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During the recent meeting, the Board of the Global Fund to Fight AIDS, TB and Malaria voted to follow the recommendation of the Global Fund Secretariat and reject the Phase 2 renewal of two HIV/AIDS grants in Nigeria. According the Reuters Newswire, the termination, worth more than $50 million, resulted from the country’s failure to "meet targets on drug access and transparency." This was no doubt a difficult and politically unsavory decision to make - but it was the right thing to do.

Since its founding in 2002, the Global Fund has claimed to be a new type of funding mechanism, one committed to promoting real country ownership and a high standard of accountability. There have been several instances in its short history when the Fund has temporarily suspended grants for mismanagement, although the Board has been less willing to terminate programs completely for lack of performance - especially grants for HIV/AIDS. The only previous termination (the LoveLife program in South Africa) came after repeated reviews, multiple votes and a damaging political controversy. By comparison, this vote shows the emerging confidence of the new institution and sends a strong signal of real commitment to accountability.

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CGD blog posts reflect the views of the authors, drawing on prior research and experience in their areas of expertise. CGD is a nonpartisan, independent organization and does not take institutional positions.