Fundingmodel Pudr Instructions en

Progress Update and
Disbursement Request
Form Instructions
Date Published: 17 February 2022
.
Table of Contents
Abbreviations 4
1. Introduction 6
Context 6
2. General Guidance 7
2.1 PU/DR Reporting Process 7
2.2 PU/DR Structure, Reporting Requirements & Timelines 8
3. Cover Sheet & Summary 9
3.1 Language Selection & Form Legend 9
3.2 General Grant Information & Reporting Periods 9
3.3 Exchange Rates 11
3.4 Executive Summary 11
4. Programmatic Reporting 12
Tab 1.A & Tab 1.B. Impact/Outcome Indicators, Including Disaggregation 12
Tab 1.C & Tab 1.D. Coverage Indicators, Including Disaggregation 14
Tab 1.E. Work Plan Tracking Measures 17
5. Financial Reporting 18
General principles of financial reporting to the Global Fund and key definitions 18
Special Cases 19
Tab 2. Principal Recipient Cash Reconciliation Statement 20
Tab 2A. Opening Cash Balance at Start of IP 21
Table A: Principal Recipient Cash Reconciliation Statement in IP Currency 22
Table B. Schedule of Open Advances in IP Currency 29
Table C. Principal Recipient Financial Commitments & Obligations 30
Table D. Triangulation of Financial Figures 32
Table E. Principal Recipient Bank Statement Balance & Cash In-Transit in IP Currency 33
Table F. Principal Recipient Ineligible Transactions in IP Currency 34
Tab 3. Sub-recipient Cash Reconciliation 37
Tab 4. Total Expenditure 39
Tab 5. C19RM Expenditure 43
Tab 6. Forecast & Disbursement Request 44
Tab 7. Tax Reporting 48
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6. Health Product Procurement & Supply Chain Management 50
Table 8.A. Price & Quality Reporting (PQR) 50
Table 8.B. Risk of Stock-Out & Expiry 51
Table 8.F. Additional information 55
Table 8.G. Value of Pharmaceuticals and Health products in the PQR - LFA use only 55
7. Grant Management 56
Tab 9.A. Grant Requirements 56
Tab 9.B. Mitigating Actions & Management Issues 57
8. Assessment & Sign-Off 59
Tab 10.A. Principal Recipient (PR) Self-Assessment 59
Tab 10.B. Principal Recipient Sign-Off 62
Tab 10.C. LFA Performance Assessment (LFA only) 63
Tab 10.D. LFA Sign Off 67
9. LFA Findings & Recommendations (LFA only) 68
10. PU/DR Annexes 69
Section 1 Annex on PR Financial Commitment, Obligations & Accrued Severances 69
Section 2 Annex on Financial Triggers (Focused Portfolios Only) 70
11. Local Fund Agent Scope of Work 71
11.1 Scope of work 71
11.2 Recommended approach for the review and verification of information 75
11.3 Sources of information 75
12. Overview of Reporting Requirements 76
13. Additional Resources 80
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Abbreviations
▪ AER - Annual Expenditure Report

▪ AFR - Annual Financial Report
▪ AFDD - Annual Funding Decision and Disbursements
▪ AMC - Average Monthly Consumption
▪ ARV - Anti-retroviral
▪ C19RM - COVID-19 Response Mechanism
▪ CCM - Country Coordinating Mechanisms
▪ CMS - Central Medical Store
▪ CT - Country Team
▪ DQA - Data Quality Assessment/Assurance
▪ DQR – Data Quality Review
▪ ELISA - Enzyme-linked Immunosorbent Assay
▪ FCR - Financial Closure Report
▪ GDF - Global Drug Facility
▪ GFS - Grant Financial System
▪ GOS - Grant Operating System
▪ HMIS - Health Management Information Systems
▪ HIV - Human Immunodeficiency Virus
▪ HP-PSCM - Health Product Procurement and Supply Chain Management
▪ HPMT - Health Product Management Template
▪ ICR - Indirect Cost Recovery
▪ IP - Implementation Period
▪ IRM - Integrated Risk Management
▪ KMA - Key Mitigating Action
▪ LFA - Local Fund Agent
▪ LMIS - Logistics Management Information Systems
▪ MOH - Ministry of Health
▪ NGO - Non-Governmental Organization
▪ OIG - Office of the Inspector General
▪ PEPFAR - The President's Emergency Plan for AIDS Relief
▪ PF - Performance Framework
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▪ PL - Performance Letter
▪ PP - Global Fund Partner Portal (Partner Portal)
▪ PPM - Pooled Procurement Mechanism
▪ PQR - Price and Quality Report
▪ PR - Principal Recipient
▪ PU/DR - Progress Update and Disbursement Request1
▪ PU - Progress Update
▪ RSSH - Resilient and Sustainable Systems for Health
▪ SOP - Standard Operating Procedures
▪ SR - Sub-Recipient
▪ WPTM(s) - Work Plan Tracking Measure(s)
▪ TB - Tuberculosis
▪ UNAIDS - The Joint United Nations Programme on HIV/AIDS
▪ UNICEF - United Nations Children’s Fund
▪ UNFPA - United Nations Population Fund
▪ VAT - Value Added Tax
▪ VF - Verification Factor
▪ wambo.org - The Global Fund's online procurement platform
▪ WHO - World Health Organization
1 In this document, the term PU/DR is used to refer to PU/DRs, PUs, and Final PUs, unless otherwise specified.
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1. Introduction
This document provides guidance to Principal Recipients (PRs) and Local Fund Agents
(LFAs) on how to complete the Progress Update and Disbursement Request (PU/DR).
Context
To facilitate oversight of Global Fund-supported programs, PRs submit regular updates

on implementation activities, including collecting and collating information from Sub-
Recipients (SRs). In addition, PRs request funds on an annual basis for the following
year of implementation, i.e., the execution period, plus a buffer period.
PRs use the Progress Update (PU) to report on the latest completed period of program
implementation, the duration of which is defined in the Performance Framework (PF),
and the Disbursement Request (DR) to define financial needs for the coming execution
and buffer periods. Together, they are the Progress Update and Disbursement Request
Form, or PU/DR. In this document, the term PU/DR is used to refer to PU/DRs, PUs,
and Final PUs, unless otherwise specified.2
Upon Global Fund request, LFAs review the PU/DR submitted by the PR, capturing
their findings and recommendations in the respective sections of the PU/DR. The Global
Fund relies on LFAs, as assurance providers, to verify and confirm that the information
provided by the PR in the PU/DR is complete and accurately represents the
expenditures incurred (including for health products) and programmatic targets
achieved
The Global Fund uses the information provided in the PU/DR to:
▪ Review implementation progress of each grant, including programmatic, financial,

Health Product Procurement and Supply Chain Management (HP-PSCM), risk,
governance, and cross-cutting grant management aspects.
▪ Determine the Performance Rating.
▪ Make Annual Funding Decisions (AFDs) aligned to the performance-based funding
principle of the Global Fund and make related disbursements.
▪ Identify implementation issues and risks and determine appropriate mitigating
measures.
▪ Track progress on implementation of grant requirements.
▪ Comply with agreed reporting to the Global Fund Board, donors, and stakeholders,
including on results achieved and use of funding.
2
Reporting requirements vary by report type, portfolio category, and country-specific factors. Please refer to 12.
Overview of Reporting Requirements of this guidance document for further information.
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2. General Guidance
2.1 PU/DR Reporting Process
Diagram 1. High-level PU/DR Reporting Process
1. The PU/DR is shared with the PR through the Global Fund Partner Portal (the Portal)
as a downloadable Excel form. It contains pre-populated information from the signed
Grant Confirmation, approved PF, and budget.
2. The PR receives a notification from the Portal to download the PU/DR. The PR
completes the PU/DR and submits it through the Portal by the due date at latest.
3. Following PR submission, the Global Fund reviews the PU/DR. Please note that
incomplete submissions are returned to the PR for further inputs.
4. Upon Global Fund request, the LFA reviews the PU/DR. The LFA receives a Portal
notification to download the form, then verifies the PR-submitted information and
completes the LFA-sections as per the defined scope of work. The outcomes of the
LFA review, including recommendations, are confidential and are intended for Global
Fund only.
5. The Global Fund reviews the verified information and consults further with the LFA
and/or PR as needed. The Global Fund validates the verified information in internal
Global Fund systems, completes the Performance Rating, makes an Annual Funding
Decision (if relevant), and determines mitigation measures to identified risks and
implementation issues.
6. The Global Fund shares the Performance Rating and Performance Letter with the PR
through the Portal.
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2.2 PU/DR Structure, Reporting Requirements & Timelines
The PU/DR consists of thematic and cross-cutting reporting tabs. The required sections
depend on report type,3 portfolio category,4 and country-specific factors. Please refer to
12. Overview of Reporting Requirements of this guidance document for further
information.
Reporting frequency is defined in the PF. Generally, the PU covers 6 months. It is

reported mid-year5 for High Impact and Core portfolios and is usually not required for
Focused portfolios. The Final PU covers the last reporting period of implementation and
is required for all portfolios.
The PU/DR is reported at year-end and covers 12 months for Focused portfolios and 6
months for High Impact and Core portfolios.
Diagram 2. PU/DR Timelines
Global Fund
preparation of PU/DR
60 days*
PR Submissions (including PU/DR setup and generation)
20 days
LFA Review (All PU/DRs)
30 days
CT Review (for data and rating validation, and
Performance Letter**)
Day Day Day Day Day Day Day Day Day Day Day Day
0 10 20 30 40 50 60 70 80 90 100 110
* PUs have a PR submission timeline of 45 days.
* From end of reporting period. Please note that PUs have a deadline of 45 days for PR submissions, while PU/DRs and Final
PUs are 60 days.
** Performance Letter might not include Annual Funding Decision
3
PU, PU/DR, Final PU
4
High Impact, Core, Focused. Portfolio categorization is captured in the Operational Policy Manual.
5
The reporting year may not be aligned to calendar years, depending on the agreed reporting cycle in the PF.
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3. Cover Sheet & Summary
3.1 Language Selection & Form Legend
The PU/DR is available in English, French and Spanish. The language can be selected in
the drop-down menu at the top of the PU/DR Cover Sheet and Summary tab.
Please note: Forms that have been tampered with cannot be integrated into the Global
Fund systems. Tampering refers to modifying the form’s structure, content and/or
formulas, or overwriting pre-populated values. Forms that have been tampered with are
rejected and returned to the PR or the LFA for full resubmission, negatively impacting
timely submission and processing.
Please also note: PRs and LFAs are expected to report inaccuracies in pre-populated
data as soon as noted to [email protected]
3.2 General Grant Information & Reporting Periods
The PU/DR Cover Sheet and Summary contains general grant information – country,
disease component, grant implementation period number, PR name, LFA name, IP start
date, and IP currency.
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The cover sheet also outlines reporting period and disbursement request6 information.
Type of Reporting Reporting Period Other Remarks

Period
To align grant start date with the
country’s programmatic and fiscal
Typically: reporting cycles, the first and last
Current ▪ 6 months for High Impact and reporting periods of a grant can be
Programmatic Core portfolios. longer or shorter than 12 months.
Reporting Period ▪ 12 months for Focused
portfolios. The periods immediately follow the
those covered by the previous
PU/DR.
Current Financial For PUs, typically 6 months, while
Reporting Period for PU/DRs, typically 12 months.
Cumulative Reporting end date to match the end

Cumulative from the
Financial date specified under Current
Implementation Period start date.
Reporting Period Financial Reporting Period.
A 12-month period during which

Disbursement Typically covers the following year of
approved grant activities are
Request Execution the grant and does not include a
implemented and grant funds are
Period buffer period.
disbursed.7
A max 6-month period, following

the Disbursement Request The buffer period is added to the
Disbursement
Execution Period, for which funds disbursement execution period, for a
Request Buffer
are disbursed while the PR maximum of 18-month execution and
Period
reporting process is being buffer period.
completed.
6
All dates have the format dd-mmm-yyyy (e.g. 31-Mar-2022).
7
In some cases, an execution period can be six months in high-risk environments.
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3.3 Exchange Rates
Annual expenditures incurred in a currency other than the grant currency are to be
translated into the grant currency using the spot rate applicable on the day of each
transaction. If the use of daily rates is not practical, the average exchange rate (monthly
or quarterly) for the reporting period is to be used. The source and actual exchange rates
used in the calculations are to be disclosed. The exchange rate applied for expenditures
is the same rate applied for converting cash outflows.
Please note: In cases of significant currency rate fluctuations, a separate average

exchange rate is to be calculated each month. Monthly average exchange rates can be
obtained or calculated from the country’s central/national bank or other official sources
(e.g., the International Monetary Fund or other international financial institutions).
3.4 Executive Summary
This section is view only and is pre-populated based on PR and LFA entries in
subsequent sections of the PU/DR.
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4. Programmatic Reporting
Tab 1.A & Tab 1.B. Impact/Outcome Indicators, Including Disaggregation
Impact and Outcome indicators due to be reported during the period, or outstanding from
any previous period, are pre-populated in Tab 1.A, based on the signed PF. Outstanding
indicators without a current year target remain listed until a result is reported.
The PR reports results against the current year target based on the report due date in the
PF. If an indicator result is outstanding from the previous year, these indicators will appear
again in the current PUDR. In such cases the PR reports:
a. Previous year results against the previous year target

b. Current year results against the current year target.
The PR provides a performance analysis, including comments on:
▪ Results achieved, including any variations in results from agreed targets.

