A High-Level event in the margins of the G8 Finance Ministers' Pre-Summit Meetingin Lecce will mark on 12 June 2009 the launch of the implementation phase ofthe Advanced Market Commitment (AMC) pilot project. The main aim of the AMCproject is to accelerate research for the development and production of avaccine against pneumococcal diseases, one of the main causes of child mortalityin developing countries.
Thisis a landmark achievement, attained three and a half years after the issuanceof the Tremonti Report (December 2005), which had put forward to the G8 FinanceMinisters the proposal to translate into practice the theoretical investment modelknown as Advanced Market Commitments (AMCs), aimed at encouraging the developmentand production of vaccines suitable for the needs of developing countries.
TheAMC scheme aims to address and overcome the market failure related to the lack,or inadequacy, of private resources for vaccine research, key to fightinginfectious diseases in developing countries. Usually pharmaceutical companieshave very little interest in investing in this type of research, sincedeveloping countries cannot afford these vaccines when they are developed becausethey lack the necessary resources. Through the AMC scheme, instead, donorscreate a market by securing the necessary resources to buy the vaccines in casethese are actually identified and developed.
TheAMC pilot project is supported by six donors who have contributed up to 1.5billion US $: Italy (635$ million),United Kingdom (485$ million),Canada (200$ million),Russia (80$ million),Norway (50$ million)and the Bill and Melinda Gates Foundation (50$ million).Also the World Bank, the GAVI Alliance, UNICEF and WHO have provided aninvaluable contribution to the definition of the structure and design of theproject.
Aftera long preparatory process and the approval from all the stakeholders of the relevantlegal agreements, finally the implementation phase of the AMC - which can beregarded as an innovative financing mechanism - will be celebrated in Lecce.From that moment onwards, pharmaceutical companies interested in the projectwill be able to register according to predetermined procedures. In this waythey will become AMC partners and will start to work at the development andproduction of pneumococcal vaccines.
Forthe first time, through the joint efforts of six donors and the InternationalOrganizations involved, poor countries will benefit from otherwise impossible accessto vaccines which will avert almost 1 million deaths a year.
Theevent, at the presence of Minister Giulio Tremonti, will take place on 12 June 2009in Lecce. All donors and International Organizations involved in the projectwill attend.