In Indonesia, the dependency of the government on foreign aid is a matter of great concern. Global Fund money is used by the government as an excuse not to allocate government funding for HIV prevention, treatment, care and support.
Deficiencies in the oversight of procurement and supply management (PSM) arrangements may be exposing Global Fund grants to unnecessary and unacceptable risks. This is one of the conclusions of an audit report released by the Fund's Office of the Inspector General (OIG) in April 2010.
The Global Fund Secretariat acknowledges that it has not done all it could have done to systematically tackle issues related to its grant-management processes raised by the Office of the Inspector General (OIG). But it says that it has acted quickly and decisively whenever Global Fund monies were at risk.