1. Establishing AIDS Trust Fund Tanzanian Experience Mrs. Beng’i Issa Director of Finance, Administration and Resource Mobilization, Tanzania Commission for AIDS International AIDS Conference 2014 Satellite Session, 23 rd July 2014 Melbourne, Australia

2. TANZANIA PROFILE Total population is 44.6 million (2012 census) 945,087 km² or (364,900 M 2 ) 25 Regions and 165 Local Government Authorities Unity of Tanganyika mainland and Zanzibar islands in 1964

3. HIV in Context ART 512,000 Circumcision rate 72% HIV Prevalence 5.1% (15-49yrs) New infections 86,000 per year 1,500,000 PLHIV and 2 million Orphans Transmission to babies decreased to 15% from 26% (2012) Education Programmes 80% Major driver of epidemic - multiple concurrent partnership PMTCT coverage 65%

4. Finance Background There is a value for money spent on HIV and AIDS (VFM 2012). HIV and AIDS finances 27% of the total health budget. (NHA 2010) Tanzania spend about 550 million USD per year. HIV and AIDS national response is financed by donors by 71% The annual gap is estimated at 50% (NMSF Costing 2008-12).

5. NATIONAL GAP ANALYSED 2008 -12

6. Multi-sector contribution

7. Current major funders in absolute cash

8. TACAIDS Est. TMAP Global fund NMSF Grant PEPFAR AIDS Trust Fund UNDP supp. program UNJP3 UNDAP LIFE OF HIV and AIDS PROGRAMMES IN TANZANIA

9. A need for investment? It is estimated that 86,000 new HIV infections inTanzanians i.e. about 80,000 people per year on Treatment. It costs about USD 300 per person per year for Anti Retroviral Therapy. WHO new guidelines on treatment of ART push for more needs of resources. It is estimated that only 10% of people are reached by condoms. Implementation of eMTCT strategy for positive mothers is at initial stages. A need to scale up VMMC; the Government has set a target to circumcise 2.8 million males by 2017. New evidence of prevention of new infections using cash transfers interventions

10. AIDS Trust Fund (ATF) The Government has approved establishment of the AIDS Trust Fund. It has taken 5 years of efforts. Main objective is to ensure sustainability of financial resources for HIV response. National AIDS Policy (2001) instructed the establishment of the AIDS Trust Fund. The Trust fund will reduce donor dependence by 36%. Focus of the next five years is to follow National HIV strategy and gaps identified.

11. ATF Status It is established under TACAIDS Act No. 22 of 2001. It intends to supplement the current funding mechanisms for the HIV and AIDS national response. It is established as a public fund.

12. Governance Structure PRIME MINISTER’S OFFICE TACAIDS COMMISION ATF BOARD OF TRUSTEE CEO TACAIDS ATF MANAGER HIV PARLIAMENTARY COMMITTEE

13. Proposals declined Income taxes (companies) Alcohol and Cigarettes Gift Union taxes Declined by stakeholders Life insurance Exempted taxes Air ticketing Buses and lorries at the borders Bias GOT contribution on VAT collected Employers and employees taxes GOT contribution on VAT collected Employers and employees taxes

14. Implementation principles Agreed national priorities as per HIV and AIDS policy and strategies will be followed. Involvement of all stakeholders from different sectors in decision making. The Trust fund to contribute to the national efforts in the fight against HIV and AIDS in Tanzania. The Trust Fund will not replace donor support to Tanzania. Funds used will follow Government rules and regulations. Speed and risk management.

15. Priority setting National Strategies Technical Working groups to be involved Impact and Results Existing national coordinating mechanism to endorse Approval by the Trustees Promote decentralization Included in the annual Government budget

16. ATF Sources Government Contribution Foreign grants & donations Foreign and local private donations & bequests Investment income Public fund raising events public auctions, meal fundraising events, music extravaganzas, fashion shows, raffles, giveaways and trinket sales, sponsored charity walks and mountain climbing, and sports tournaments. Website/online and mobile phone. Donors contribution on whole or part of their grant assistance resource invest money not immediately needed in short-term instruments such as Treasury papers Foreign and domestic private sources. receive favourable tax treatment Ring fenced budget allocation by the GoT. Based on the costed Strategy and total gap.

17. Expected ATF envelope

18. CSO Funding and Involvement CSOs in Tanzania plays important role in HIV National response 70% of the HIV donor resources are channeled through CSOs Some of the CSOs finances the Government (Districts) All coordination structures from the national to villages involves CSOs Currently about 2% of the national resources are channeled by LGAs to CSOs ATF operations will use existing mechanisms in relation to CSOs involvement.

19. Proposed allocation of funding from ATF

20. Asanteni!