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Vaccine Case Studies

Launching the First Advanced Market Commitment (AMC)

Situation

Advance Market Commitments (AMCs) are a new mechanism for creating an economically attractive low-income country market for vaccine suppliers. The objective is to accelerate the availability of vaccines to these regions of the world and thereby save the lives of millions of children annually.

For the World Bank and Global Alliance for Vaccines & Immunization (GAVI), Applied Strategies led an effort to model and analyze the financial and risk implications of AMC to determine AMC investment level and AMC vaccine price. We achieved buy-in to the model design and analysis results from a community of diverse stakeholders, including the G8 Finance Ministers, World Bank, GAVI, Center for Global Development, multinational and emerging vaccine suppliers, government finance ministries, and six vaccine-focused public-private partnerships.

Our work was instrumental in convincing government donors to raise $1.5 billion to support a pilot AMC for pneumococcal vaccines.

Contribution

  • Provided an industry best practices framework to understand the financial implications and risks of the AMC to suppliers, donors, and countries
  • Developed a software model to address interdependent decisions on vaccine development, global financing, and country adoption
  • Performed analyses to determine AMC size and price for six vaccines in support of the G8 pilot AMC decision-making process
  • Educated donors, GH organizations, and suppliers on AMC analysis methodologies, inputs, and results
  • Participated in pilot AMC supplier consultations
  • Achieved buy-in from diverse stakeholders

Results

  • Consistent and transparent analyses across six vaccines, enabling the G8 to decide on a pilot AMC on merit
  • $1.5 billion raised for the first pilot AMC for pneumococcal vaccines
  • Expected to accelerate developing-world pneumococcal vaccine introduction by up to 50%
  • Anticipate approximately 300,000 children per year will be saved, or a total of 5 million lives by 2030

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