▪ Data collection method or measurement approaches and data sources for all
reported results listed.
▪ Any other contextual information related to reported results, such as delays to
planned baseline or other surveys, with reasons and a revised timeline in the PR only
section of the PU/DR.
▪ Analysis of trends over time.
Please note: The “Value” column is applicable for grants from the 2017-2019 allocation
period, where baseline values are all included in one cell.
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For indicators that require disaggregation (Tab 1.B Impact/Outcome Disaggregation), the
category and required disaggregation is pre-populated.
Specific LFA Requirements

Unless otherwise agreed, LFAs:
▪ Verify PR-reported data for the reporting period as per the PF, based on the relevant data sources, and include any
modifications to PR reported results following LFA verification in the ‘Verified Results’ column, unless specified
otherwise by the Global Fund or indicated in 11 LFA Scope of Work.
▪ Indicate unverified results by selecting ‘not verified’ from the dropdown list and provide an explanation.
▪ Comment on:
o Variations in data sources or data collection methods from agreed measurement approaches.
o Issues with data collection and reporting.
o Completion status for surveys or any delays in implementation.
o The rationale provided by the PR is a result is not provided.
▪ Conduct additional analysis as relevant.
Refer to 11.1 LFA Scope of Work for further information on LFA review in Focused portfolios.
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Tab 1.C & Tab 1.D. Coverage Indicators, Including Disaggregation
Coverage indicators due to be reported during the period are pre-populated in Tab 1.C,
based on the signed PF.
The PR reports results and ensures:
▪ Consistency with how targets were set in the PF, e.g., if a target was set as ‘non-
cumulative other’, the result is reported this way.
▪ Consistency with target value types, e.g., if a target was set as a
‘numerator/denominator/percentage,’ the result is reported this way.
▪ Reported results are based on the agreed-upon measurement methods, frequency,
and data sources, as established in the PF and/or the indicator guidance sheets 8. For
results reported in the value type ‘numerator/denominator/percentage’ against a
target set in the same value type, the percentage value is used in calculating the
achievement ratio automatically.
The PR provides performance analysis, including comments on:
▪ Reasons for variations in results from agreed targets.

▪ Projections for the next period, including arguments supporting the prospects to
maintain, decline or improve performance for each indicator.
▪ Comparison with the same period last year.
▪ Data quality challenges, if any, and planned action.
▪ Reasons for under- or overperformance.
▪ Sub-national variances.
▪ Triangulation with consumption data and stock levels for relevant indicators.
8
Refer to the respective indicator guidance sheets available in 13. Additional Resources of this guidance document.
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For indicators that require disaggregation (Tab 1.D Coverage Disaggregation), the required
disaggregation is pre-populated, based on the PF.
The PR is required to:
▪ Provide disaggregated results for specific set of coverage indicators by age, sex,
gender, status, and others as indicated.
▪ Include in their performance analysis a discussion of disaggregated results and
specific mitigation measures, including actions to address inequities where required.
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The LFA verifies that the PR has reported all results that are due for coverage indicators, and the required
disaggregation.
Please note: For focused portfolios, the LFA is not required to verify the disaggregated results reported. Please
Refer to 11.1 LFA Scope of Work for further information.
The LFA then:

▪ Reviews consistency of PR results with how targets were set in the PF and with agreed measurement methods,
frequency, and data sources.
▪ Verifies compliance of results with indicator definition as per Global Fund indicator guidance sheets9 and/or PF
results correspond to the respective reporting period.
Enters verified results. Differences between LFA-verified and PR-reported results must be explained.
▪ Specifies how results for each indicator were verified (e.g., desk review or on-site verification). If other verification
methods were used, the LFA explains the methodology followed; and
▪ Indicates any discrepancies between the target accumulation in the PF and the PR-reported results to ensure
results are aligned to the appropriate reporting period.
Recommended review scope for reported results:

▪ Low-risk grants: The LFA undertakes an annual document review of reported results. In agreement with the
Global Fund, the review can be waived for the semi-annual PU if there is a history of good data quality and/or
reliable and routine delivery of programmatic reports.
▪ Medium- and high-risk grants: The LFA conducts a document review of reported results, referencing information
obtained through spot checks and onsite verifications, as relevant, prior to the review of the PU/DR. If feasible
and in case of serious concerns with the data reported by the PR, the LFA may be requested by the Global Fund
to undertake selected spot checks at key sites during an expanded PU/DR review.
▪ The LFA verifies results against the source (e.g., a report published by technical partners, results achieved for
another indicator) and adjusts, as needed, both the numerator and denominator. If based on estimates, the
validity of the estimate must be verified against the source. If a numerator or denominator used cannot be
validated, this is explained in the review comments.
▪ The LFA comments on progress to date and explains any significant variance between targets and results and
any deviations from the related work plan activities. The LFA should not copy and paste comments provided by
the PR.
▪ The LFA verifies that the PR’s performance assessment is consistent with agreed targets as set in the PF and
ensures the PR provides any missing analysis.
▪ The LFA raises any data quality issues in the comment column next to the specific indicators.
Please note:
▪ The LFA must not change any data values provided by the PR in the PR section of the PU/DR.
▪ The LFA must indicate if results have not been verified and provide an explanation.
▪ Programmatic performance is measured through quantitative indicator rating determined in the Assessment and
Sign-off tab (Refer to Tab 10.C LFA Performance Assessment, for further information). The achievement ratio
automatically calculated in the Coverage Indicators tab informs the calculation of the Quantitative Indicator
Rating.
9
Refer to the respective indicator guidance sheets available in the 13. Additional Resources of this guidance document.
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Tab 1.E. Work Plan Tracking Measures
When grants do not include any coverage indicators, Work Plan Tracking Measures
(WPTMs) are used to assess performance and make annual funding decisions. Some
grants may include both coverage indicators and WPTMs. In this case, both will be reported
in the respective section.
For each Workplan Tracking Measure (WPTM), all modules, interventions, activities,
milestones, and criteria for completion for the specific activity and for the period which are
due for reporting are pre-populated, based on the signed PF.
The PR categorizes progress on WPTMs (i.e., milestones and targets for input and process
indicators) by selecting an appropriate value in the Progress Status column:
Implementation progress during the reporting period Status
No progress against planned milestone or target Not started
Less than 50% of the milestone or target Started

50% or more completion of planned milestone or target Advancing
100% achievement of planned milestone or target Completed

The LFA verifies the PR reported results and self-attributed progress status against the activities and agreed
milestones and assigns a verified progress status.
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5. Financial Reporting
General principles of financial reporting to the Global Fund and key

definitions
The financial reporting section of the PU/DR provides the Global Fund a minimum set of
reliable information on the implementation of grants. This financial information is important:
▪ To assist grant management: Having financial breakdowns and variance analyses,

and being able to link financial information to programmatic performance,
strengthens the ability to make informed funding and investment decisions (e.g.
allocations, annual funding decisions and disbursements).
▪ To pinpoint areas of financial risk: Tracking expenditures against budgets also
enables an analysis of financial risks across the grant portfolio. For example, where
is the largest proportion of funds being allocated and used? Are the funds being
spent in the planned areas in a timely manner? Are there any bottlenecks that impact
absorption and program implementation (such as in procurement)?, etc.
▪ For external reporting and resource mobilization: Being able to demonstrate the
efficiency of Global Fund investments and that funding is spent in line with the
approved Global Fund grant agreement to achieve maximum impact in the disease
program is critical for external reporting and resource mobilization.
▪ For transparency and accountability: Being able to accurately report on the use of
funds to donors, the general public, and other stakeholders in an efficient and timely
manner is one of the core principles of the Global Fund.
The information reported in the financial sections of the PU/DR is based on the PR’s
accounting and other program records, and on those of SRs. It is supported by relevant
breakdowns, schedules, summaries, and notes based on the financial, accounting and
management systems used.
Supporting documents must be made available for review of the Global Fund and the LFA.
Where applicable, supporting documentation can be included in the annexes.
The PR is not expected to replace existing accounting and financial information systems or
create parallel systems but is required to adapt, as needed, accounting and financial
information from existing systems to meet the Global Fund’s requirements.
Actual expenditures incurred in a currency other than the grant currency are translated into
the grant currency using the spot rate applicable on the day of each transaction. If the use
of daily rates is not practical, the average exchange rate (monthly or quarterly) for the
reporting period is used. The source and actual exchange rates used in the calculations
are to be disclosed.
Please note: In cases of significant currency rate fluctuations, a separate average

exchange rate is to be calculated each month. Monthly average exchange rates can be
obtained or calculated from the country’s central/national bank or other official sources
(e.g., the International Monetary Fund or other international financial institutions).
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The following definitions apply:
▪ Financial commitment: A current contractual obligation to pay a specified amount

against goods and services already received i.e., the goods/services have been
received, however, the related payment is not yet made (all or partial) either due to
delay in/non-receipt of invoices, use of favorable payment terms or prolonged
payment process. Financial commitments mainly include accounts payable and
creditors.
▪ Financial obligation: A current contractual obligation to pay an agreed amount (as
per signed contract and/or Purchase Order) to a third party for the provision of
goods/services at a certain point of time in the future, i.e., goods or services are yet
to be received.
The PR is required to share any additional information that can improve understanding of
the reported financial information. The PR is also required to make every possible effort to
facilitate the work of the LFA during its program review and verification process, whether it
done on-site or remotely.
Special Cases
If any of the special cases outlined below apply to a grant, the PR explicitly discloses the
nature of the situation and any departures from these guidelines in their PU/DR.
Restatement of financial information reported previously for the same

implementation period, as stipulated in section 3.7 of the Grant Confirmation.
In certain cases, past expenditure and budget information reported in one or several
previous PU/DR(s) need to be updated to correct material errors, such as erroneous
exchange rate assumptions, ineligible transactions10 or arithmetic errors. Adjustments made
in the subsequent PU/DR to correct the reported cumulative and actual expenditure,
disbursements to SRs and budget amounts can require updating current cash balances.
Following such adjustments, the PR is required to issue an official letter or provide a copy of
the note to file duly approved by the accountable official of the PR to the Global Fund
indicating the correct cumulative and actual cash outflow and budget amounts, as well as a
description of the adjustments and reasons for these adjustments.
Reporting under fiduciary agency (including fiscal agent) arrangements
Reporting for a grant that utilizes the services of a fiduciary or management agency is no
different from reporting under regular grants managed directly by a PR. All budgets, actual
expenditures, revenues, disbursements, and other financial information related to the grant
are to be reported as though directly managed by the PR, even if, for example, some
expenditures and cash balances are to be found at the fiduciary or management agency
level.
10
For purposes of PU/DR reporting, ineligible transactions include both non-compliant expenditure as defined in section 5
of the The Global Fund Instructions for Grant Budgeting. and/or income, foreign exchange and any other adjustments
required to arrive at the accurate cash position.
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Tab 2. Principal Recipient Cash Reconciliation Statement
The PR Cash Reconciliation Statement (hereinafter referred to as the cash reconciliation

statement) provides information on the program’s cash position as at the PU period end,
showing the movements in cash (cash inflows and outflows) during the period covered by
the PU. The cash reconciliation report to the Global Fund covers the PR’s cash balance in
support of Global Fund disbursement decisions.
This statement is required to be completed in the currency of the grant, as stipulated in

section 3.6 of the Grant Confirmation. It is to consider disbursements made directly to the
PR and on its behalf to third parties; other income received including that related to income
generating activities; PR expenditure; and net gains and losses arising from exchange rate
fluctuations.
The cash reconciliation statement is required to:

i. Fully reflect all bank accounts owned and held by the PR and SRs (when applicable)
for implementation of grant activities irrespective of physical location and currency
denomination of those accounts. It is to also include any grant funds held with
fiduciary agents (if applicable).
ii. Provide information on the PR’s bank statement balances as detailed below.
iii. Include information on open advances at the level of SRs (funds disbursed to SRs
and not yet reported as expenditures), at wambo.org/PPM level (difference between
total payments made and value of goods received) or for other PR advances to staff,
suppliers, and others. Open advances are any cash outflows made for which no
corresponding expenditure has been recognized.
iv. Include financial commitments and financial obligation analyzed between those at
their level and those at the level of their SRs and accrued severance entitlements 11.
For financial commitments, the PR is required to also provide the balance at the start
of the period.
v. Include a section which pulls out information from different sections of the PU/DR
form to enable the triangulation of financial figures. This helps the PR, the LFA and
the Global Fund to appreciate the internal consistency of the information provided
and resolve any inaccurate reporting forthwith.
vi. Provide information on non-compliant expenditure identified under the grant to
facilitate transparency and reporting of these to the Global Fund for data alignment
purposes.
In addition, in case of a program continuation (signing of a grant for a subsequent

