Funding Model

Co-financing

Increasing domestic investment in health systems and HIV, TB, and malaria disease programs is crucial to addressing the full cost of the response to the three diseases. To increase country ownership and build the sustainability of programs, our funding model includes a requirement that countries commit to co-financing the response to AIDS, TB and malaria.

This consists of two elements:

  1. A co-financing requirement
  2. A co-financing incentive

Co-financing requirement

Countries are required to commit that, during the implementation period, they will:

  • Increase government spending on health
  • Increase co-financing of Global Fund-supported programs

Evidence of the country’s commitment to co-financing is necessary in order to access their allocation.

Co-financing incentive

Of the total amount allocated to each country, at least 15 percent will be made available to encourage countries to make additional investments in their response to the three diseases. To access the incentive portion of their allocation, countries will need to commit to additional co-financing investments over and above previous levels of spending. (This is what was previously known as “willingness to pay.”)

The amount and focus of these additional co-financing investments are determined by a country’s income classification.

Additional co-financing investments should be made in areas that directly benefit programs supported by the Global Fund. This can include investments that support resilient and sustainable health systems.

Co-financing is defined as all domestic public resources and domestic private contributions that finance the health sector and national strategic plans supported by the Global Fund. Domestic public resources can include government revenues, government borrowings, social health insurance, and debt relief proceeds. Domestic private contributions include verified contributions from domestic corporations and philanthropies that finance national strategic plans.

For more information, see the Sustainability, Transition and Co-Financing Policy.