Spain signs three agreements with Global Fund to Fight AIDS, Tuberculosis and Malaria

The three programmes in question imply the overall write-off of debt amounting to some 36 million euros, of which 15.5 million euros will be mobilised to finance projects (9.3 million euros in Cameroon, 3.4 million dollars in the Democratic Republic of Congo and 3.2 million euros in Ethiopia).

Already approved by the Council of Ministers, the agreements are an innovative development finance instrument that reflects a continued commitment to collaboration from Spain that was first made over a decade ago with the Global Fund.

Under these Debt2Health agreements, the debtor countries undertake to contribute an amount equal to the debt written-off under the conversion programme to the Global Fund. These resources are added to those managed by the fund in the beneficiary country to combat AIDS, tuberculosis and malaria. The beneficiary country decides on the projects for which to request financing and the Global Fund approves these requests after checking their technical robustness and ensuring that they are in line with the health priorities in the country. The beneficiary country is also responsible for implementing the projects, although the fund is committed to verifying effective implementation.

To date, the amount of debt converted in this way under Debt2Health agreements stands at close on 200 million euros, with support from Australia, Germany and Spain.

The Spanish Ministry of Economic Affairs, Industry and Competitiveness will oversee the use of these resources through the annual reports presented by the Global Fund, and will also be entitled to request any additional information deemed appropriate.

These agreements form part of the strategy implemented by the Ministry of Economic Affairs, Industry and Competitiveness through the State Secretariat of Economic Affairs and Support for Business to manage foreign debt efficiently. Activity in the field of foreign debt management has been particularly strong in recent years. As stated by law, the lines of action are based on preferential respect of financial obligations - except in exceptional situations where debt write-offs are recommended - and on maintaining financial stability.

The Global Fund is an association engaged in the fight against AIDS, tuberculosis and malaria epidemics. Set up in 2002, it acts as an intermediary between governments and civil society, the private sector and the people affected by these diseases. It raises and invests close on four billion dollars a year to finance programmes run by local experts in the countries and communities needing them most. Since its inception, the Global Fund has financed programmes that have helped save 22 million lives.

Non official translation