World Bank and Global Fund for stronger collaboration to tackle the impact of climate change on health

The World Bank and the Global Fund to Fight AIDS, Tuberculosis, and Malaria (the Global Fund) today signed a new Memorandum of Understanding (MoU) outlining how the two organisations will work together to strengthen health systems in countries of the Global South.

The goal is to support more efficient, effective, and sustainable financing to improve health outcomes in the face of climate change, according to a press note issued by the multilateral development partner.

Latest estimates show that more than half of the global population is not fully covered by essential health services and the climate crisis will only increase the demand for effective services, especially for the most vulnerable people.

“We cannot make adequate progress on public health while rising temperatures change the patterns of infectious diseases and breed pandemics,” World Bank president Ajay Banga said, adding that the only option is to respond aggressively, simultaneously, and comprehensively. "This partnership with the Global Fund is another step forward in our effort to recruit partners and build the coalition that is needed to deliver impact.”

Specifically, the two organisations will work together on climate and health priorities to reduce the burden of malaria, HIV/AIDS, and tuberculosis (TB) through stronger health systems, including better access to primary healthcare services for the most vulnerable populations. The World Bank estimates that 132 million people may be forced into extreme poverty by 2030 due to climate change; one-third are the result of climate-related health risks disproportionately affecting the poorest and most vulnerable people.

“To stand a chance at achieving the targets of ending AIDS, TB and malaria, we must redouble our efforts to fight these diseases," executive director of the Global Fund Peter Sands said, adding that it includes investing to build health systems that can withstand the effects of climate change. “With malaria serving as an early tracer of the impact of climate on health, we need intensive interventions and strong partnerships to reverse the negative impact of climate change on health.”

Importantly, the two organisations will also advocate for increased financing for health and building country capacity for more efficient and sustainable financing across health systems, including for HIV/AIDS, TB, and malaria. The goal is to make better use of scarce domestic and international health resources, including through better public finance management in countries. The two organisations will also use various financing modalities, including joint investments and blended finance, and collaborate on joint investments.

Another area of joint focus will be on strengthening the regional production and procurement of health supplies, including drugs and medical devices. Access to essential health supplies is necessary to ensure preparedness and strong and resilient health systems. The organisations will help localize health supply chains by supporting sustainable manufacturing in Africa and low- and middle-income countries.

Since 2017, the World Bank and the Global Fund have supported many countries by investing with blended finance transactions. For example, a loan buydown in India helped increase financing for TB care and prevention. In Indonesia, innovative buydown funding was linked to improved detection of TB cases, better treatment coverage, and reforms in provider payments to incentivize primary care. In Haiti, co-financing increased the use of primary healthcare services and strengthened disease surveillance. And in The Gambia, direct co-financing supported strengthened health systems for HIV/AIDS and TB.

The Global Fund is a worldwide partnership to defeat HIV, TB and malaria and ensure a healthier, safer, more equitable future for all.

Kathmandu joins the global movement to 'Light up the World in RED to End TB'

Kathmandu and Patan Durbar Squares, Ministry of Health and Population (MoHP) and World Health Organisation (WHO)-Nepal lit two important UNESCO heritage landmarks of Nepal – Patan and Kathmandu Durbar Squares – in red, marking the first ever United Nations High-Level Meeting (UNHLM) on Tuberculosis (TB), held today in New York. The initiations will set pathway for an accelerated and coordinated response to save millions of lives and prevent TB, a commitment towards a world free of the disease by 2030, according to the UN.
Heads of State and Government, TB survivors, affected communities, technical partners, researchers, private sector representatives, and other key stakeholders are attending United Nations High-Level Meeting (UNHLM) on Tuberculosis in New York to put TB in the spotlight and this is the first time TB has been addressed in the UN General Assembly.
The UNHLM on TB, with the theme 'United to End Tuberculosis: An Urgent Global Response to a Global Epidemic', is the biggest opportunity to raise political priority for TB and is the most significant political meeting on TB which will lead to a political declaration endorsed by the heads of state.
TB is the 9th leading cause of death globally and is now the leading world’s infectious killer with 1.6 million deaths in 2017 alone, with profound economic and social consequences.
The 'Light up the world in RED to End TB' ceremony was inaugurated by dignitaries from MOHP and WHO country representative to Nepal. During this historical event for a huge global momentum for ending TB in the world, the two important UNESCO heritage landmarks of Nepal has joined the global cities that has participated in the campaign. Every city is invited to join the global movement and light the city in red to bring world’s attention to the devastating impact of TB.
"The presence of the dignitaries from the MOHP and partners here today to commemorate this historical UNHLM on TB is a testimony of Nepal’s commitment towards a world free of TB," WHO representative Dr Jos Vandelaer said in his welcome remarks.

Excess liquidity with banks to fuel inflation, speculation in stock market

Excess liquidity in the banks and financial institutions is going to push the inflation, and also the stock market speculation, up.

The 91-day Treasury Bills (TB) weighted average interest rates has dropped to bottom low of 0.0164 per cent yesterday on November 26, according to the central bank.

The lowest short term excess liquidity management tool – the 91-day TB –weighted average interest rates reflects low borrowing from the banks and financial institutions, which are parking their money at almost zero interest at the central bank.

The excess liquidity in one hand will fuel the inflation that is already expected to stand at two digit – due to CA election and its expenses – and increase the speculation in the stock market.

The 91-day Treasury Bills (TB) weighted average interest rates had stood at 9.65 per cent on January 11, 2011, due to tight liquidity then But the rate has dropped to the lowest on November 21, due to surplus liquidity at present.

The central bank has issued reverse repo four times and is issuing the fifth Rs 10 billion-worth reverse repo today to absorb excess liquidity from the banks and financial institutions and contain the inflation. But reverse repo is a short term measure to suck the liquidity from the market as the liquidity will again flow back to the market soon. The banks and financial institutions purchase treasury bills from the central bank as they have excess liquidity and low lending.

The central bank has already absorbed Rs 35 billion from the market through reverse repo before the this fifth reverse repo in the current fiscal year. With today's reverse repo

The central bank has calculated that there is around Rs 50 billion liquidity in the banking system that will increase the inflationary pressure.