Defying expectations: Mozambique’s battles with funding shortfalls in the Global Fund’s New Funding Model

When the Global Fund to Fight AIDS, TB and Malaria (GFATM) rolled out its New Funding Model in 2014, it was with the objective to 'invest for impact'.

However, in the case of Mozambique, despite significant funding needs and progress in the fight against HIV, the ‘resource envelope’ allocated through the new model did not reflect the funding needed to support the trajectory of HIV treatment scale up.

The Global Fund’s formula-based allocation model combined with a shortfall of funds from a weak replenishment resulted in lower than expected allocations to many countries compared to overall funding needs. The effects of such low allocations were particularly striking in the case of Mozambique.