This page includes the latest figures summarising Gavi's donor contributions and pledges including support through direct funding, IFFIm pledges, Gavi Matching Fund gifts and AMC commitments
Proceeds and donor contributions perspectives
The AMC and IFFIm are financing mechanisms that enable the innovative use of donor contributions over time. In a given year, the amount a donor contributes to the mechanisms may differ substantially from the amount Gavi receives in that year (hereafter referred to as proceeds).
We note, however, that in these cases the aggregate amount a donor contributes and Gavi receives over time are economically equivalent.
Both perspectives are valuable in understanding the contributions and commitments donors have made to enable Gavi to meet country demand for vaccines.
“Proceeds” are the funds made available to Gavi for the period from donor contributions and commitments through cash payments made to Gavi, through frontloading via the capital markets of a donor's future commitment to IFFIm or through AMC funds released to Gavi via the World Bank.
“Donor contributions” comprise direct contributions already received from government and private sector donors as well as IFFIm donor contributions to the GAVI Fund Affiliate (GFA) and AMC donor contributions to the World Bank.
The International Finance Facility for Immunisation (IFFIm) utilises frontloading and enables countries to have the greatest impact when it is needed most. Frontloading is the ability to make funds available now based on donors’ long-term pledge commitments.
In the case of Gavi, IFFIm issues bonds backed by grants pledged by donor countries and repaid over time. The cash raised through the bonds is used to purchase vaccines, support programmes and strengthen health systems.
As Gavi proceeds result from monetising the present value of future donor pledges, the monetary amount of proceeds tends to be less than the monetary amount of future pledges. These amounts are economically equivalent, and more importantly the decision to monetise future pledges is driven by the importance of achieving a health impact today (by frontloading).
In order to back the IFFIm bonds, all donor pledges are hedged to floating rate US dollars at the time that pledges are signed. As a result, their value is set at that point, reflecting prevailing foreign exchange rates.
Volatility in spot exchange rates may mean that the dollar value of a future pledge at any point in time may be more or less than what will actually be received by IFFIm under its hedging contracts. It is the hedged value of IFFIm grants that determines the amount of frontloading that IFFIm can provide as proceeds to Gavi.
2006-2010 contributions are stated as those received by the World Bank expressed at their US dollar equivalent.
2011-2033 contributions are stated at the amounts pledged by donors expressed at their US dollar equivalents on 10 June 2011 and reduced by a notional 3% provision to allow for any potential reduction arising from the High Level Financing Condition of the IFFIm Finance Framework Agreement.
An Advance Market Commitment (AMC) provides a way of accelerating the development and manufacture of vaccines. Through an AMC, donors commit money to guarantee the price of vaccines once they are developed, provided they meet stringent, pre-agreed criteria on effectiveness, cost and availability, and that developing countries demand them.
As per the grant agreements, AMC funds must be received by the World Bank between 2009 and 2020. For the On-Demand donors, comprised of Canada, Norway and the United Kingdom, the amounts are subject to change as updated forecast information is provided.
AMC proceeds are calculated based on the percentage of cumulative AMC contributions received by the World Bank.