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UNITAID Innovative Financing Mechanism

. UNITAID Innovative Financing Mechanism. Denis Broun Executive Director . Innovative Financing Mechanism. . 80% of UNITAID funds from Air ticket tax Cameroon Chile France + multi year commitment Republic of Korea Madagascar Mauritius Mali Niger More countries soon

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UNITAID Innovative Financing Mechanism

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  1. UNITAID Innovative Financing Mechanism Denis Broun Executive Director

  2. Innovative Financing Mechanism  • 80% of UNITAID funds from Air ticket tax • Cameroon • Chile • France + multi year commitment • Republic of Korea • Madagascar • Mauritius • Mali • Niger • More countries soon • Applied to all fights departing from countries • Amount can vary and decided by government • 1 euro domestic economy • to 40 euros business international • Neutral (all companies) No negative impact • Norway – Co2 emission tax • 20%multi budgetary contributions • UK + multi year commitment • Spain • Cyprus • Brazil + multi year commitment • Gates Foundation Over US$ 2 billion raised since 2006

  3. The Air Ticket levy • Applied to all fights departing from countries • Amount can vary and decided by government • Around $US 1 domestic economy • Over $US 40 business international • Neutral (all companies)

  4. = • One adult or 2 child, life saving malaria treatment • One HIV test kit for a pregnant mother • One week HIV treatment for a child • One day of treatment for a patient on second line combination • One week first line TB treatment

  5. UNITAID only achieves impact by enable its partners Global Fund, Bilaterals, World Bank, WHO Country governments, NGOs Government, Pharma Companies, Gates Foundation, NGOs $2B+ $4B+ ~$300M Registration and policy for quality products Reformulation and adaptation Global market management Early stage product development Delivery of products Source: Partner survey, February 2011, n=31, UNITAID’s Strategy 2010-2012 Document, Dec 2009

  6. Market Impact Framework Case for Intervention Pathway from market to public health impact Public Health Problem Identified Commodity Access Issue & Market Shortcomings Identified Market Intervention • Market • Impact • Local/int'l prcm't • price • quality • availability • delivery Public Health Impact

  7. UNITAID is one of several market players • Coordination is critical: Global Fund (including MDC), PEPFAR, PMI, USAID TB, WHO, Stop TB, UNAIDS, RBM, GDF, etc. www.unitaid.eu

  8. Innovative spendingValue for Money  Value for money • Money goes further • User friendly (FDC) Efficacy/Quality/Price • Transaction cost (below 4 per cent) • Investing in products of proven public health benefit • More medicines purchased and delivered = more lives saved • Creating and improving markets • Incentives for manufactures to enter or develop market • Better prices negotiated – purchases made for many countries high volumes • Market impact dimensions vary by product; can include: • price, • quality, • availability and • timely delivery • Positive Externalities • Market benefits and results achieved by UNITAID available to all   

  9. HIV-AIDS Medicines provision to low income countries 10% Branded Medicines 90% Generic drugs Africa TRIPS 2014 India TRIPS 2005

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