Global Fund Cuts In Aid To China May Exceed 50%

Reporter from China

In July this year, in order to cooperate with China to establish a financial system for ensuring the safety of funds, a delegation of the global fund delegation visited Beijing to hold talks with China's CDC, the central executive body of China's global fund project.

The minutes of the talks show that Dr. Webb, senior official of the Global Fund Secretariat in charge of Asia, Europe, Latin America and the Caribbean region, said that China is the fourth largest recipient of the global fund and three projects have a huge sum of money.

With the strengthening of China's economic strength, the recent global fund's strong assistance to China has caused many international disputes.

Webb said the global fund is conducting projects in China.

It has been reported that the global fund hopes that the Chinese government will shoulder all the human resources and training funds for the three projects, of which the reduction rate of TB project assistance funds may be as high as 80%.

Webb said that many of the original training programs of China's global fund projects are not necessary. Some of the training funds can be borne by the Chinese government. The global fund only supports a small part of the necessary training.

Webb said that although the proportion of the three projects is different, the average cut rate should be 50% or more.

Yesterday, an official in charge of the National Coordinating Committee of China's global fund project said in an interview with our reporter that the ratio of global fund to China's fund reduction is not known at present, but the global fund has clearly stated that it will reformulate the aid funding plan for China. "This means that the total amount of funds for the three projects will definitely be reduced."

The official said that China's CDC made clear in its talks that the funds received from China's global fund project were approved by the Global Fund Council for a substantial reduction of 50% or 80%.

It is also understood that the office of the Global Fund chief inspector general has been sent to China in August this year to audit the global fund projects in China. The plan has been postponed for some reason, and the audit work is expected to commence in the near future. Its main purpose is to evaluate the use of funds in China's global fund projects over the years.

CCM official said that the audit will not affect the freezing of funds.

Rectification

Social organizations will be self financing.

With regard to the participation of social organizations, China's global fund project has decided to change its previous management mode and will set up a secondary executive agency outside China's CDC, which will take full responsibility for the participation of social organizations in the project.

In the 2011-2012 year, China's Global Fund AIDS project will support 25% of the total annual budget (after deducting purchasing funds) to support social organizations and HIV infected organizations.

The newly established executive agencies are expected to manage millions of dollars in project funding.

CCM responsible person said that the executive body must be a non-governmental organization. At present, the bidding has ended and the jury is being formed to prepare for the final selection. The winning bid will be announced soon.

Response

There is no abuse of procurement funds.

It has been reported that the Global Fund found that millions of dollars of procurement funds could not implement the procurement items when the global fund conducted a financial examination of China's projects. The Ministry of health's Disease Control Bureau said that China's CDC has communicated with the global fund on the details of the purchase. Problems can be caused by weak management. It may be that fixed assets are not timely reimbursed and warehousing, rather than the abuse of purchasing funds.

The Ministry of health's Disease Control Bureau said that after the Global Fund's aid to China was frozen, the CDC carried out self-examination within the country, and all levels of health administrative departments and disease control agencies were also asked to rectify.

Because more than 2000 counties and cities in the country need to carry out statistics, and the workload is very heavy.

In addition, due to the integration of global fund projects and government related projects, project funds are also integrated, and survey statistics are more complicated.

Link

Global Fund Projects

Covering 2/3 counties and cities

The global fund is the largest international cooperation project in the field of health in China.

Over the past 8 years, the total contracted capital of US $937 million has been implemented, and the funds have been executed for us $548 million. We still have a commitment to finance US $680 million.

The project has effectively supplemented the shortage of funds for AIDS, tuberculosis and malaria control in China, and has greatly promoted the prevention and control of the three diseases.

At present, the project coverage has been extended to more than 2/3 counties and cities nationwide.

In November last year, the global fund froze the fund for China's Global Fund AIDS project because of the lack of social organizations and financial management problems.

In May this year, the global fund froze the aid fund for two projects of tuberculosis and malaria control, involving hundreds of millions of dollars.