Advanced Market Commitments
The Advanced Market Commitment (AMC) is an innovative financing model that subsidises pharmaceutical companies for the development and production of new vaccines. The subsidy is meant to reduce the risk for pharmaceutical companies of investing in products for poor country markets. The subsidy is only paid once a vaccine meeting certain specifications is made available at a given price set by the donors.
A group of donors - Italy, United Kingdom, Canada, Russia, Norway and the Gates Foundation have agreed to support a pilot AMC project aimed at developing a vaccine for pneumococcal disease. Under the present design of the AMC, the donors are to contribute US$ 1.5 billion. The project has been designed and administered by the GAVI Alliance.
- © Omar Odeh
While MSF welcomes any move to increase the supply of vaccines against pneumococcal diseases that kill almost 800 000 children under the age of five annually, we are concerned that the consultation process on the design of the AMC has not been fully completed - in its present form, the AMC offers too much straight profit to the pharmaceutical industry.
The donors held their final meeting in Canada on May 20th. They are due to finalise the terms of the deal in the next few months.
Read MSF's latest comments to donor governments on its concerns over current AMC design
'Questioning the US$ 1.5 billion deal' Read the Campaign's director, Dr. Tido von Schoen-Angerer, in Development Today.
Read accompanying articles from Development Today
Advance Market Commitments: Are They Worth the Hype by Campaign consultant, Laurent Gadot
More information on AMCs