implementation period with the same PR), the PR is required to report the final cash balance
for the previous implementation period as opening balance for the new implementation
period.
For reporting purposes, a distinction is made in the cash reconciliation statement between
regular funds and C19RM funds. Disbursements made by the Global Fund to and on behalf
of the PR as well as cash outflows from the PR’s side are analyzed accordingly.
11
Refer to section 7.1.3 of The Global Fund Instructions for Grant Budgeting.
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The SR cash reconciliation is also provided (see Tab 3 ‘Sub-Recipient Cash
Reconciliation’).
The cash reconciliation statement only covers financial transactions for the grant
implementation period,12 as stipulated in section 3.7 of the Grant Confirmation.
The PU/DR enables reporting on cumulative financial data for previous PU periods,
transactions incurred during the current PU period and adjustments approved by the Global
Fund. Upon validation of the PU/DR, the Global Fund shares a communication with the PR
in the form of a Performance Letter indicating the required adjustments (including any
ineligible transactions) for the PR to take appropriate actions within the stipulated timelines
and prior to the submission of the PU/DR for the next reporting period.
Tab 2A. Opening Cash Balance at Start of IP
For the continuing PR, for the purpose of calculating the budget utilization ratio, opening
cash balance at the start of the IP needs to be taken into consideration. As such, cash
balances rolling over from the previous IP are reported for all PU/DRs. This information
comes from the validated Financial Closure Report and is confirmed by the Global Fund
through the Implementation Letter. It includes balances at both the PR and SR level.
12
Including end-date revisions and closure periods communicated through the relevant Grant Agreement and/or
Implementation/Notification Letters.
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Table A: Principal Recipient Cash Reconciliation Statement in IP Currency
This table captures relevant financial data to calculate the PR (including sub-offices of the
PR) cash balance at the end of the reporting period.
Item 1.1 – ‘PR cash balance: beginning of the current financial reporting period’13
The PR’s opening cash balance for the first progress report under the current IP is required
to correspond to the FCR validated cash balance of the previous IP as communicated by
the Global Fund in the Implementation Letter in case of a continuing PR. Otherwise it is nil.
If this opening cash balance coming from the FCR of the previous implementation period
includes SR cash balances as well, then the portion relating to the SRs is included as an
outflow as part of lines 3.4a and/or 3.4b – PR disbursement(s) to sub-recipients. For
example: If the FCR closing cash balance (as a reminder this refers to the total cash
balance for the IP) was of US$1,000 made up of PR cash balance of US$700 and SR cash
balance of US$200 for regular funds and US$100 for C19RM, then section 1.1 shows the
full US$1,000 while the US$200 of regular funds are included under 3.4a - Regular Funds:
PR disbursement(s) to sub-recipients and the US$100 for C19RM is included under 3.4b -
C19RM Funds: PR disbursement(s) to sub-recipients. The PR should provide comments
under line 1.1 to explain accordingly.
For subsequent progress reports, the opening cash balance is to correspond to the prior
period’s closing cash balance as reported by the PR14 under line 5.1. Any adjustment
required as per the validated figures from the Global Fund is to be reported under other
reconciliation adjustments for the current period and/or processed as justification or
13
The opening cash balance of the first PU represents any available in-country cash balances (PR, SR, procurement
agents, etc..) at the end of the previous implementation period and/or grants that were incorporated as part of the funding
available for the current implementation period.
14
This is to be based on the accounting records and transactions of the PR.
Page 22 of 80
reimbursements for ineligible transactions in the current reporting period. There is to be no
restatement of prior period records unless required for audit purposes.
Item 2. ‘IP Income’
This is to capture all income received under the grant cumulatively for prior periods and the
PU period.
Disbursements made by the Global Fund, whether directly to the PR, through PPM /
wambo.org, or directly to third parties, are classified as regular or C19RM.
These disbursements are pre-populated in the PU/DR by the Global Fund. If the PR notices
any discrepancy between the pre-populated data and their accounting records, the PR must
reconcile the disbursement notification letters and statements shared by the Global Fund
and include the comments in the relevant sections of the PU/DR.
Item 2.1a and 2.1b – ‘Disbursement made directly by the Global Fund to the Principal
Recipient’
Direct disbursements made to the PR by the Global Fund for regular (Item 2.1a) or C19RM
(Item 2.1b) funds, based on information contained in the disbursement notification letter
sent to the PR. If there are direct disbursements made by the Global Fund to SRs, these
are included under these respective sections. The PR is then required to include as part of
lines 3.4a - Regular Funds: PR disbursement(s) to sub-recipients and 3.4b - C19RM Funds:
PR disbursement(s) to sub-recipients the respective amounts disbursed to the SRs. The
notification letters from the Global Fund will specify the nature and payees for the
disbursements.
Item 2.2a and 2.2b – ‘Disbursements made by the Global Fund through PPM /
wamb.org’
Direct payments made by the Global Fund through the Pooled Procurement Mechanism /
wambo.org for allocation or C19RM funds. This amount corresponds to the disbursement
notification letters sent to the PR for such payments.
Item 2.3a and 2.3b – ‘Other direct disbursements made by the Global Fund’
Direct payments made by the Global Fund for allocation or C19RM to third parties, as
authorized by the PR (e.g., payments made to the Global Drugs Facility or Fiscal Agent).
This amount is to match the disbursement notification letters sent to the PR for such
payments.
Please note: Any associated bank charges, currency translation fees and other financial
transactions costs on disbursements is not to be deducted, instead these are included as
expenditure under ‘Bank charges on disbursements and payments.’
Page 23 of 80
Item 2.4 – ‘Interest received on bank accounts’
This represents income received during the current reporting period from bank accounts
held by the PR as indicated in bank statements.
Please note: the grant agreement does not authorize the PR to invest cash in other
financial instruments or in long-term deposits15. Funds deposited in an interest-bearing
account are to be available for immediate use for program purposes as needed.
Item 2.5 – ‘Revenue from income-generating activities and other income (e.g., income
from disposal of assets, etc.), if applicable’
This represents additional income arising from the sale of commodities/products and other
services, if applicable (e.g., micro loan interest, etc.), as well as other income-generating
activities funded by the program and approved by the Global Fund. It also includes any
income outside the above items which arise outside normal or regular grant activities.
These include income arising from disposal of assets and refund of funds held by SRs, 16 as
well as program specific donations or contributions by third parties.
Item 2.6 – ‘Tax refunds received (e.g., VAT/other tax returns)’
This represents all reimbursements received from tax authorities with respect to taxes
incurred in the current financial reporting period. The amounts refunded, including SR taxes,
are linked to PU/DR Tab 7: Tax Reporting. (Refer to tab 7 Tax Reporting in Financial
Reporting of this guidance document for further details).
Item 2.7 – ‘Total IP Income’
This is automatically calculated based on the financial information entered in the fields
above.
Please note: Reimbursements received by the PR from suppliers (PPM / wambo.org or

GDF) are to be included under the relevant IP income sections as a negative amount
instead of another income element under section 2.5 or 4.1 of the PR cash reconciliation
PU/DR.

Guidance on Item 1.1.
The LFA reviews17 and propose adjustments as appropriate. Explanations for adjustments for exceptions and additional
context regarding PR-reported information are included in the section ‘For Local Fund Agent Use Only.
The LFA’s scope of work, unless otherwise agreed with the Global Fund, includes:
▪ Verifying the opening cash balance against the FCR Implementation Letter, providing comments for identified
deviations, and proceeding to the required adjustments where applicable.
▪ Verifying consistency with previous periods’ information and providing comments for identified deviations.
15
As stipulated in clause 3.4 (1) (c) of the Grant Regulations (2014)
16
The PR is not to ‘net’ refunds received from SRs against disbursements made to SRs.
17
Review procedures can include but are not limited to the inquiry of management/staff, observation of process/
procedures and inspection of financial information.
Page 24 of 80
Guidance on Items 2, 2.1a, 2.1b, 2.2a and 2.2b.
This information is pre-populated and does not require detailed verification. In case the LFA notices any discrepancy
between the pre-populated figures and the PR’s underlying records, the LFA is requested to provide the required
comments where applicable.
Requirements for Items 2.3a, 2.3b. 2.4, 2.5, 2.6, 2.7.

The LFA:
▪ Verifies and validates the accuracy of entries and source documents for interest received on grant income, income
generating activities, and any other sources of income.
▪ Ascertains whether the events, transactions, balances, and other matters disclosed in the cash reconciliation
statement:
o Are correctly recorded.
o Have occurred and/or are relevant to the reporting period.
o Pertain to the entity.
o Are correctly and accurately disclosed (with regards to amounts).
▪ Provides comments with sufficient details with respect to any adjustments or key considerations made in the report.
Item 3. IP Cash Outflows
This comprises expenditure on cash basis in the period of the PU and cumulatively for prior
periods, split between regular and C19RM funds, except for bank charges on
disbursements and on payments which are to be reported together.
Item 3.1a and 3.1b – ‘Principal Recipient Expenditure (including payments and other
advance payments)’
These represent the cash outflows attributable to activities implemented by the PR to be

funded under the regular budget (Item 3.1a) and C19RM budget (Item 3.1b), respectively. It
also includes indirect and any overhead18 amounts paid under the grant.
Item 3.2a and 3.2b – ‘PPM / wambo.org payments made by the Global Fund on behalf
of the PR’
The same data as provided in 2.2a and 2.2b above is automatically populated.
18
The Indirect Cost Recovery (ICR) is calculated based on actual expenditure incurred by the PR and disbursements to
SRs (excluding any commitments). When refunds are received from SRs, the PR need to apply an adjustment on ICR on
the refund received to reflect the accurate ICR amount.
Page 25 of 80
Item 3.3a and 3.3b – ‘Payments to other third parties by the Global Fund on behalf of
the Principal Recipient’
Item 3.4a and 3.4b – ‘Principal Recipient disbursement to Sub-Recipients’
This includes all disbursements made to SRs by the PR during the reporting period for
activities to be funded under the regular budget (Item 3.4a) and C19RM budget (Item 3.4b),
respectively. In the case of a first reporting under the new IP, these lines also include SR
cash balances forming part of the opening cash balance under line 1.1. Additionally, any
direct disbursements made by the Global Fund to SRs are included under the respective
lines.
Please note: Payments made for goods or services to be rendered by suppliers as per
valid purchase orders/contracts and as per agreed grant agreement budget and work plan
are to be accounted for as advances and reflected in the cash reconciliation statement as
PR expenditure (i.e., under item 3.1a or 3.1b).
Item 3.5 – ‘Bank charges on disbursements and payments’
These include all fees arising from the PR’s normal banking relationship for transactions
involving receipt (e.g., disbursement received from the Global Fund) and payments for grant
activities, as indicated in the PR’s bank statements (e.g., commission on turnover, transfer
fee, etc.).
Item 3.6 – ‘Total IP Cash Outflows’
This is automatically calculated based on the information entered in the fields above.
Requirements for Items 3 (Items 3.1a – 3.6).
The LFA verifies that grant cash outflows consist of compliant expenditures and provide details/analysis
on exceptions to eligibility as part of budget variance analysis. The LFA should also provide comments
with sufficient details with respect to any adjustments or key considerations made in the report.
In case the LFA identifies non-compliant expenditures, these should be adjusted in the reported
expenditures and also identified under item 10.1. However, since the cash outflow has already occurred,
there should be no adjustments made to cash outflows.
Page 26 of 80
Item 4. Reconciling Adjustments: (PR and SRs)
This captures adjustments required in reconciling the cash balance of the PR.
These adjustments have been categorized as follows:
Item 4.1 – ‘Other reconciliation adjustments (including for previous financial

reporting periods)’
These mainly include, but are not limited to, changes arising from prior periods’ PU financial
information (i.e., any of the elements of grant income and expenditure above, impacting the
calculation of PR cash balance) emanating from correction of errors, inaccurate posting or
new information available. This amount can be positive or negative depending on the nature
of the adjustments. The PR is required to also include or consider adjustments that were
validated, cleared, and officially communicated by the Global Fund in Performance Letters
covering prior periods.
Item 4.2 – ‘Net exchange gains/losses on translation of balances’
This adjustment is to consider foreign exchange gains or losses from translating closing
non-grant currency balances (functional and/or other currencies) to grant reporting currency
balances at the end of the PU period. Where there is an overall net loss in foreign currency
translation19, this is recorded as a negative value. The Global Fund accepts the application
of weighted average exchange rates (monthly or quarterly) for conversion of the
transactions during the period.
Please note: In an environment of depreciating (or devaluing, if applicable) local currency

versus grant currency, it is recommended that funds disbursed by the Global Fund be held
in the grant currency up to the point of utilization for program purposes.
Item 4.3 – ‘Total reconciling adjustments’
Automatically calculated based on the information entered in the fields above.
19
In the event disbursements are made by the Global Fund in local currency, the PR will be informed by the Global Fund
of the applicable exchange rate to convert transactions in the grant currency.
Page 27 of 80
Item 5. Total cash balance: end of the current financial reporting period.
Items 5.1 – ‘Total cash balance in-country’
Closing cash balance at the PR level reported in grant currency is a calculated field. It is
translated at the spot exchange rate as of the end date of the reporting period (in the event
the cash is held in non-grant currency). The foreign exchange adjustment derived from the
translation is entered in Item 4.2 of the cash reconciliation. It represents total cash balances
whether regular or C19RM.
Please note: The closing cash balance is derived as the PR opening cash balance, adding
the total grant income for the period minus total outflows of funds on a cash basis and
adding reconciling adjustments for the period.
For item 4 (4.1 – 4.3) and Item 5 (5.1), the LFA:

▪ Recommends and explains adjustments to the reported figures due to identified ineligible transactions as
appropriate;20
▪ Verifies that all prior period adjustments including those officially communicated to the PR by the Global Fund
have been accurately entered in the PU period and are backed by adequate supporting documents. In event
there was no adequate supporting documentation available, the LFA captures the findings in the LFA Findings
and Recommendations tab. Please Refer to 9. LFA Findings and recommendations for further information
▪ Verifies the accuracy of computations for net exchange gain/losses arising from foreign exchange translations
with reference to applicable closing spot rates used with reference to official central bank spot rate or other
applicable inter-bank rate.
▪ Verifies accuracy and consistency of closing cash balances (PR and SR, the latter of which on special request
by the Global Fund), ensuring that the spot exchange rate is reasonable with reference to official central bank
spot rate or other applicable inter-bank rate and that the amounts agree with updated cash book balances
from month end bank reconciliations.
▪ Verifies the reasonableness of exchange rates used to convert period and cumulated expenditures into the
grant currency.
▪ Provides comments with sufficient details with respect to any adjustments or key considerations made in the
report.
20
Refer to sections 3.5 and 5 of The Global Fund Instructions for Grant Budgeting.
Page 28 of 80
Table B. Schedule of Open Advances in IP Currency
Open advances are cash outflows for which no corresponding expenditure has been
recognized by the PR. Three levels of aggregation of open advances are provided under
Table B with respect to SRs, PPM / wambo.org advances and PR advances for local
procurement or staff advances, for instance.
▪ Sub-recipient Advances: funds advanced by the PR for which the respective

expenditure has not yet been validated by the PR. The information in this section of
the PU/DR comes directly from the Tab 3. Sub-recipient(s) cash reconciliation.
▪ PR Procurement Advances (PPM and others): relate to PPM / wambo.org
advances only. Payments made to other suppliers directly by the Global Fund such
as GDF, Cepheid, etc. should be included under PR Other Advances section. They
represent the differences between total disbursements made by the Global Fund and
the value of goods received in-country as confirmed by the PR.
▪ PR Other Advances: these relate to other advances, which include but are not
limited to advances provided to staff for travel-related costs, advances to local
suppliers, payments made to GDF and other direct payments, funds balances sitting
in mobile money platforms and prepayments for goods and services. The PR is
required to submit to the Global Fund and for the LFA to review, the required
schedules supporting the reported amount of other advances.
Item 6.1 – ‘Open advances at the beginning of the current financial reporting period’
The PR’s open advances balance at the beginning of the current financial reporting period
for the first progress report is required to be nil.
For subsequent reports, it is to correspond to the prior period’s closing balance as reported
by the PR under item 6.8.
Item 6.2 – ‘Disbursements made through PPM / wambo.org’
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Item 6.3 – ‘Other direct disbursements made by the GF’
Item 6.4. – ‘Disbursements to sub-recipient(s) and other suppliers’
These are cash outflows at the PR level in favor of the respective service providers.
Item 6.5. – ‘Less: value of goods and services delivered against open advances’
The value of goods and services delivered during the current financial reporting period for
which an advance was recorded is reported here. It corresponds to the value of advances
liquidated during the current financial reporting period.
Item 6.6. – ‘Sub-recipient(s) other income’
These constitute income arising from regular grant activities as covered in the grant
confirmation’s budget, such as income generating activities and bank interest income. This
can also include income arising outside normal grant activities, such as realized proceeds
from the approved disposal of grant assets.
Item 6.7. – ‘Sub-recipient(s) refunds’
This represents the refunds received (if any) from the SR(s) during the reporting period.
Item 6.8. – ‘Open advances at the end of the current financial reporting period’
This is automatically calculated based on the information entered in the fields above.

