1. Mexico International AIDS Conference Global Architecture of HIV/AIDS Financing Remarks by Joy Phumaphi, Vice President of the World Bank’s Human Development Network.

2. Trends in International Aid

3. AIDS Funding: An Extraordinary Achievement

4. Responding to key challenges: Global Funds  Getting drugs to the poor: without a viable, sizeable market, it was not profitable for drugs to be sold at reduced prices Providing much needed financing Increasing the scale of HIV/AIDS response Creation of a new development model based on increased role of partnerships

5. Today’s New Challenges The duplication and overlap of programs at country level The urgent need to strengthen health systems, to enable HIV/AIDS resources to work better Ensuring sustainability of the HIV/AIDS response Protecting/Respecting country ownership and governance

6. Strengthening of Health systems AIDS and health systems financing go together. We need substantial resources for the HIV/AIDS response (which includes prevention, treatment, care & mitigation) We need to reverse the under-funding of health as a whole by working in a coordinated manner. Objectives of International Health Partnership

7. Coordination,Harmonization, and Alignment Among Programs Much stronger focus on coordinating HIV/AIDS response at country level is needed through: Improved National HIV/AIDS Strategic Frameworks that can provide a sound basis for mobilizing international financial assistance Harmonization of funding at country level. One option is to provide support through a single pooled fund respecting all stakeholders Improved coordination among international and national players. Multilateral institutions such as the World Bank could play a much greater role in supporting the building of systems needed for using AIDS funds more efficiently.

8. International Health Partnership and Related Initiatives (IHP+) IHP+ launched in September 2007 Objective: accelerate scale up and use of health services in order to deliver improved outcomes against the health-related MDGs and universal access commitments Includes 14 partner developing countries, 10 international organizations, 12 bilateral donors, NGOs and a Foundation (Bill & Melinda Gates Foundation).

9. Long-Term Sustainability of the HIV/AIDS Response Funding Needs are big: over US$50 billion by 2015 – a five-fold increase compared to 2007.  What is needed 1. Stop the spread of the epidemic to minimize cost of management of AIDS 2. Increased mobilization of donor assistance. Example of PEFAR: $50 billion over the next years compared to $15 during the previous authorization bill. 3. Mobilization of private sector funding: so far, limited contribution. But recently, more innovative financing (UNITAID, Red Product Campaign, Corporate Champion Program launched by the Global Fund). 4. Tapping into funding by the recipient countries. Greater reliance on insurance schemes Exploring the feasibility of building National AIDS Trust These efforts are extremely important as countries need to take greater charge of their own HIV/AIDS programs, even as donors commit to predictable long term financing.

10. Thank you!