1

The Global Fund’s New Funding Model

Presenter:

February 13, 2014

Sequence of Recommendations for Approval by the Board

2

Comprehensive Funding Policy

(CFP)

Initial allocation of 4th

replenishment (new funds)

Transition from old round

based model to NFM

Special initiatives

Band Composition

and Allocation

FOPC*

Decisions to be made by Board

FOPC & SIIC SIIC

Regional programs

FOPCSIIC*

*FOPC (Finance & Operational Performance) & *SIIC (Strategy, Investment & Impact) are Board committees.

Allocation Methodology

HIV(50%)

Malaria

(32%)

TB(18%)

Band 1

Band 2

Band 3

Band 4

ApplyAllocatio

n Formula

+ Qual.

Factors

Apply Qual.

Factors

(within Band)

Country allocation

Eligible Components

Initial Allocatio

n

Global Disease Split

Indicative split from Global

Fund

HIV($25m)

HSS($15m)

TB($25m)

HIV($35m)

Malaria

($30m)

TB($35m)

Final program split at

country level

Example: Country ATotal indicative funding =

$100m

Malaria

($35m)

3

New Funding Model Cycle & Timing

2nd

GAC

Concept Note2-3 months

Grant Making1.5-3 months

Board

*TRP

*GAC

Ongoing Country Dialogue

National Strategic Plan/

Investment Case

Grant Implementation

3 years

*TRP = Technical Review Panel*GAC = Grant Approvals Committee

4

• Principal document for review and grant-making purposes

• Output from country dialogue, reflective of an inclusive multi-stakeholder process

• Encourages robust and ambitious funding request

• Uses national strategy as the basis

• Captures “full expression of demand’’

Concept Note

5

• Core tables

• CCM eligibility & endorsement

• Supporting documents

Define the problem and assess response to date

Prioritize funding needs and choose best response for highest impact

Section

+

Ensure appropriate implementation capacity and risk mitigation

Instructions & Information Notes

Provide guidance to applicant on how to integrate key issues such as human rights, gender, sexual orientation and gender identities, and operational risk

1

3

Overview: Structure of Standard Concept Note

Understand the funding landscape

2

The *CCM will submit the Concept Note in most

cases

4

*CCM = Country Coordinating Mechanism 6

The Roll Out Plan

7

13

1410

13

0

100

200

300

Number of components in each stageby month for ALL REGIONS

Dec

NovOct

Sep

AugJu

l

Jun

MayApr

Mar

FebJa

n

Dec

NovOct

Sep

AugJu

l

Jun

MayApr

Mar

FebJa

n

NovOct

Sep

AugJu

l

Jun

MayApr

Mar

FebJa

n

Dec

CN writingTRP/GAC Country dialogue pre-CNGrant-makingGrant-signing

2014 2015

Note: Adjusted to align with TRP / GAC dates Source: Discussions with regional managers and CTs

2016

Number of components to be signed per year

2014 2015 2016

HIV 57 53 6

TB 46 41 9

Malaria 46 25 4

HSS 20 21 3

Total 169 140 22

Timing Estimates: When Countries Will Submit a Concept Note

8

APPENDIX: REFERENCE SLIDES

9

2013 2014

November December January February March

• Concept note submission dates announced

• Regional applications initial guidance*

3 December

Replenishment Conference

4-7 March31st Board Meeting

• Confirms country bands• Approves allocation to bands• Approves strategic initiatives

and Secretariat budget• Approves Comprehensive

Funding Policy adjustments

• Standard concept notes + guidance *

• Eligibility List for 2014*

• Resource book for external stakeholders*

• Non-standard concept notes + guidance*

4-6 February10th SIIC Meeting

Recommends:• Country bands• Allocation to bands• Strategic initiatives

(including regional proposals)

Expected Timeline to New Funding Model Roll-Out

Last updated: 27.11.13

Sec

reta

riat

act

ivit

ies

Key

eve

nts

28-30 January10th FOPC Meeting

Recommends:• Comprehensive

Funding Policy adjustments

• Funding allocation envelope

• Secretariat budget

• Allocation letters sent to countries

• PR Capacity Assessment tool goes live

• Grant Management Portal goes live

10

Submission dates 2014-2016

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

1 2 3 4

5 6 7 8

9

2014

2015

2016

TRP TRP TRP TRP

TRP TRP TRP TRP

TRP

EoI

EoI

# Submission deadline on 15th

TRP review meeting (approx.)TRP

Submission deadline for Expression of Interest (EOI)

11

How Long Will it Take to Access Funds?

2 months 1.5 months*

• Up-to-date and costed national strategic plan or investment case with agreed priorities

• Strong CCM and PRs that meet minimum standards

2 months 3 months*

3 months 3 months*

NSP development

8 months

11 months

3 months

Concept note writing

TRP and GAC review

Grant making

Time from dialogue to 1st disbursement

Pre-concept note country dialogue

From Board approval to 1st disbursement

1 month

1 month

• Need time for country dialogue to agree on priorities and consult stakeholders• PRs and implementation arrangements are satisfactory

• Lack clear strategy or viable extension plan through grant period• Weak CCM and/or implementers• Weak technical partners in-country

1 month

Acc

eler

ated

Ave

rag

eL

on

g

Note: If there is no TRP scheduled in the month the concept note is submitted, the “TRP and GAC review” stage may take longer, up to 3 months* This is the anticipated average scenario – it may take longer in some countries.

17 months

2 months

2 months

2 months

7 months

Timing of concept note submission has to be aligned to one of the TRP / GAC windows

12

13

THANK YOU!

www.theglobalfight.org