Impacts and Influence

Advance Market Commitments

Before CGD's Making Markets for Vaccines working group convened, pharmaceutical companies had little incentive to invest in the development of vaccines for diseases primarily affecting low-income countries. The working group, co-chaired by Ruth Levine, designed a new approach called Advance Market Commitments, under which donors promise to buy a vaccine against a specific disease when and if such a vaccine is developed. The G-7 finance ministers endorsed the approach in 2009; five countries (Canada, Italy, Norway, the UK, and Russia) and the Bill and Melinda Gates Foundation have since committed $1.5 billion in a pilot program for a vaccine to prevent the strains of pneumococcal disease common in developing countries, where three million children die annually of diseases caused by the bacterium.