Open letter to Michel Kazatchkine, Executive Director of the Global Fund to Fight AIDS, Tuberculosis and Malaria

Brussels, September 26, 2011

Dear Mr Kazatchkine,

The European AIDS Treatment Group (EATG) would like to express its concern by some totally inappropriate, irresponsible and opportunistic statements made following the release of the HLP and some calls for the Executive Director to step down.

EATG is a community organisation that promotes the interests of people living with HIV/AIDS. Founded in 1992, the European AIDS Treatment Group (EATG) is a European network of nationally-based activists. EATG’s mission is to achieve the fastest possible access to state of the art medical products, devices and diagnostic tests that prevent or treat HIV infection, and to improve the quality of life of people living with HIV/AIDS in Europe.

On Monday September 19 the final report of the High Level Independent Review Panel on Fiduciary Controls and Oversight Mechanisms (HLP) was released. The comprehensive findings of this report is a result of six months of intensive work, and includes the review of 40 existing grants with a conclusion that all current weaknesses are opportunities that can be strengthened and improved.

EATG is concerned on how some of the findings of the HLP can be misconstrued. The Global Fund has committed US$ 22.4 billion in over 150 Countries to support large-scale prevention, treatment, care and support programmes against the three diseases. This in practical terms translates to putting 3.2 million people on HIV treatment, treating 8.2 million people infected with Tuberculosis (TB), and 190 million bed nets distributed to avert malaria infections. Millions of lives have been saved, because of the work of the Global Fund and its partners, and this need to be put into perspective.

The HLP report states, “The Panel recognizes that, unlike banks or other financial institutions, the Global Fund cannot avoid risks by simply denying funding; lives are at risk, and the very purpose of the organization is to save them”. Because the Global Fund works in environments that are inherently risky, the challenge for the institution then is not to avoid risks, but how to develop appropriate mitigation strategies to identify, access and manage them.

Simon Bland, Chair of the Global Fund’s Board states: “We commissioned the panel to give us an honest, hard look at the institution from the outside and that is exactly what we have got. The panel’s findings will play a central role in accelerating reform. As an organization we are totally committed to making the necessary changes to strengthen oversight, improve impact, value for money and sustainability.”

The Panel does not agree with the fatalistic and paternalistic view that ‘if you do business in these countries, you expect [corruption and diversion] to happen’ as a natural consequence of development assistance. The Global Fund experience has shown that responsible actors in recipient countries, even very poor ones, can manage money effectively by employing good governance and management, with appropriate and active oversight from staff and partners. It should be noted that it was the transparency of the Global Fund itself, publishing the reports of the Office of the Inspector General that led to the panel being established.

EATG is equally concerned by some totally inappropriate, irresponsible and opportunistic statements made and some calls for the Executive Director to step down. It was the Executive Director Professor Michel Kazatchkine who in 2010 identified the need for change and improvement within the GFATM.

The Panel in its report ‘notes and concurs with the steps underway to implement the recommendations of the Q1 Review’ and also ‘welcomes the energy and determination with which the Executive Director is approaching the task [of reform]’. EATG strongly supports this statement and the leadership of Dr. Kazatchkine at the Global Fund. We look forward to working with him and the Secretariat as he works to further strengthen the Fund’s oversight mechanisms and implement its forthcoming strategic plan.

EATG welcomes the report and the Board’s prompt response to it, and look forward to the announcement from the Board on how its plan to address and action the recommendations of the HLP report. The Board of the Global Fund will meet on the 26th September 2011, in Geneva, Switzerland to review and discuss the findings and recommendations, act on the most urgent issues and agree on a process to address and action the recommendations.

EATG also asks for the responsible use of the public information released in the HLP report by media and governments and other partners, with a reminder that the challenges related to the three diseases is an on-going emergency in many parts of the world.