For Items 6 (6.1 – 6.8) the LFA:
▪ Completes the respective fields based on the information reviewed at PR level. It is not required to proceed with
a detailed review of each SRs’ underlying records unless requested by the Global Fund.
▪ Reviews the completeness and accuracy of the value of goods and services delivered during the reporting period
as reported by the PR to determine the closing balance of open advances for PPM / wambo.org.
▪ Reviews the completeness and accuracy of the reported amount of other advances and include comments
wherever applicable on the ageing of such advances, the timely liquidation thereof into expenditures and any
other relevant information.
Table C. Principal Recipient Financial Commitments & Obligations
Financial commitments and financial obligations as defined in page 21 above arising at PR

and SR levels are to be recorded here together with the amount of accrued severance
entitlements.
Page 30 of 80
Item 7.1a and 7.1b – ‘Total financial commitments’
In addition to the closing balance of financial commitments arising at PR and SR level

(where applicable), the PR is required to include the corresponding amount for the previous
financial reporting period. For the first report, the amount for the previous financial reporting
period must be nil.
Item 7.2a, 7.2b and 7.2c – ‘Financial obligations and accrued severance’
Balances at the end of the current financial reporting period are reported here.
Please note that for accrued severance entitlements, where applicable, the PR is required to
report on the cumulative balance at the end of each financial reporting period.
Item 7.421 – ‘Total financial commitments & financial obligations’
This is the total amount of items 7.1a to 7.2c, above.
Item 7.5 – ‘Uncommitted cash balances’
This is for information purposes only and is calculated as the difference between PR cash
balance in-country and total financial commitments and obligations.
Please note: Table 2C is meant for disclosure, triangulation and analytical purposes only
and does not impact the calculation of the PR’s cash balance.
For items 7 (7.1 – 7.5), the LFA verifies the reasonableness of the amounts disclosed as PR financial commitments
and other financial obligations in accordance with the applicable PR accounting principles and with reference to the
definitions22 on financial commitments and obligations. This includes assurance that these commitments and other
obligations have third party supporting documents and represent goods and services rendered or expected to be
rendered with reference to the currently approved grant budget, annual funding decisions and associated
disbursements made to the PR. SR financial commitments and obligations are verified based on the SR reports
collected by PR. It is not required to verify other supporting documents at SR level.
21
Previously used category 7.3 has been retired and is no longer in use.
22
Refer to 5. Financial reporting, Special cases of the guidance document
Page 31 of 80
Table D. Triangulation of Financial Figures
The objective of triangulation is to ensure completeness and accuracy of financial

information presented in the PU/DR. It involves the reconciliation of the closing cash
balance in Tab 2: Principal Recipient Cash reconciliation with Tab 4: Total Expenditure,
taking into consideration financial commitments and open advances. (For more details, see
Tabs 2 and 4 of the PU/DR and the relevant sections of the guidance).
Please note: All figures are automatically calculated based on inputs in other sections.
Space for comments is provided. Triangulation differences must be investigated and
explained.
Population of items:
Item 8.1 – ‘PR cash balance: beginning of the current financial reporting period’: PR
cash balance at the start of the financial reporting period from item 1.1.
Item 8.2 – ‘Open advances: beginning of the current financial reporting period’: sum
of item 6.1 – open advances at the level of the SRs, PPM / wambo.org and other PR
advances.
Item 8.3 – ‘Total IP income’: item 2.7 – total of disbursements and other income for the
current financial reporting period.
Item 8.4 – ‘Total expenditure per PR expenditure report’: total expenditure for the
current financial reporting period as per Tab 4: Principal Recipient Total Expenditure.
Item 8.5 – ‘Net change in total financial commitments from previous year’: difference
between the current financial reporting period and the previous reporting period for items
7.1a and 7.1b.
Item 8.6 – ‘Open advances at the end of the current financial reporting period’: sum of
item 6.8 – open advances at the level of the SRs, PPM / wambo.org and other PR
advances.
Page 32 of 80
Item 8.7 – ‘Total reconciling adjustments’: populates from item 4.3 – total reconciling
adjustments.
Item 8.8 – ‘Total expected PR closing cash balance’: calculates opening cash balance at
PR level (8.1), the open advances (8.2) plus all disbursements made to and on behalf of the
PR (8.3), minus all expenditures recognized (8.4) and adjusted for net change in financial
commitments (8.5), open advances at the end of the period (8.6) and reconciling
adjustments (8.7).
Item 8.9 – ‘PR cash balance’: item 5.1, the calculated in-country cash balance at the level
of the PR.
Item 8.10 – ‘Triangulation variance to be reconciled or reimbursed by PR’: item 8.8 –

total expected PR closing cash balance, minus item 8.9 – total cash balance in country.
For items 8 (8.1 – 8.10): This section is a compilation of information provided elsewhere in the PUDR. The
investigation of the variances and any recommended adjustment are required to be made in the respective sections.
Table E. Principal Recipient Bank Statement Balance & Cash In-Transit in

IP Currency
This section provides financial information on PR bank statement balances, cash in transit
during the current PU period and cash in transit falling outside that period 23 (i.e., falling in
the disbursement request period).
Item 9.1 – ‘Principal Recipient Cash Balance as per bank statements’
The PR is requested to furnish the Global Fund with the bank statement balance as at the
PU period end for analytical purposes only as part of determining annual funding and
subsequent disbursement decisions. These balances are for bank accounts maintained in
23
This information is included if the PR has received disbursement notification before the PU/DR submission due date to
the Global Fund, otherwise, the information is not required.
Page 33 of 80
grant currency and for those in other currencies (including local currency) translated into
grant currency using the prevailing official spot exchange rate.
In the case of a comingled account, provision of the grant allocated bank balance is
required and is referred to as ‘fund balances’ and indicated as such in the comments field.
Item 9.2 – ‘Bank reconciliation net amount’
Reflecting the bank reconciliation statement balance, this represents the cash balance as
reported under line 9.1, which is adjusted for reconciling items, such as unpresented checks
or bank charges not booked in the PR’s accounting.
Item 9.3 – ‘Cash in-transit for the current financial reporting period’
This is automatically calculated based on information provided in Tab 6: Forecast and

Disbursement Request.
Item 9.4 – ‘Cash in-transit after the current financial reporting period’
This is automatically calculated based on information provided in Tab 6: Forecast and

Disbursement Request.
Please note: The PR must include all commitments and outstanding payments in the
disbursement forecast, as cash balances and cash in-transits are deducted from the
disbursement forecast.

Guidance on Items 9 (9.1 – 9.4).
The LFA verifies:
▪ The reported PR bank statement balance against official bank statements.
▪ That a bank reconciliation statement has been prepared by the PR for the financial reporting period closing
cash position.
▪ That cash in transit amounts are accurate with reference to disbursement notification letters for disbursements
to the PR and to third parties on behalf of the PR, ensuring they relate to the periods as explained above.
Table F. Principal Recipient Ineligible Transactions in IP Currency
This section of the cash reconciliation statement is meant for the tracking of ineligible
transactions to ensure transparency and alignment on potential recoverable amounts as at
the reporting period end date, arising from expenditures which have been declared as
ineligible during the current implementation period of the grant and formally communicated
through Performance, Implementation or Notification Letters.
Page 34 of 80
Item 10.1 – ‘Ineligible transactions validated for the current financial reporting period’
Relates to identified expenditure in the current reporting period deemed non-compliant by

the PR based on the guidelines on ineligible transactions.24
Item 10.2 – ‘Ineligible transactions from previous financial reporting periods for
which justification was approved by the Global Fund’
This is pre-populated from the Global Fund’s Recoveries Module.
Item 10.3 – ‘Reimbursement of ineligible transactions from previous financial

reporting periods’
This is pre-populated from the Global Fund’s Recoveries Module and reflects transactions
for which the PR has provided a physical refund to the grant bank account or transferred the
funds directly to the Global Fund.
Item 10.4 – ‘Cumulative ineligible transactions for the implementation period’
This is the sum of all ineligible transactions since the start of the current implementation
period and is pre-populated from the Global Fund’s Recoveries Module.
Item 10.5 – ‘Open ineligible amounts receivable’
Represents the value in IP currency of ineligible transactions as of the end of the reporting
period. It is automatically calculated based on the information entered in the fields above.
Item 10.6 – ‘Net recoverable amount from recoveries module’
For information purposes only, this field shows the balance of recoverable amounts as
identified in the Global Fund’s Recoveries Module. Any differences between 10.5 and 10.6
24
based on the guidelines on ineligible transactions contained in section 5 of the Global Fund Guidelines for Grant
Budgeting.
Page 35 of 80
are reconciled by the Global Fund and may be communicated to the PR in the Performance
Letter upon resolution.
Item 11 – ‘Validated / Unvalidated net cash recoverable’
This shows the net cash available in country after taking into consideration confirmed and
newly identified non-compliant transactions, for information purposes only.

Guidance on Items 10 - 11.
The LFA is required to report transactions considered to be non-compliant for the current financial reporting period,
with sufficient details25.
25
This requirement to be in line with the guidance under Section 5 of the Global Fund Guidelines for Grant Budgeting.
Page 36 of 80
Tab 3. Sub-recipient Cash Reconciliation
To support annual funding decisions and decisions on cash transfer needs, the PR
provides financial data on the management of SR advances. These are the balances as
per the PR’s books and records, which can differ from the actual balances at individual
SR levels due to timing of validation of SR reports and cut-off periods, etc. It is sufficient
for the PR to report on the balances as per its books and records.
The SR cash reconciliation statement captures the reconciliation of funds provided to

SRs at a given PU period end date. SR open advances are defined as disbursements
made to SRs and other SR income less SR expenditures validated and recorded by the
PR in its records as fully liquidated amounts (i.e., recognized officially as SR expenditure
by the PR in its own records).
To ensure financial control over resources at the disposal of SRs, the Global Fund
strongly recommends that the PR establishes advance accounting principles for
disbursements made to SRs for program implementation. Although disbursements made
to SRs are treated as ‘cash-outflow’ for purposes of PU/DR reporting, it is important that
the PR includes SRs’ expenditure in their records upon verification and/or validation of
SR reports (including verification by assurance providers).
In certain instances, where ‘zero-cash or restricted cash policy’26 is in place, the PR is

required to report payments made under such policies as actual disbursements to SRs
(Item 3.4a and Item 3.4b of the PR cash reconciliation statement) and also treat them as
SR expenditure in the SR cash reconciliation section (columns 4 and 6).
If adequate controls and risk mitigation measures are in place, the PR is required to apply
a risk-based approach for the verification of SRs’ expenditure and verification can be
performed on a sample basis.
Sample expenditure verification can also be performed by the LFA or other assurance
providers depending on the country context.
1. Sub-Recipient Name: the SR(s) for which financial details are being given. Where
there are a significant number of SR(s) involved in the implementation of the grant
and to simplify the reporting process, the PR can be authorized by the Global Fund
to input ‘Other’ to group SRs that have managed a cumulative budget below
US$50,000 as at the end of the PU reporting period.
2. Cumulative Sub-recipient expenses for previous financial reporting periods at

the Principal Recipient level: the cumulative expenditure amount validated by the
PR and entered into its accounting records derived from amounts previously
disbursed to SRs as at the end of the previous PU reporting period.
26
Such policies imply that the PR makes direct payments on behalf of the SRs.
Page 37 of 80
3. Sub-recipient(s) Open Advances at Principal Recipient Level: open balances
from the previous PU period regarding advances provided to SRs that are yet to be
validated and/or booked as grant expenditure as part of the PR’s regular accounting
closure process.27
4. Disbursements made by the Principal Recipient or directly by the Global Fund

during the current financial reporting period: all direct disbursements made by
the PR to SRs during the PU/DR reporting period and direct disbursements made by
the Global Fund to the SRs. These are cash outflows at the PR level, which impact
the cash balance, however, they do not constitute expenditure in the form of
payments for goods and services. This amount is to fully reconcile and correspond to
the amount reported in item 3.4a and 3.4b (i.e., ‘PR disbursement to SRs’) in the PR
cash reconciliation statement.
5. Other Income during the Current Financial Reporting Period: constitutes income
arising from regular grant activities as covered in the grant confirmation’s budget,
such as income generating activities and bank interest income. This can also include
income arising outside normal grant activities, such as realized proceeds from the
approved disposal of grant assets.
6. Expenditure validated by Principal Recipient during the current financial

reporting period: expenditure accepted and/or validated by the PR as SR
expenditure for the PU/DR reporting period, following a formal process of verifying
supporting documents28 of expenditure transactions.
7. Refunds Received from Sub-recipient: Refunds received (if any) from the SR(s)
during the reporting period.
8. Sub-recipient Closing Balance at Principal Recipient Level: Open SR advances

maintained by the PR as at PU period end date. It represents expenditure which is
yet to be officially validated, cleared and recognized by the PR in its accounting
records; funds for activities which are yet to be implemented by the SR and/or
savings from activities implemented. It does not require any direct input from the PR
and is the product of points 3 through 7 above.
9. Actual Sub-recipient(s) Cash Balance (if applicable): to be filled in by the PR

upon proper verification and validation of SR cash balances as at the reporting
period. In all cases, the PR must have oversight mechanisms in place to provide
assurance on reasonableness of SR expenditure and cash balances.
10. Variances on Sub-recipient(s) Balances: does not require any direct input from
the PR and is the difference between the closing balance at PR level in respect to
open SR advances and actual SR cash balances. The PR is required to ensure that it
takes all steps necessary to ensure that this variance is kept to a reasonably low
level by ensuring proper oversight of SR(s) expenditure, timely disbursements, and
27
The Global Fund strongly recommends a monthly closing of accounts by all implementers and recipients of funding.
28
The verification of SR expenditure is based on a risk-based approach and can be performed on a sample basis in
cases when adequate controls and risk mitigation measures are in place.
Page 38 of 80
reporting.

