The cancellation of the 11th annual round of funding means that fresh applications will not be accepted until 2014. It will also lead to dwindling stockpiles of the crucial drugs in many of the countries worst affected.
"There is a serious crisis," said Dr Tido von Schoen-Angerer, executive director of the Access campaign of Medecins Sans Frontieres. "It's like a car going full speed that has suddenly run out of petrol. It is simply unacceptable that there is no plan to support countries for treatment scale-up until 2014."
The Global Fund, part public and part private, is the single largest donor for HIV funding, providing more than 70 per cent of the money for antiretroviral drugs in developing nations. The drugs, which first came into use in the 1990s, have transformed the prospects of those with HIV, giving them the hope of leading normal lives with tolerable side-effects for decades. Most of them will never fully develop Aids.
The impact of HIV/Aids has always been most devastating in sub-Saharan Africa. Years of work by the Global Fund in collaboration with agencies such as MSF has greatly reduced the incidence, but in South Africa an estimated 5.7 million people are living with HIV, and the number of new infections continues to outstrip the numbers being treated.
Despite Secretary of State Hillary Clinton's recent evocation of "an end to Aids in this generation", those countries now expect the numbers of sufferers dying to surge. In Zimbabwe, a recent study found that Aids-related deaths in Harare and Bulawayo had declined by 19 per cent after access to antiretroviral drugs was expanded, but now the country fears a reversal.
Faizel Tezera, head of the local operation of MSF, said: "It is a disaster for Zimbabwe. More than 86,000 people will be left without treatment and about 5000 children will be affected."
In Malawi 70,000 new infections are expected next year, and because there is no money for drugs, sufferers risk developing the full and untreatable version of the disease. "It is catastrophic for our nations, especially women and children," said Nokhwezi Haboyi, of the South African lobby group Treatment Action Campaign.
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