KUALA LUMPUR, June 22 (Bernama) -- The G20 members and several relevant international organisations have agreed to work together to set up the Financial Intermediary Fund (FIF) to help countries in need to face any pandemic in the future.
During the 1st G20 Joint Finance and Health Ministerial Meeting held in Yogyakarta on Tuesday, Indonesian Finance Minister Sri Mulyani emphasised the urgencyfor collaborative work between health and finance sectors to better prepare for future pandemics, considering that the COVID-19 would not be the last.
“The world is definitely watching us—how the G20 is going to respond with delivering concrete action in pandemic preparedness and response. The world is waiting for us,” Mulyani remarked in a statement.
Furthermore, she also asserted the importance of inclusivity in the work of FIF, led together by the World Health Organization (WHO) and the World Bank, which required the involvement of both developed and developing countries.
The WHO and World Bank estimated that US$31 billion was required annually for strengthening global health security, according to WHO Director General Tedros Adhanom Ghebreyesus. (US$1 = RM4.397)
About two-third of that fund could come from existing resources but that leaves a gap of US$10 billion per year. Hence, he expects that the FIF would help close that gap.
WHO and the World Bank have been cooperating to establish the FIF, which would be overseen by a board that takes a decision on funding allocation supported by a technical advisory panel.
Both the board and the technical advisory panel would be supported by the joint WHO-WB secretariat based at the Bank’s headquarters in Washington, with assisting staff from the WHO.
According to the plan, the Bank will provide financial and administrative leadership at the secretariat, operate as a representative for the FIF, hold and transfer relief funds, as well as provide administrative services.
Meanwhile, the WHO will provide technical leadership; coordinate input for the technical advisory panel; and prepare relevant technical documentation, recommendations, and reports for the council.
To date, the G20 has pushed for an emergency fundraising commitment of around US$1.1 billion from five member countries and one international social organisation to mobilise the role of FIF. The pledges came from the United States, European Union, Germany, Indonesia, Singapore, and the Wellcome Trust.
The establishment of FIF is still in the ongoing discussion that will be continued at the next G20 meetings, hosted this year by Indonesia.
However, as the G20 President, Indonesia will continue to gather as much as possible support from more countries as well as an international organisation even philanthropists, in order for them to be able to contribute to the financing side of pandemic preparedness and response.
-- BERNAMA
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