Only if requested by the Global Fund, the LFA reviews and reports this section of the PU/DR.
The LFA review is based on the documents available at the PR level, e.g., SR reports collected by PR. The LFA does
not review other documents at SR level unless specifically requested by the Global Fund. Depending on risk factors,
LFA financial verification work can include site visits to SRs in addition to verifying PR-held financial information on
SRs.
The LFA verifies:

▪ Consistency of cumulative SR expenses for prior periods with the amounts reported in the previous PU/DR.
▪ Correspondence of SR open advances to both closing balances for the previous PU/DR reporting period and
PR’s underlying books and records.
▪ Correspondence of the reported PR disbursements to SRs, notifications sent to SRs and amounts entered in
PR’s accounting records for advances, which form the basis for the entry made on items 3.4a and 3.4b of the
PR cash reconciliation statement.
▪ Completeness and accuracy of ‘other income’ reported at the level of SRs.
▪ Accuracy and support for amounts booked by the PR (by way of expenditure returns from SRs, with
supporting documents such as delivery notes, invoices, payment vouchers, receipts, etc.) as constituting
validated SR expenditures, and also accuracy of closing SR open advances reported by the PR.
▪ Reasonableness of reported SR cash balance, including recommending adjustments to these balances where
there is inaccuracy, provided the PR has been requested to provide SR cash balance information in the
column.
▪ ‘Actual SR Cash Balance (if applicable)’. Where a PR elects to provide SR cash balance information, the LFA
reviews upon request of the Global Fund.
▪ The adequacy of underlying systems and oversight controls in the management of SR advances by the PR.
Tab 4. Total Expenditure
The purpose of PR expenditure reporting is to enhance the overall expenditure analysis

of Global Fund investments. The report covers in-country expenditures and variance
analysis against the approved activity plan for regular and C19RM (where applicable)
activities and funding for PRs and SRs. In line with the approved detailed budget for
grants, the annual financial reporting requirement provides a standardized reporting
approach that incorporates the costing dimension (cost grouping/inputs) as an integral
part of the overall modular approach, which further enhances the standardized modules
and interventions.
This integrated approach and standardized menu for cost and modular classification
removes ambiguity and provides greater alignment with partners, country data systems,
and national health accounts. It also provides analytical granularity for both budgeting
and expenditure reporting and thus enhances strategic and operational information in the
management of Global Fund investments. The annual financial reporting is thus fully
aligned to the modular approach and costing and provides additional visibility to better
understand in-country expenditures. It also provides information on Global Fund
investments and their linkages to programmatic results and impact.
Page 39 of 80
Reporting schedule
The PR is required to submit the annual financial reporting for each grant at least annually
from the agreed grant start date (i.e., month 12, month 24, etc.). The first annual financial
reporting for any grant, depending on the start date and alignment to country/PR
reporting cycles, can cover a period of six to 18 months, and every 12 months thereafter.
The PRs implementing in High Impact portfolios are required to submit a semi-annual
expenditure report, in addition to an Annual Financial Report that is to still cover the
entire year of implementation. Only the Annual Financial Report is verified by the LFA,
unless the Global Fund decides otherwise.
The Global Fund at its own discretion can request more frequent reporting (i.e., every
quarter for certain PRs from High Impact countries or every semester for certain PRs
from Core countries).
Financial Information
The reported financial information is required to include the approved budgets,

expenditures, and variance analysis by (a) cost dimension groupings; (b) modules and
interventions; and (c) implementers (PRs and SRs). The total budget and expenditure
amounts across all three breakdowns are to be the same.
In the Global Fund annual financial reporting, reported expenditures are required to
include all activities for which the goods and services have been received by the grant
implementer. This will include:
29
▪ Payments made for goods and services delivered during the reporting period; and
▪ Open financial commitments30 at the end of the period.
However, payments made for which no corresponding goods have been received or
services rendered are not to be included as expenditures. These are to be treated as
open advances. Common examples include payments made directly by the Global Fund
with respect to PPM/wambo.org procurement but for which the goods have not been
received, payment of the advance for external audit services when audit report has not
been received, or rental deposit for premises occupied.
The picture below depicts the key considerations when determining the expenditure to be
recognized in the current or next reporting period.
29
Including indirect and any overhead amounts charged to the grant.
30
A current contractual obligation to pay a specified amount of cash against goods and services already received, i.e.,
the goods/services have been received however the related payment is not yet made (all or partial) either due to delay
in/non-receipt of invoices, use of favorable payment terms or prolonged payment process. Financial commitments mainly
include accounts payable and creditors.
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Diagram 3: Expenditure reporting for Global Fund purposes
The reporting by costing dimension grouping is based on the cost grouping and cost
inputs.31
The reporting by implementing entity is required to include both the name and the type of
implementing entity. This reporting is to be done at the PR and SR levels (it is not
necessary to report at the Sub-Sub-Recipient level).
Financial information is reported for the current financial reporting period (whether on
semi- annual or annual basis) and cumulatively from the beginning of the implementation
period. Reporting covers the entire grant implementation period budget and expenditure
information.
Any adjustments and modification in the expenditures of the financial statements are also
to be incorporated in a revised annual financial reporting, in accordance with the final
audited statements. The revised annual financial reporting (if applicable) can then be
submitted, along with the external audit report.
Annual depreciation expenses will not be considered in the Annual Financial Report and
equipment acquired during the year needs to be expensed fully in the year of acquisition.
Consequently, the full cost of equipment is included in the Annual Financial Report of the
year of acquisition.
Treatment of budget variances
The financial reporting, whether submitted annually or on a semi-annual basis for certain
portfolios, is used to explain all variances from the most recent approved budget for each
module/intervention and cost grouping/cost input.
As a general principle, even in the case of non-material budgetary adjustments32,

detailed variance analysis for expenditures is required for variances that are below 95%
31
Refer to Appendix 1 of the Global Fund Instructions for Grant Budgeting.
32
Refer to Section 3.5 of the Global Fund Instructions for Grant Budgeting.
Page 41 of 80
and above 105% of the official approved budget for the specific intervention, or the
agreed granularity of reporting using the modular approach costing dimension under the
differentiated reporting requirement.
Based on automated controls, an annual financial reporting is not fully compliant if a

variance exceeds the above-mentioned threshold, and the relevant variance analysis has
not been provided by the PR.
Adjustments to reported expenditures
All adjustments to PR and SR expenditures in annual financial reports which have

already been reported and approved (prior period annual financial reporting) are to be
made in the current reporting period and explained in the variance analysis of the most
current reporting cycle.
It is not possible to change expenditure data in the reports which have already been
submitted to and approved by the Global Fund, because prior period expenditure data is
locked from further changes. Such changes can result from finalization of expenditure
verification, refunds received from suppliers/procurement agents or other audit
adjustments for PR/SR/Sub-Sub-Recipient activities. Consequently, the adjustment
should be captured as part of the current annual financial reporting and not as a re-
statement of the previous annual financial reporting to which the adjustment relates.
Column ‘Budget’: is pre-populated and corresponds to the approved budget amount for
the relevant period, as per the Grant Confirmation or subsequent revisions formalized
through an implementation letter.
Column ‘Actual Expenditure’: corresponds to the actual expenditure (PR direct

expenditure and SR direct expenditure) incurred during the current reporting period.
Please note: The PR is not required to report the disbursements to SRs as expenditure,
as they report the actual expenditure incurred by the SRs. All sub-sub-recipient
expenditures as validated and compliant are captured as part of SR expenditures.
Column ‘Budget Vs. Actual Variances’: is automatically calculated based on the

information entered in the fields above.
Column ‘Absorption Rate’: is automatically calculated based on the information

entered in the fields above.
Column ‘Explanation of Current Period Variances’: it is mandatory to provide an

explanation for variances below 95% and above 105% of the budget. The PR is required
to be as specific as possible when commenting on variances and must explain the link
with programmatic results.
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Please note: In cases where a more detailed analysis of the variance is necessary to
ensure an adequate explanation of the variance and the relationship to the programmatic
results, the PR is required to summarize the explanation in the ‘Explanation of Variances’
column and provide additional information justifying the variance in an empty Worksheet
in the form. Please include in the ‘Explanation of Variances’ the reference to the detailed
explanation, if applicable (e.g., See Free Sheets 1, 2, 3, etc.).
The ‘Cumulative Budget’, ‘Cumulative Actual Expenditure’, ‘Cumulative Budget Vs.

Actuals Variances’, ‘Absorption Rate’ and ‘Explanation of Cumulative Period
Variances’ columns reflect the aggregated amounts (including any adjustments) from the
beginning of the implementation period to the end of the period covered by the current
PU/DR.

The LFA verifies that:
▪ The total ‘Budget for Reporting Period’ corresponds to the approved budget amount for the relevant period as
per the summary budget submitted with the Grant Confirmation or a revised budget subsequently approved
through an Implementation Letter; and
▪ The Actual Expenditures are eligible. Eligible expenditures are those that have been spent in line with the Global
Fund approved budget and used solely for program purposes consistent with the terms and conditions of the
grant confirmation.
The LFA also:

▪ Recommends and explains its adjustments to the reported figures due to identified ineligible transactions
(including mistakes/inaccuracies) as appropriate33.
▪ Comments on the PR’s explanation of variances.
▪ Verifies that the cumulative budget and expenditure figures reflect the aggregated amounts from the beginning
of the implementation period to the end of the period covered by the PU/DR.
▪ Confirms the reasonableness of any adjustments to cumulative budgets and actual expenditures proposed by
the PR.
Tab 5. C19RM Expenditure
The C19RM Expenditure section covers in-country expenditures and variance analysis
against the approved activity plan for C19RM activities only and funding for PRs and
SRs.
The principles for reporting on C19RM expenditures are the same as those presented in
the section above on total expenditure reporting, except Tab 4 covers regular funds and
Tab 5, C19RM funds.
33
Refer to sections 3.5 and 5 of the Global Fund Instructions for Grant Budgeting.
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Please note: Table D includes automatically calculated fields that monitor cash
requirements for C19RM activities.
Tab 6. Forecast & Disbursement Request
This section of the PU/DR contains a summary of the cash expenditure forecast for
activities to be financed under the regular allocation and under C19RM, where
applicable, for the period immediately following the period covered by the PU/DR and for
an extra cash ‘buffer’ period of up to six months where applicable.
It also contains a calculation of the disbursement amount requested by the PR based on

the cash balance, the forecasted cash outflows for the period immediately following the
period covered by PU/DR (as well as for an extra cash ‘buffer’ period of up to six months)
and cash ‘in transit’ (if any).
The forecast must be based on a solid understanding of grant implementation and

planned programmatic activities.
The forecast totals reported are to include activities in the approved budgets requiring
payment of goods and services in the next execution period plus buffer period.
Supporting evidence to be provided by the PR, can be submitted in a flexible format by

cost grouping at minimum. In addition, this forecast is to be broken down by:
a) Quarter;
b) The recipient of the funds (PR, direct disbursement from the Global Fund or
PPM/wambo.org); and
c) And type of funding (Regular Funds, C19RM Funds).
The forecast includes new activities to be implemented (new contracts/procurement for

goods and services) and open existing contracts (financial commitments and financial
Page 44 of 80
obligations) from which payments are to be made during the period covered by the
forecast.
The PR is required to consider several factors in determining its forecast of cash needs,
such as (but not limited to):
▪ Program absorption capacity: what are the current budget absorption rates
(expenditure/budget) over the most recent periods and are they high or low? What
are the factors causing this, and do any of these factors affect the current period?
▪ Changes to the work plan: have there been major changes to the work plan for the
next period of implementation, such as postponement or acceleration of activities,
or delays or advances in major procurements which have an impact on the cash
needed for the period?
▪ Unit price changes: how do current/expected unit prices compared to those in the
budget?
▪ Cash balances: are there significant cash balances at the SR’s level, which can
reduce the additional cash required from the PR and consequently the Global Fund?
The PR is required to state whether and to what extent the information on the SR’s
cash balances has been used in the calculation of the requested disbursement
amount.
▪ Financial Commitments and Financial Obligations: current confirmed

commitments and obligations to be paid during the disbursement request period.
▪ Macroeconomic factors: have there been major changes in inflation or exchange

rates that can affect the cash needs for the period?
If the forecasted expenditure is significantly different from budgeted amounts, the PR

must specify the major drivers of the deviation and their impact on the variance (in terms
of specific amounts) in the PU/DR form.
In case of significant variances between forecasted expenditures and budget, the PR is

required to present an updated work plan and budget at the Global Fund’s request.
Recognizing that PRs have different ways of presenting forecasts, the minimum
requirements set out in the detailed description above are nevertheless to be respected.
This detailed forecast must be shared with the Global Fund at the time of submission of
the PU/DR, if not already shared as part of reprogramming or cash releases requests.
Such analysis is to be done separately for activities to be financed from the regular
allocation and those to be financed from C19RM, where applicable.
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‘Implementation Quarter’: is pre-populated and corresponds to quarters covered by the
disbursement request period, including a maximum of six months of buffer.
‘Source of Funding’: distinguishes between regular allocation funds and C19RM funds
where applicable.
‘Approved Budget’: is prepopulated and corresponds to the budget (by quarter) covered
by the disbursement request period for regular allocation and C19RM funding, where
applicable.
‘Principal Recipient Forecast’: the cash forecast (by quarter) of the PR analyzed by
regular allocation activities and C19RM activities, where applicable. The total amount by
quarter for each component should correspond to the underlying detailed forecasts to be
shared by the PR.
‘Cash balance at the end of current financial reporting period covered by Progress
Update’ is completed automatically based on the closing cash balance (Item 5.1 of the
Principal Recipient Cash Reconciliation and taking into consideration the indicative
C19RM cash balance, where applicable as per Table D. Indicative Cash Balance for
C19RM Allocation in Tab 5: Principal Recipient Expenditure Report for C19RM Activities).
‘Cash in transit for the current financial reporting period (Disbursements to PR)’
and ‘Cash in transit for the current financial reporting period (Third party
disbursements)’: the disbursements made by the Global Fund34 to the PR or to a third
party on behalf of the PR during the current reporting period but received by the PR after
the reporting period end date. For example, a disbursement made to the PR on 28 June
2022, during the PU semester period ending 30 June 2022 but received by the PR on 15
July 2022. As this constitutes cash resources at the disposal of the PR, this amount is
34
The date on the Disbursement Notification Letter transmitted by the Global Fund is during the current reporting
period.
Page 46 of 80
automatically deducted from the total forecast amount for the disbursement request
period.
‘Cash in transit after the current financial reporting period (Disbursements to PR)’
and ‘Cash in transit after the current financial reporting period (Third-party
disbursements)’: In certain instances, the Global Fund can release disbursements to
the PR (or to a third party on behalf of the PR) after the reporting period end date, but
prior to the due date for PU/DR submission. When such disbursements are made to and
received by the PR after the current progress, they should be included here.
‘Forecasted Disbursement to Principal Recipient’: represents the anticipated direct

