By Laura Hirahara

Impunity Watch Reporter, Africa

On Tuesday the Global Fund to Fight Aids, Malaria and Tuberculosis announced it was stopping the payment of $300 million in aid money to Zambia after Zambian officials refused to address corruption concerns within the Ministry of Health.  John Liden, director of communications for the Global Fund, stated that despite identifying the individuals within the Ministry responsible for the corruption the Zambian government has been slow to respond.  “That’s one of the reasons we feel we do not have confidence that the Ministry of Health, at this stage, can continue to channel funding of this magnitude for health in Zambia,” said Liden.

The Global Fund’s aid freeze comes after the European Union halted funding to Zambia for road construction projects and a year and a half after Sweden and the Netherlands stopped $33 million from being sent to the Ministry of Health after $5 million went missing.  An economist with the University of Zambia, Oliver Sassa, noted that the allegations of corruption have a serious impact on the donors who send aid to Zambia as these donations account for thirty percent of the government’s budget.  “This [aid freeze] touches directly on life and should send a signal to the government on the importance of accountability,” said Sassa.

The Global Fund’s report of corruption within the Ministry of Health adds to the graft allegations against Zambia’s president, Rupiah Banda.  Many doubt Banda’s ability to remedy corruption in Zambia after the government failed to appeal the acquittal last August of Zambia’s former president Frederick Chiluba who had been charged with stealing $480,000 in Treasury funds.

The Global Fund stated that life-saving treatments would not be affected by their decision.  While the Global Fund has yet to specify how funds will be distributed in the future, Health Minister Kapembwa Simbao said the funding would now be paid through the United Nations Development Program (UNDP).

For more information please see;

BBC News, Global Fund Freezes Zambia Aid Over Corruption Concern, 16 June, 2010

Reuters, Zambia Dismisses Fears of Looming Health Crisis, 16 June 2010

Daily Nation, Global Fund Suspends funding to Zambia, 15, June 2010

IBI Times, Global Fund Freezes Zambia Aid Citing Corruption, 15 June 2010