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GENEVA, Apr 28 (Reuters) The Global Fund to Fight AIDS, Tuberculosis and Malaria agreed today to give millions of dollars in new grants, dispelling activists' fear that its support for the fight against the deadly diseases could dry up.

Health advocates including the Global AIDS Alliance and ActionAid had worried that lack of money could force the fund to delay help to countries battling the illnesses that kill more than 6 million people a year.

Global Fund spokesman Jon Liden said the board had voted in favour of launching a new round of grants, to cost up to $1 billion in their first two years, even though the cash had not yet been pledged by governments and other donors.

''There was a strong agreement that given the commitments made to reach global health targets, and given the urgent needs out there, it would be ethically impossible to not launch round six,'' he told Reuters.

The final amount of the new tranche of grants will depend on which specific project proposals the Global Fund board agrees to at a meeting in November, he added.

The Geneva-based fund, launched with great fanfare in 2002 with the backing of U.N. Secretary-General Kofi Annan, has become the largest global supporter of malaria and tuberculosis programmes and among the top three AIDS funders.

Unlike more established institutions like the World Bank, the fund has struggled to win long-term financial backing from its donors, the largest of which are Europe, the United States and Japan.

It has already approved grants worth $5 billion to improve antiretroviral and anti-malarial drug access, distribute bed nets and expand testing to stop the spread of tuberculosis.

Programmes currently supported by the agency are now fully funded, though its initial five-year grants will run out soon and will require substantial funds to be continued.

Carol Jacobs, chairwoman of the Global Fund's board, said the agency was seeking multi-year commitments from governments and increasing ties with the private sector to boost donations to cover long-term funding needs for its programmes.

REUTERS CH HS1645