disbursement needs of the PR.
‘PPM/Wambo.org forecasted disbursement’: represents the forecasted disbursement

to be made by the Global Fund under the Pooled Procurement Mechanism.
‘Forecasted Direct Disbursement by entity’: represents the forecasted disbursement

to be made to third parties by the Global Fund on behalf of the PR (is not to include
disbursements made under the Pooled Procurement Mechanism). The PR can designate
here specific payees like the Fiscal Agent, Global Drug Facility (GDF), Cepheid or the
External Auditor amongst others where payments are to be done directly by the Global
Fund.
‘Disbursement Request’: is automatically calculated based on the information from the

fields above. Note: The amount for each period and by funding type for this table should
match with the amount appearing in the same ‘Disbursement Request’ line of the
previous table.
Column ‘Execution Period Total’: is automatically calculated based on information

entered for the respective quarters of the Execution period.
Column ‘Buffer Period Total’: is automatically calculated based on information entered

for the respective quarter(s) of the Buffer period (where applicable).
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A field is provided at the end of the section of the PU/DR for the PR to explain significant
variance between the forecasted amounts and the amounts as per approved budgets.

For PU/DR reporting, the LFA review section of the Forecast and Disbursement tab does not need to be completed
unless otherwise agreed with the Global Fund. The Global Fund and the LFA agree on any information to be provided
and its format, to allow for flexibility considering reviews done as part of reprogramming and cash releases and to avoid
duplication of LFA efforts.
Tab 7. Tax Reporting
As stipulated in Section 3.5 of the Global Fund Grant Regulations (2014)35 applicable to
allocation-based model grants, Global Fund funding is based on the principle that grant
funds are intended to be free from taxation, so that all the grant funds provided by the
Global Fund contribute directly to the prevention, diagnosis, and treatment of the three
diseases in the country.
The required tax exemption for Global Fund purposes mainly includes (but is not limited
to):
▪ customs duties, import duties, taxes or fiscal charges of equal effect levied or
36
otherwise imposed on the ‘Health Products’ imported into the Host Country under
the Grant Agreement or any related contract (collectively ‘Custom/Import Duties’);
and
▪ VAT levied or otherwise imposed on goods and services purchased using grant
funds.
▪ Any other taxes that are applicable in-country based on local fiscal legislations and
not specifically mentioned.
The Global Fund has been requested by donors to report on how this provision is applied
across all our grants before donor commitments are released to the Global Fund. PRs are
required to report on tax exemption information once a year to verify compliance with
grant agreements.
The purpose of the Tax Report is to collect information for import duties, VAT related to
goods and services (including commodities and other health products) and any other
taxes paid from Global Fund grants in every reporting period. The tax reporting period is
now fully aligned to the PUDR reporting period.
‘Specify Fiscal Year’: is pre- populated and corresponds to the period covered by the
PU/DR.
35
Available at Global Fund Grant Regulations (2014).
36
As defined in the Global Fund’s ‘Guide to Global Fund’s Policies on Procurement and Supply Management of Health
Products’
Page 48 of 80
‘PR Grant Tax Exemption Status’ and ‘SR Grant Tax Exemption Status’: the PR is
required to select the appropriate tax exemption status from the drop-down menu list. Tax
exemption related to social contributions and salary income tax does not need to be
reported. When different SRs have different tax exemption status, please choose the
option that covers the majority of funds managed by the SRs.
Please note: The PR is required to ensure the documentation confirming its tax
exemption status and that of the SR(s) is available upon request.
‘Overall Tax Exemption Status’: is automatically calculated based on the information

entered in the fields above.
‘Taxes paid’ (PR and SR): the total taxes (in grant currency) paid by the PR and SR(s) in
the reporting year.
‘Tax recovered’ (PR and SR): the total taxes (in grant currency) recovered from the
government by the PR and SR(s) in the reporting year.
‘Tax unrecoverable’ (PR and SR): is automatically calculated and represents the total
taxes (in grant currency) not recovered from the government by the PR and SR(s).
‘Total Taxes Paid’: is automatically calculated as the sum of PR and SR taxes paid in
the reporting period.
‘Total Taxes Recovered’: is automatically calculated as the sum of PR and SR taxes

recovered in the reporting period.
Please note: The PR is required to enter in the comments field the amount of additional
recoveries expected for the period.
‘Total Taxes Unrecoverable’: is automatically calculated and represents the total taxes
(in grant currency) not recovered from the Government by the PR and SR(s).
‘PR Tax Information Comments’ and ‘Tax Exemption Status Comments’: the PR is
required to enter any relevant comments that will facilitate the review of the Global Fund
and the LFA.

The LFA is required to:
▪ Review the tax exemption status of the PR and provide contextual comments as to the scope of such
exemption (in terms of types of payments covered, whether for PR and SR activities amongst others).
▪ Assess the information provided by the PR in all sections of the PU/DR form for completeness and accuracy
and to provide relevant comments as to the unrecovered taxes. In particular, whether these are at all
recoverable or if simply a timing difference. A dedicated LFA-specific section is provided in the PU/DR form for
LFA comments.
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6. Health Product Procurement & Supply Chain
Management
Table 8.A. Price & Quality Reporting (PQR)
Table 8.A requests PRs with grants having budgets for health products reportable to the
PQR to provide confirmation that the required information has been entered in the PQR
for reportable pharmaceuticals and health products they have received during the period
covered by the PU/DR.37
The PR is required to:
▪ Indicate in the PU/DR whether the PQR has been updated with the required
information on the health products received during the period covered by the PU/DR.
The PR selects from the available options: ‘YES’, ‘NO’, ‘N/A’. If ‘NO’ is selected, the
PR explains why health procurement information has not been entered; and
▪ Provide all supporting information (e.g., price quotes, pro-forma or final invoices,
shipping documents, etc.) for PQR product categories to the LFA for verification, for
the relevant reporting periods.
Supporting Documents
The PR is required to provide:

▪ An extract from the procurement tracking tool, supplies report, or any relevant document showing the list of
items received.
▪ All purchase orders and invoices related to consignments received.
▪ Invoices for consignments received prior to the reporting period but entered into the PQR system during the
period covered by the PU/DR (entries reported into the system with delay).
37
For guidance on PQR data entry, please refer to the Guide to Global Fund Policies on Procurement and Supply
Management of Health Products.
Page 50 of 80
Table 8.A. and Table 8.G. - Status update on Price and Quality Reporting.
During PU/DR verification, the LFA is required to:
▪ Indicate, based on available information, whether the PR has fulfilled its obligation and reported all eligible
entries into the PQR system.
▪ Comment in the PU/DR on the accuracy and completeness of the procurement data entered in the PQR by the
PR.
▪ Ensure that the values of products verified as correct are based on validated amounts derived from supporting
documents (e.g., price quotes, pro-forma or final invoices, shipping documents, etc.). In case of major
discrepancies (>5%) between the information in the supporting documents and the data reported in the PQR,
the amounts need to be updated by the PR and re-validated by the LFA.
▪ Identify and document any variance between the amounts due for reporting vs the amounts reported by the PR
and explain major reasons for the variances.
▪ Verify the conversion to the selected currency using the appropriate exchange rates when there is a mixture of
invoices in multiple currencies.
▪ Download and use an Excel summary of the PQR entries for aggregating the information needed to complete
the table.38
▪ In case of LFA disagreement with the PR reported information in the PQR, the LFA is required to state any
requests for corrections within the PQR system (in the field ‘Remarks on Consignment’). Doing this will return
the entry to the PR for correction.
▪ Debrief the PR on any identified issues.
Refer to A Quick Guide to the Global Fund’s Price and Quality Reporting System for further information.
Please note:
▪ The amounts in the PQR and expenditure amounts on health products can be different due to a time-lag
between payments and delivery of health products, and because the PQR includes information of only selected
product categories.
▪ Table 8G enables verification of completeness of information in the PQR system and is not for comparing PQR
amounts vis-à-vis expenditure amounts in the total PR cash outflow section.
Table 8.B. Risk of Stock-Out & Expiry
This section helps measure the level of risk of program implementation delays and
treatment interruption, or risks of wastage, and highlights the need for actions to mitigate
the risk.
Please note: Any scale-up or program acceleration plans need to be considered when
estimating future needs and assessing risk of stock-out.
38
Transaction Summary Report is available on the PQR homepage http://pqr.theglobalfund.org and
https://www.theglobalfund.org/en/sourcing-management/price-quality-reporting/
Page 51 of 80
Regarding risk of expiry and risk of stock-out, the PR is required to note the following:
▪ The risk of expiry exists if:

i. The months of stock in the country exceed the product shelf life.
ii. The months of stock in the country exceed the maximum levels recommended in
the country’s inventory management policy without planned scale up of
consumption during this period.
iii. There is a serious disparity in the distribution and location of stock at the different
sites in the country.
iv. There is a significant number of sites holding redundant or slow-moving stock.
v. Others, as applicable.
▪ The risk of stock-out exists if:

vi. The proportion of understocked sites in the country is high regardless of the level
aggregate national stock position.
vii. There is imminent expiry of a large proportion of stock.
viii. There are critical disparities in the distribution and location of stock at different
sites in the country.
ix. Logistics Management Information Systems (LMIS) reporting/recording
compliance rates are low and/or data quality is unreliable.
x. The central level stock position is below the minimum recommended.
xi. The national stock position is lower than the minimum recommended.
xii. Other reasons, as applicable.
Please note:
▪ Stock status, including pipeline monitoring, is an ongoing activity essential for proper
management of the national inventory.
▪ PRs (or SRs / procurement agents, as applicable) are required to inform the Global
Fund and in-country stakeholders at any time outside of the PU/DR process when a
risk of expiry or stock-out becomes imminent.
The PR analyzes the risk of stock-out or expiry for the key pharmaceuticals and health
products listed in the PU/DR (the specific products in each category are determined
through dialogue between the Global Fund, the PR and the LFA).
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The category ‘Other’ includes other products that are procured under and represent a
significant expenditure for a grant and/or are critical for achieving the program goals and
objectives as determined by the Global Fund, LFA or PR, e.g., needles and syringes,
methadone in programs for opioid substitution therapy; insecticides for IRS, etc.). The
product description is specified in the comment section.
The PR selects ‘Yes,’ ‘No’ or ‘N/A’ next to each product category under the ‘Risk of
Expiry’ and ‘Risk of stock out’ columns.
If ‘Yes’ is selected for either column, the PR must provide additional contextual
information on specific items at risk of stock-out or expiry and briefly outline the mitigation
measures in place or to be implemented in the ‘PR comments’ column.
PRs should also include in their comments:
▪ A summary analysis of important supply and demand factors to facilitate reaching

a conclusion on the optimality of the national inventory position and the likelihood
of stock-outs and/or expiry of products in the country over the period of the next
six months.
▪ key challenges, bottlenecks in health products management and the decisions
made to mitigate the reported risks.
▪ A brief update on ongoing or planned procurements from various sources of
funding.
▪ Any product batches at risk of expiry over the next six months regardless of
funding source.
▪ The quantity of products expired in the last reporting period, regardless of funding
source.
The PR is required to use the most up-to-date stock status data, including pipeline
monitoring data. The PR and LFA are required to use existing formats of a country’s
national stock status report, which should include the below listed data elements. PRs
can request the guidance from the Global Fund in preparing and utilizing a suitable
national report format.
The PR is accountable for the accuracy and completeness of the information in the
PU/DR and is required to collaborate with various implementing partners responsible for
procurement and national stock monitoring to obtain the data required to complete this
section of the PU/DR.
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Supporting Documents
The PR is required to prepare and submit the following documents for/during the PU/DR reporting period:
▪ Stock on Hand (SoH) report: This is the aggregate quantity of usable stock available at the central level
covering all sources (e.g., government, Global Fund, PEPFAR, etc.).
▪ Average Monthly Consumption (AMC): This is the average quantity of a health product consumed per
month calculated based on the analysis of the reported total consumption in the past (normally calculated for a
period of six to 12 months) appropriately adjusted to reflect future demand levels.
o The national AMC is determined based on Logistics Management Information System (LMIS)
consumption information reported to the Ministry of Health (MOH) from the pool of all health facilities in
the country, including NGO or private health facilities contributing to the national program supported by
the Global Fund.
o Other reports such as ‘stock issue reports’ from provincial and district level warehouses can also be
used in the absence of a formal LMIS report from sites to higher levels of the health system, or in the
absence of functional LMIS, upon approval from the Global Fund. This will require manual calculations
and take into consideration quantity of stocks issued from district level warehouses to sites over the
same period (6-12 months).
▪ Quantity on Order (and expected delivery dates): This is the aggregate quantity of stock (on the different
confirmed purchase orders) that has been formally ordered from suppliers(s) by one or more funding sources,
and which is expected to arrive in the country during the next reporting period. This quantity is required to
exclude planned procurements which have not yet been contracted.
▪ Months of Stock (MoS): This is the stock on hand with useable shelf-life and quantity on order expressed in
the estimated number of months of service coverage. It is determined by dividing the quantity by the average
monthly consumption.
▪ Expiry date: Expiry date for each batch of a product in stock is shown. Stock reports are disaggregated by
expiry date and batch number. If this is not possible, the PR excludes from the MoS calculation stock that will
expire within 3 months from the start of the next reporting period.

The LFA is expected to:
▪ Verify the completeness and accuracy of the PR-reported information.
▪ Comment on the reasonableness of the PR’s assessment of risks of stock-outs and expiry and of risk
mitigation measures proposed by the PR to address them.
▪ Provide additional information on the risk of expiry and stock-out based on the guidance above, based on the
most up-to-date information on stock levels at the central level, consumption data and procurement planning
or, in their absence, other best available information.
In cases where major risks exist, the LFA is required to describe the risks in the ‘Findings and Recommendations’
section, propose actionable recommendations to address identified risks, and brief the PR.
Please note: for high-risk grants (as identified by the Global Fund), spot checks at the central level may be
requested by the Global Fund in exceptional circumstances (or proposed by the LFA and agreed in writing by the
Global Fund). In all other cases, the LFA’s PSM expert provides input through a desk review of PR-reported
information, without onside verification.
IMPORTANT
Poor information systems for pharmaceuticals and other health products need to be classified as an important
management issue in the ‘Findings and Recommendations’ section of the PU/DR, for grants with a major
procurement component.
Page 54 of 80
Table 8.F. Additional information
The PR is required to comment on any additional issue(s) or information related to the

procurement and supply management of health products that can impact program
implementation and highlight any mitigation measure already in place or to be
implemented.
The LFA is required to comment on issues reported by the PR and any additional issues related to the procurement
and supply management of health products and the mitigation actions already in place or to be implemented by the
PR and that have come to the LFA ’s knowledge.
Table 8.G. Value of Pharmaceuticals and Health products in the PQR -

LFA use only
Please refer to the Specific LFA Requirements in Section 8: Health Products and
Procurement and Supply Chain Management, Table 8A, for further details.
Page 55 of 80
7. Grant Management
Tab 9.A. Grant Requirements
Grant requirements are pre-populated in Tab 9.A., based on the Grant Confirmation or
any subsequent Implementation Letters, and including all outstanding requirements from
previous periods.
For the relevant reporting period, the PR provides a status update on progress on all
grant requirements that were due to be fulfilled (including those whose fulfilment was
outstanding from previous periods). While grant requirements can vary in importance,
they are all required to be met within the specified timelines before any further
disbursements are authorized by the Global Fund.
The PR chooses from the available fulfillment status options:
Requirement
PRs are required to
fulfilment status
▪ Provide details on progress necessary for understanding the fulfilment of the
Met
requirement.
Unmet – in ▪ Provide comments on progress towards achievement, including clear reasons
progress and explanations for any delays, indicating timelines for expected completion.
▪ Provide clear reasons and explanations for non-fulfilment and indicate
Unmet – not
timelines for expected completion, unless previously waived by the Global
started
Fund.
Please note: A response provided by the PR on the fulfilment of grant requirements is

only the PR’s self-assessment of its own accomplishments. It is still subject to LFA
verification and Global Fund review. A requirement remains effective until formally
cleared by the Global Fund in writing. The PR is required to make available all
documentation evidencing fulfillment of grant requirements.
Page 56 of 80
Some requirements can apply to more than one period of grant implementation (e.g.,
counterpart financing). Their fulfilment during one period does not automatically imply
fulfilment in subsequent periods. The LFA verifies that the status of such requirements is
reported by the PR during each period concerned.
Assessments of overall grant performance will consider adequate and timely fulfilment of
grant requirements.
The LFA:
▪ Fully reviews grant requirements for each functional area.

▪ Analyzes the reported financial, HP-PSCM and programmatic results as applicable to support review of the PR
reported fulfillment status.
▪ Comment on the PR’s progress in fulfilling grant requirements, as well as on the PR’s compliance with the
standard terms and conditions of the grant confirmation, as applicable.
▪ Verifies that all grant requirements applicable to the period covered by the PU/DR are accurately listed by the
PR, including all outstanding requirements from previous periods, and all requirements due for reporting during
the period covered by the PU/DR (whether they are met or not).
▪ Inform the PR if any applicable requirement was omitted or unreported and report the findings in the comments
section and LFA Findings and Recommendations tab. LFA will consider missing information when evaluating
completeness and accuracy of the PR submission.
▪ Selecting validated fulfillment status for all applicable grant requirements and provide comments.
▪ Indicates the fulfilment status of all applicable requirements and provide comments on progress towards the
achievement of yet unfulfilled requirements. Comments are to reflect the LFAs’ own analysis based on the
review of the available information.
▪ Determines whether to involve other functional experts (such as PSM or M&E/Public Health expert) in the
PU/DR review (either through a desk review or onsite). In this case, the LFA is required to first agree with the
Global Fund on the scope of work.
Please note: The involvement of other technical and functional experts in the review will depend on the nature of the
grant requirements. If a previously fulfilled requirement, classified as critical, is reopened due to new circumstances, it
is to be disclosed in the Findings and Recommendation section. At the discretion of the Global Fund, said issue can
be followed up through the management actions assigned to the PR by the Global Fund.
Tab 9.B. Mitigating Actions & Management Issues
Information on risks and root causes, completion due dates, and mitigating actions is pre-
populated, based on the identified risks and mitigating actions as communicated by the
Global Fund in the previous reporting period.
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Please note: The Global Fund can choose to provide a separate annex to the PU/DR
capturing mitigating actions, in which case, the PR in discussion with the Global Fund,
can decide which format is most appropriate for reporting.
The PR:
▪ Comments on progress toward fulfilment for each action;

▪ Provides clear explanations for any delays, indicating timelines for expected
completion; and
▪ In case a separate Annex is used to report mitigating actions: lists all outstanding
mitigating actions already assigned to the PR by the Global Fund, including a
reference to the date of the respective Performance Letter and action number.
Specific Requirements for LFA only

The LFA:
▪ Fully reviews management actions in all risk settings (low, medium, high and very high) and for each functional
area;
▪ Ensures all management actions assigned by the Global Fund to the PR and applicable to the reporting period, or
outstanding from previous periods, have been accurately listed by the PR;
▪ Comments on progress toward the fulfilment of each management action based on the LFA’s own analysis and
review of the available information; and
▪ In case a separate Annex is used to report on Mitigating Actions: lists any management actions omitted or unlisted
by the PR and follow up with a request with the PR for clarification on their status in LFA Findings and
Recommendations tab.
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8. Assessment & Sign-Off
Tab 10.A. Principal Recipient (PR) Self-Assessment
10.A.1. PR Performance – Self-Assessment during the reporting period covered by

the PU/DR
The PR provides a high-level self-assessment of performance in the reporting period

covered by the PU/DR, integrating programmatic, financial, procurement and supply
chain management components of the program delivery.
This includes, but is not limited to:

▪ A summary of grant performance, combining a quantitative and qualitative
overview of key accomplishments in programmatic, HP-PSCM and financial areas,
as well as linkages between them.
▪ Key challenges in any of the functional areas (monitoring and evaluation, finance,
HP-PSCM and program management) which put successful program
implementation under risk and/or that negatively impacted quality and timely
delivery during the reporting period.
▪ Possible risks that compromise future implementation.
10.A.2 External factors beyond the control of the PR that have negatively impacted
quality and timely program delivery during the reporting period covered by the
PU/DR
The PR:
▪ Explains any external factors beyond the control of the PR that have negatively
impacted program delivery during the reporting period covered by the PU/DR; and
▪ Describes any issues or risks, including external factors (e.g., force majeure,
political and civil issues at the country level, etc.) that have posed or can pose
challenges to the successful delivery of the program.
10.A.3 PR forward-looking assessment on implementation delivery by module for

the coming reporting period
Please note: This section is not required for the Final PU.
The PR provides a qualitative self-assessment of anticipated implementation progress by

module for the next reporting period (immediately following the reporting period covered
by the PU/DR).
Page 59 of 80
The PR’s prospective self-assessment captures whether the program is on track, and
how key risks and bottlenecks are to be addressed in the coming reporting period and
remainder of the grant.
Relevant modules for reporting are prepopulated based on the signed PF and Budget.
Cumulative absorption rate through the end of the reporting period is provided for
reference and is calculated as a ratio of cumulative PR cash outflow to cumulative budget
amounts to date.
The PR is required to select one applicable answer from the drop down-menu for each of
the modules to reflect the status of the implementation, referring to the scale below, and
to provide further for any other challenges not stated below.
In the coming reporting Service delivery, financial

period, programmatic absorption and health product
indicators expected to procurement and supply chain
achieve an average of: management; and mitigation of key
implementation risks
On track above 90% of targets AND No major challenges
Off-track with between 60% and 90% of

AND No major challenges
minor issues targets
Off-track with between 60% and 90% of

AND Major challenges
major issues targets
Module at risk below 60% of targets AND Major challenges
Page 60 of 80
10.A.4 – Planned changes to the program (if any)
The PR provides a detailed description of the planned / required changes to the program
vis-à-vis the grant agreement (including the PF) based on the results demonstrated and
gaps identified during the period covered by the PU/DR.
The required changes are to clearly articulate the scope of change, timelines, and impact
on the programmatic, financial, and HP-PSCM components of the program delivery,
taking into consideration agreed workplan and planned activities in the next reporting
period(s).
Proposed changes to the program can trigger a revision and subsequent amendment to
the signed grant documents. If a revision process is required, the PR is to discuss with
Page 61 of 80
the Global Fund the most appropriate timeline for initiating and completing the revision
process.39
Tab 10.B. Principal Recipient Sign-Off
The PR’s sign-off section is pre-populated with summary information.
By providing a sign-off on the PU/DR, the PR acknowledges that:
▪ All the information provided in the PU/DR form is complete and accurate.
▪ The funds disbursed in accordance with the request made through the PU/DR can
be deposited in the bank account specified in the Core Data Forms.
▪ The funds disbursed shall be used in accordance with the Grant Agreement.
▪ The details for the Authorized Signatory for Disbursement Request provided in the
form match the validated information in the Partner Portal Grant Entity Data
Module40.
After completing the PU/DR, the Authorized Signatory for Disbursement Requests signs
a printed version or electronically signs the PU/DR form, and an authorized PR Submitter
submits it to the Global Fund in the Global Fund Partner Portal.41
39
For further details on the Revisions process and requirements, refer to the Operational Policy Manual.
40
For further details on the creation and update of the organization and / or contact details in the Partner Portal Grant
Entity Data Module, follow this link to the Grant Entity Data Module.
41
For further details on the steps to be completed in the Partner Portal, refer to the following link:
https://www.theglobalfund.org/media/11753/fundingmodel_pudr-interactive_guide_en.pdf
Page 62 of 80
Tab 10.C. LFA Performance Assessment (LFA only)
Specific Requirements for LFA only

All LFA technical experts contribute into the completion of this section in the relevant functional areas. The
LFA Team Leader is responsible for drawing linkages between various areas, providing quality assurance
and ensuring that LFA comments/analysis provide a comprehensive and cohesive picture.
10.C.1 LFA overall evaluation and performance assessment for the current reporting period
The LFA:
▪ Provides an overall assessment of the grant performance
▪ Comments on the evidence of impact, success stories and/or lessons learned from program implementation, if
this information is included in the column completed by the PR. In case this information was not provided by the
PR, the LFA provides a summary of performance assessment taking into consideration LFA verified results,
contextual knowledge of the portfolio and professional judgement. Any missed information by the PR will be
taken into consideration when evaluating completeness and accuracy of the PR submission.
▪ Reviews the quantitative indicator rating and assess whether a technical adjustment is required.
▪ Suggests technical adjustment to the Global Fund by providing a rationale, when the quantitative indicator rating
does not adequately reflect the performance results.
IMPORTANT: In assessing overall performance, the LFA is required to provide an analysis of how programmatic,
financial, HP-PSCM and grant management performance to-date are linked, as well as an assessment of any major
implications of historical performance on future performance.
This tab contains a pre-calculated quantitative indicator rating based on the LFA verified results for coverage
indicators.42 The LFA is required to review the quantitative indicator rating and assess whether a technical adjustment
is required by selecting ‘Yes’ or ‘No’ in the appropriate box.
In some specific scenarios, the Quantitative Indicator Rating may not reflect the actual grant or program performance.
Specific scenarios, where a technical adjustment is be relevant to consider, include:
▪ Achievement or overachievement of one indicator when correlated with another indicator indicates a gap in
reaching people in need of services i.e., below 60%.
▪ In case of multiple PRs, underperformance of one indicator for one PR results in over-performance of another
related indicator for another PR, when the actual performance of the latter is below 60% of the expected target.
▪ In case of disease grants with substantial investments in RSSH and/or CRG related modules, which include
both coverage indicators and Work Plan Tracking Measures (WPTMs), if the overall WPTM rating is below 60%,
42
Or Work Plan Tracking Measures if there are no coverage Indicators signed with the Performance Framework.
Page 63 of 80
the Quantitative Indicator Rating can be downgraded by one rating point.
▪ Other, to be selected in exceptional circumstances and well elaborated
If a technical adjustment is required, the LFA selects the appropriate technical adjustment rationale.
The LFA is required to include any relevant comments that will help to better understand the rationale for a given
rating, including a summary of any major issues in functional areas that can put successful program implementation
at risk.
10.C.2. LFA assessment of performance, including key risks, challenges, or capacity gaps that can
negatively impact quality grant implementation and achievement of targets during the remainder of the
implementation period.
The LFA provides an overall summary of the grant performance, taking into consideration PR self-evaluation,
verified results and findings emerging from the PU/DR verification and other work done by LFA.
The assessment integrates qualitative and quantitative aspects, clearly articulating performance issues identified,
including linkages between programmatic, financial, HP-PSCM and grant management areas. The LFA is required
to specify emerging risks that can compromise implementation delivery in the remainder of the implementation
period, linking to the identified risks and issues flagged in the LFA Findings and Recommendations (Tab 11) or
other sections.
As part of this review, the LFA is expected to highlight any issues identified during the verification of the PU/DR
which relate to the utilization or possible misappropriation of funds at the PR and SR levels.
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10.C.3. LFA review of PR forward-looking assessment on implementation delivery by module.
Similar to the PR section (10.A.3), the LFA is required to provide a qualitative assessment for each module for the
coming reporting period, taking into consideration PR self-evaluation, contextual knowledge of the operating
environment and any other relevant information available based on the PU/DR verification completed.
Relevant modules for reporting are prepopulated in the form based on the signed PF and Budget, alongside the
answers provided by the PR for reference.
Cumulative absorption rate through the end of the reporting period is provided for reference and is calculated as a
ratio of cumulative cash outflow to cumulative budget amounts to date, based on the PR expenditures reported.
The LFA selects the most appropriate answer from the drop-down menu using the scale provided (refer to 10.A.3
above), comments on the grant trajectory and any identified or foreseen potential bottlenecks, and captures
recommended actions to address them.
10.C.4. LFA assessment of effectiveness of implementation arrangements
The LFA elaborates on whether the current implementation arrangements continue to provide a fit-for-purpose
operational setup.
Please note: Unlike the implementation arrangements assessment conducted following a specific request of the
Global Fund (e.g. during Grant Making), the LFA is not expected to perform a detailed review of the implementation
arrangements at this stage.
The LFA is required to provide a short analysis and opinion of whether the existing implementation arrangements
continue to support quality delivery of the program, based on the results and the PR-reported information, their
subsequent review, and site visits conducted outside of the PU/DR verification process. The LFA is required to take
into consideration, as applicable, any recent changes to the program (e.g. rolled out through a revision process) that
have positively or negatively affected implementation delivery.
The outcomes of such analysis can inform a need to conduct a subsequent, more profound assessment focusing on
the specific areas of concern as identified by the LFA during the PU/DR verification.
Any recommendations to perform an immediate modification to the implementation arrangements, without

