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Functional Areas

The Grant Agreement

A Grant Agreement is a formal financing agreement between UNDP (through a UNDP Country Office (CO)) and the Global Fund. It consists of: (i) the Framework Agreement, including the UNDP-Global Fund Grant Regulations; and (ii) Grant Confirmation setting forth a face sheet, conditions and Schedule 1, comprising of the integrated grant description, summary budget, and a performance framework (PF). 

Negotiations of Grant Agreements are guided by the following basic principles: 

  • A clear schedule of negotiations should be agreed between UNDP and the Global Fund at the outset, with advance planning of negotiations and commitment to agreed timelines. An example of a schedule of negotiations can be accessed here
  • The legal teams of both sides and the UNDP Global Fund Partnership and Health Systems Team (GFPHST) should be engaged at an early stage, with a view to ensuring that the CO does not get involved in lengthy negotiations on terms that are inconsistent with the legal framework. 
  • Grants are implemented pursuant to UNDP regulations, rules, policies and procedures, and decisions of its Governing Bodies. 
  • Conditions to the Grant Agreement should be kept to a minimum. 

From the legal and programmatic perspectives, the grant-making process involves two principal milestones: