EU and Bill & Melinda Gates Foundation Announce New Financing Mechanisms for Women’s Health

The need for these initiatives is significant, as over 257 million women and girls globally are not using modern contraceptive methods despite wanting to avoid pregnancy.

On the sidelines of the UN General Assembly in New York, the European Union (EU) and the Bill & Melinda Gates Foundation announced a collaboration to create new financing mechanisms aimed at increasing access to affordable and effective health products, particularly contraceptives and maternal health medicines, in low- and middle-income countries (LMICs). These efforts aim to improve health outcomes for women and empower local communities and economies.

This announcement follows discussions between Nadia Calviño, President of the European Investment Bank (EIB), Jutta Urpilainen, European Commissioner for International Partnerships, and Bill Gates, co-chair of the Bill & Melinda Gates Foundation.

One key mechanism being explored is with the United Nations Population Fund (UNFPA), the UN agency responsible for sexual and reproductive health. The mechanism aims to reduce costs and address barriers to access, allowing more women in LMICs to benefit from safe and voluntary family planning. This will contribute to healthier women and children, reduce maternal mortality, and enable women to plan their families, which is a recognized human right.

Currently, UNFPA collaborates with national governments to provide access to contraceptives and maternal health medicines in LMICs. However, it faces limitations as it can only place orders once financial contributions are received, even though 60% of these donations are committed for multiple years. The new mechanism will allow for the frontloading of these multi-year commitments, enabling better planning and faster delivery of vital health products.

Led by the EIB and backed by the European Commission, this financing initiative will be supported by the Bill & Melinda Gates Foundation with funding directed to the UNFPA Supplies Partnership over the next five years.

Additionally, the EU and EIB are creating financial guarantees of up to €170 million to encourage investment in manufacturing life-saving products, including contraceptives, at scale. This initiative is part of a broader partnership under the Human Development Accelerator (HDX), a Global Gateway initiative that aims to boost investments in health and nutrition in LMICs.

The need for these initiatives is significant, as over 257 million women and girls globally are not using modern contraceptive methods despite wanting to avoid pregnancy. Without increased funding, there is projected to be a $1.5 billion gap for contraceptive products in LMICs by 2030. Many countries also face stockouts, with over 40% of service delivery points experiencing shortages.

Nadia Calviño, President of the EIB, emphasized the importance of access to contraception in empowering women: “Every woman, everywhere, should have the right to plan a family, pursue an education, and follow her dreams. Safe and affordable contraception makes this possible.”

Jutta Urpilainen, European Commissioner for International Partnerships, reinforced the EU’s commitment to gender equality, stating, “We are proud to invest in sexual and reproductive health products and services that empower women to reach their full potential.”

Bill Gates praised the collaboration, stating, “When women can control their health and financial futures, everyone benefits.” He emphasized that more must be done to close the gap in contraceptive access for women in LMICs and that the leadership of European institutions will play a crucial role in this effort.

https://www.devdiscourse.com/article/business/3097959-eu-and-bill-melinda-gates-foundation-announce-new-financing-mechanisms-for-womens-health