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Global Health, Development and Business Leaders Announce New Innovative Financing Partnership to Deliver Essential Health Supplies More Quickly and Efficiently
Date:5/17/2013

ia, this cross-sector collaboration can help boost the impact of donor aid and accelerate progress towards key health Millennium Development Goals and improve the lives of mothers, children, and families globally.

A financial tool developed by the UN Foundation, PGH works to streamline the procurement of life-saving health supplies. By facilitating short-term loans to developing country recipients, this innovative financing partnership enables recipient countries to access higher quality and more effective methods of health supplies at no additional cost. Currently, due to extensive lag time between the donors and recipients, aid disbursements can take up to 14 months. By providing funding up front, PGH shaves months off of the commitment-to-disbursement timeline.

Quotes from key principals:

Dr. Raj Shah, Administrator, USAID: “This announcement builds on our efforts to partner with the private sector to help end preventable child death within a generation. USAID’s partnership with the Pledge Guarantee for Health will help make this promise a reality by ensuring that people around the world—especially mothers and their children—have access to life-saving vaccines, bed nets, and other supplies that are delivered more quickly, cheaply, and broadly than ever before.

The PGH guarantee, facilitated through USAID’s Development Credit Authority, will guarantee 50% of any loan that commercial banks issue to PGH over the next five years. This will allow commercial lenders to get comfortable with this unique structure and eventually continue lending to PGH after the guarantee expires. Through this new approach, we can cut inefficiency even further and better maximize the impact and reach of each dollar we invest.”

Dr. Anders Nordström, Ambassador for Global Health, Swedish Ministry of Foreign Affairs: “We all have to think creatively and collaboratively, through partnerships like PGH, to bring stakeholders together and focus on d
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