mechanism (IFFIm). IFFIm generates funds for Gavi programs through issuing bonds on capital markets.
For 2016-2020 Australia has pledged $250 million to Gavi. Australia has also committed $250 million to IFFIm over 20 years (2010-2030). From 2006 to 2015 Australia provided $284 million in funding to Gavi.
Australia is actively engaged in the governance of Gavi, focusing on meeting the immunisation needs of eligible countries across Asia and the Pacific. Australia’s contributions to Gavi deliver value for money—for every (US) dollar Australia committed over 2000-2013, Gavi gave US$8 to eligible countries in Asia and the Pacific. Since 2000, Gavi has supported the introduction of vaccines and provided grants for health system strengthening projects to 19 Gavi eligible countries across the region.
Information about Gavi’s work.
The Global Fund to Fight AIDS, Tuberculosis (TB) and Malaria (Global Fund) is a partnership between governments, civil society, the private sector and people affected by the diseases to accelerate the end of AIDS, TB and malaria as epidemics. The Global Fund mobilises and invests nearly US$4 billion a year to support programs run by local experts in countries and communities most in need. The prevalence of TB, HIV/AIDS and malaria in our region affects Australia’s national interest both directly, through the immediate health risks to our citizens, and indirectly, through the loss of economic opportunities.
Since 2004 Australia has contributed $563.4 million to the Global Fund including our pledge of $200 million to the Global Fund’s 2014-2016 allocation period. As an active Global Fund board member, Australia is engaged in the governance of the Global Fund. Australia’s contributions to the Global Fund deliver value for money- for every (US) dollar Australia committed over 2014-2016, the Global Fund gave US$15 to eligible countries in Asia and the Pacific, totaling US$2.9 billion. This is an increase of about 7 per cent in funding to the Asia-Pacific when compared to previous Global Fund allocations.
The Global Fund, provides around 72 per cent of international financing to fight TB, 58 per cent for malaria and around 25 per cent of international funding for HIV/AIDS. Since 2002 Global Fund support has achieved:
- Treatment of over 15 million global cases of tuberculosis
- Global distribution of almost 600 million bed nets to prevent malaria, and
- Treatment of almost 8.6 million people with HIV globally.
Further information on the Global Fund.
Global Partnership for Education
The Global Partnership for Education (GPE) is a multi-stakeholder partnership of bilateral and multilateral donors, developing country partners, and s representatives from civil society and the private sector. GPE’s goal is to provide inclusive and equitable quality education and lifelong learning opportunities for all.
GPE’s objectives are strongly aligned with Australia’s aid priorities:
- promoting girls’ education
- providing access to education to the poorest and most marginalised children including in fragile and conflict affected states; and
- focusing on results in teaching and learning.
GPE (and its forerunner, the Fast Track Initiative) has mobilised US$4.3 billion in support of education since 2002 enabling 22.5 million additional children to enter school in 61 developing countries around the world.
Australia contributed $340.8 million to GPE between 2007 and 2014. In June 2014, Australia pledged $140 million for GPE’s 2015-2018 replenishment. It is estimated that, for every US$1 Australia is investing over the 2015-2018 replenishment, GPE is forecast to spend US$4 in the Asia-Pacific region.
Australia’s support to GPE complements our bilateral education programs in the region and extends our reach in the education sector to a global scale. As a member of GPE’s board, Australia is actively engaged in the governance of GPE.
GPE’s achievements during FY 2014-15 included:
- supporting the construction or rehabilitation of 5,713 classrooms
- providing at least 12.8 million textbooks and learning materials, and
- training 146,819 teachers.
More information on GPE.
Global Environment Facility (GEF)
The Global Environment Facility (GEF) is an international partnership of 183 countries, international institutions, civil society and the private sector, which addresses global environmental issues. It works with partners to improve agricultural productivity, sustainable fisheries and water resource management for poor communities. It also engages in environmental activities including biodiversity, land regeneration, protection of international waters, climate change mitigation and adaptation, and management of persistent organic pollutants and the ozone layer.
Australia contributed $93 million to the GEF (2014-18) to provide a range of grants to the Indo-Pacific region. As a member on the GEF Council, Australia is actively engaged in the governance of the GEF.
More information on GEF.
Green Climate Fund
The Green Climate Fund is a US$10.3 billion fund that aims to be the world’s leading multilateral funding for addressing climate change in developing countries. Australia has pledged $200 million over four years to the Green Climate Fund (GCF) to support developing countries to grow their economies in a sustainable way and help them adapt to climate change. Australia was elected Co-Chair of the GCF Board for 2016, alongside South Africa, in late 2015. The GCF will leverage private sector investment and support a range of emission reduction and adaptation projects with broader economic and environmental benefits. Australia is an active member of the GCF Board and uses its seat to advocate the interests of our region, and to promote effective governance.
More information about the Green Climate Fund.
More information on how Australia is working with other countries to share direct, practical approaches to tackling climate change.
Global Partnership on Output-Based Aid
The Global Partnership on Output-Based Aid (GPOBA) funds, designs, demonstrates, and documents output-based aid (OBA) approaches. OBA is a results-based and innovative financing instrument designed to improve delivery of basic infrastructure and social services for the poor (e.g water, telecommunications, micro-finance). OBA projects are commonly delivered by private firms, with donors providing performance-linked subsidies.
Working with GPOBA enhances Australia’s expertise in the selection, design and implementation of OBA activities, to look at ways in which innovative financing of projects can deliver stronger and more predictable results
More information about GPOBA’s work.