conducting a detailed assessment, are to be justified and well supported, capturing clear evidence-based
explanation for the change rationale, including programmatic, procurement and financial implications on
implementation delivery, as well as on operational considerations, such as timelines and funding.
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The LFA is required to review the PR’s comments on contextual factors (e.g. force majeure, political and civil issues
at the country level) which are beyond control of the program, and which have or can have an impact on the
program, and provide their own comments based on their analysis/review.
If the PR has indicated any planned changes in the program, the LFA is required to comment on these planned
changes, specifically their rationale and expected benefits and the PR’s capacity to implement these changes.
If the LFA is aware of planned changes that have not been mentioned by the PR, the LFA is required to mention
these changes and also seek clarification from the PR.
10.C. 5. LFA recommendations for Global Fund attention in the coming reporting period
The LFA provides the top five key recommendations and appropriate actions for Global Fund attention, which will
drive the implementation of the program forward while addressing critical bottlenecks in implementation delivery.
The recommendations captured in this section can differ from the recommendations captured in the LFA Findings
and Recommendations section in their nature and focus on the strategic and cross-cutting issues the program is
facing.
Recommended actions can vary depending on the unique portfolio / grant context. The LFA is required to apply
professional judgment and profound understanding of the operating environment when preparing such
recommendations.
The underlying issues and/or root causes can be pertinent to specific thematic area(s): programmatic, financial, HP-
PSCM and/or governance. The LFA is required to select the appropriate area in the drop-down menu as shown in
the screenshot below.
The LFA:
▪ Ensures that each recommendation is specific, measurable, time-bound, actionable and reflects how the
proposed action will benefit the program in the short-, mid-, or long-term, including impact on the quality of
implementation delivery for the selected functional area.
▪ Captures the resulting implications in case of no action taken, clearly articulating negative effects on the
program, implementation of the core activities, timelines, and funding.
▪ Assigns the recommendations specifically to the Global Fund for the purpose of supporting prioritized decision
making and Global Fund action.
Page 66 of 80
Assessing quality of the PU/DR PR submission
The LFA assesses the completeness and accuracy of the information submitted by the PR for the reporting period,
including in the PU/DR and in supporting documentation.
The reference scale is provided below:
Dimension No Issues Minor Issues Major Issues

Completeness of All information as required Core information provided Core information is missing
information and by Global Fund and as however relevant contextual and/or required sections
comment captured in the form / details are missing. LFA can were left blank by the PR.
instructions is provided by proceed with verification. LFA is not able to proceed
PR. with verification based on the
information provided. A
partial / full resubmission of
the PU/DR is required.
Accuracy of Financial and programmatic Calculations provided by the Calculations provided by the
information information and results PR are largely correct. There PR are largely incorrect, do
correctly calculated as per are minor inaccuracies in the not follow provided
Global Fund Modular information provided which methodology / instructions or
framework guidelines 43 and do not affect overall significantly deviate from the
grant Performance calculation of performance LFA-verified information.
Framework. metrics.
Additionally, the LFA is required to capture the date the first version of the PU/DR form was submitted to the Global
Fund as well as the final date of PR submission, in case of resubmission(s).
Tab 10.D. LFA Sign Off

By signing the verified version of the PU/DR, the LFA Signatory for Disbursement Requests acknowledges that the
information captured in the LFA – verified sections is complete and accurate.
At sign-off, the LFA is required to provide:

▪ Summary of verification approaches and methods for thematic areas, data and quality assurance.
▪ Indication of percentage of expenditure verified at PR or SR level.
▪ Number of site visits made, if any.
▪ Tender documents verified.
▪ Any other material parts of the verification approach LFA agreed upfront with Global Fund, based on
country/grant risks.
Please note: The approach to verification can be reviewed jointly between LFA and Global Fund on an annual basis.
After completing the verification of the PU/DR, the LFA Signatory for Disbursement Requests is required to sign a
printed or electronic version of the PU/DR form, and the LFA Submitter submits this attachment to the Global Fund
via the Global Fund Partner Portal,44 in addition to the full PU/DR form.
43
Further information available in the Modular Framework Handbook.
44
For further details on the steps to be completed in the Partner Portal, refer to the following link:
https://www.theglobalfund.org/media/11753/fundingmodel_pudr-interactive_guide_en.pdf
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9. LFA Findings & Recommendations (LFA only)
In this section, LFAs are required to document major issues identified that impact grant implementation or
achievement of results, and recommendations to address them. Attention should be paid to thematic areas
(programmatic, financial and health products procurement and supply chain management) and issues such as
programmatic governance, including PR management of SRs, and critical management issues (poor data quality,
procurement delays, ineligible expenditures, etc.).
The LFA is required to ensure grants comply with Global Fund requirements.
The LFA completes the LFA Findings and Recommendations tab and:
▪ Lists all/any major issues/risks which impact grant implementation/achievement of results, proposing a
mitigating measure for each. Examples include key issues identified through LFA assurance services provided
during the reporting period, as relevant, and/or findings reported in the previous sections of the PU/DR.
▪ Provides an analysis of immediate or anticipated adverse impact of such major issues on program
implementation and achievement of results.
▪ Identifies persistent or recurring issues as unresolved management actions by the PR45.
▪ Lists any major issues/risks which impact grant implementation or achievement of results, proposing a
mitigating measure for each. Examples can be key issues identified through LFA assurance services provided
during the reporting period, as relevant, and/or findings reported in the previous sections of the PU/DR.
▪ Draws linkages between all findings and issues identified.
▪ Classifies identified issues into one of the thematic categories listed in the drop-down menu; and
▪ Recommends for each of the identified issues, mitigating actions and/or capacity-building/strengthening
measures to be implemented by the PR. These are to be relevant, specific, measurable and actionable by the
PR within a reasonable time frame.
▪ Provides relevant, specific, time bound, prioritized and actionable recommendations aimed at improving program
implementation
Please note:
▪ An issue is classified as ‘major’ if it impacts on or is likely to impact on program implementation and results.
▪ The severity classification of issues is based on the LFA’s professional judgment.
▪ Global Fund uses the recommended remedial measures to define assurance activities for the mitigating
actions to be communicated to the PR.
▪ Recommended remedial actions are to be prioritized to the most relevant, critical, and impactful.
45
See 7.Grant Management of this guidance document for further details.
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10. PU/DR Annexes
Section 1 Annex on PR Financial Commitment, Obligations & Accrued

Severances
This annex allows the PR report on financial commitments, obligations, and accrued
severances. The Global Fund requires the PR to provide financial commitments and
financial obligations analyzed between those at their level and those at the level of their
SRs, and accrued severance entitlements.46 The PR is required to use the provided form
only when submitting the final PU. In other instances, PR may opt to submit extracts from
the PR financial systems as supporting evidence.
The review of the PR Cash Information Form is not part of the scope of work of the LFA unless otherwise agreed with
the Global Fund.
46
Refer to section 7.1.3 of The Global Fund Guidelines for Grant Budgeting.
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Section 2 Annex on Financial Triggers (Focused Portfolios Only)
PRs of focused portfolios:
▪ Assess whether any of the circumstances (i.e., triggers) listed in the table apply and
respond with a YES or NO, depending on the existence of the trigger;
▪ Provide, for any YES answer, comments with further details, including rationale for
the existence of the trigger and how compliance with the Global Fund policies will
be achieved; and
▪ Provide additional comments, for any NO answer.
The LFA is required to verify the responses provided by the PR and include additional comments where needed.
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11. Local Fund Agent Scope of Work
11.1 Scope of work
Prior to commencing their review of the PU/DR, the LFA confirms the scope of work, the
verification approach, and the estimated Level of Effort with the Global Fund. If, during the
review, circumstances arise that impact the Level of Effort agreed with the Global Fund, the
LFA informs the Global Fund immediately and re-negotiates the scope and Level of Effort.
In their review, the LFA exercises professional judgment and seeks further clarifications
from the Global Fund, as needed.
The scope of the LFA’s verification varies depending on factors including the portfolio
categorization, assessed level of grant risks,47 disease burden, materiality, country/grant
context, and available Global Fund resources.
The LFA:
▪ Verifies the validity, accuracy, quality and completeness of the PR-reported
information, including availability of supporting documentation and against source, as
per the agreed scope of work and requirements stated in this document.
▪ Drawing on historical and contextual knowledge of the grant/country, including from
previous reviews or routine monitoring of risks, uses a risk-based approach to define
a verification methodology (including data sampling criteria or sampling size, where
relevant) consistent with the risk level in each of the functional areas
(programmatic/monitoring and evaluation, finance, health product procurement and
supply chain management, and governance), and discloses this methodology to the
Global Fund;
▪ Identifies and assesses any risks of material misstatements or omissions in reported
information and reviews the effectiveness of internal control procedures put in place
by the PR to mitigate risks.
The LFA’s report to the Global Fund must be timely and accurate, based on sound analysis,
supporting documentation and reliable recommendations.
The following Tabs require LFA review only if requested by the Global Fund. The LFA should
engage with the Global Fund to determine whether such review is required.
LFA review in Focused portfolios
Unless otherwise agreed between the Global Fund and the LFA, the scope of LFA review in
focused countries differs from that of High Impact and Core portfolios (and the guidance
included in this document for each respective sections) as follows:
47
LFA will contact the Global Fund for more information
Page 71 of 80
Programmatic Reporting:
▪ Data verification is not required except in exceptional circumstances when data
consistency checks and spot checks/Data Quality Reviews are not sufficient to address
serious data quality issues.
▪ The LFA normally only undertakes data consistency checks (desk reviews), verifying for
basic mistakes in the data sent by the PR to the Global Fund, including:
o the use of % instead of absolute value; no denominator, empty cells, etc.
o the impact and outcome indicators that are due for reporting as per the
Performance Framework are reported upon.
o all modules and programmatic indicators due for reporting in the current reporting
period are reported upon.
o the results are reported consistently with targets in the Performance Framework.
▪ Such consistency checks are not data verifications against source documents. The
results of this check are entered in the column “Verified Results”. If the result is different
from the result reported by the PR, the nature of the adjustment is explained.
▪ The Level of Effort is estimated at maximum two days.
Financial Reporting:
▪ Financial commitments and financial obligations are reviewed only if requested by the
Global Fund.
Health Product Procurement and Supply Chain Management Reporting:

▪ Risk of stock-out and expiry – review not required. In exceptional circumstances, based
on considerations of risk, materiality and type of health products procured, the Global
Fund can request the LFA to provide an analytical review of the stock status report.
In other areas, the LFA follows the guidance provided in the respective sections in this
document.
The LFA scope is summarized in the following table:
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Report Type PU/DR PU* Final PU
Tab High High High
Portfolio Type Core Focused Core Core Focused
No Impact Impact Impact
Programmatic Reporting
Impact/Outcome Focused portfolios – Data
1A NA NA
Indicators verification is not
Impact/Outcome required. LFA performs
1B Indicator consistency checks only;
Disaggregation exceptional
Coverage circumstances, data
1C consistency checks and
Indicators
spot checks/DQRs are Required
Coverage Required
not sufficient to address Required NA
1D Indicator
Disaggregation serious data - quality
Workplan issues.
Tracking
1E
Measures
(WPTMs).
Financial Reporting
Items 6.1-6.8 – LFA
completes the respective
fields based on the
information reviewed at
PR Cash
the PR level. A detailed
2 Reconciliation Required Not applicable Required
review of each SR’s
underlying records is not
required, unless
specifically asked by the
THEMATIC REPORTING REQUIREMENTS
Global Fund
SR Cash -
3 Global Fund request NA NA Global Fund request
Reconciliation
Recipient
-
4 Expenditures Required
Report
Recipient
Expenditure
5 - Required
Report for
C19RM Activities
For PU/DR reporting, the
LFA review of the
Forecast and
Disbursement tab does
not need to be completed
unless otherwise agreed
with the Global Fund.
The Global Fund and the
Forecast &
6 LFA agree on any Not applicable
Disbursement.
information to be
provided and its format,
to allow for flexibility
considering reviews done
as part of reprogramming
and cash releases and to
avoid duplication of LFA
efforts.
7 Tax reporting. Required NA Required
Health Products and Procurement and Supply Chain Management
A. Price Quality Table B is not required
Table A: Required Table A: Required
Reporting. for Focused Portfolios,
B. Risk of Stock unless in exceptional Table B: Table B:
circumstances based on Only if Only if
out and Expiry.
considerations of risk, requested requested
F. Additional materiality and type of Required by GF Required by GF
8 Information. health products procured, Required
G. Value of the Global Fund may Table F: Table F:
Pharmaceuticals request the PR to submit NA NA
and Health a stock status report and
Products in the the LFA to provide an
PQR (For LFA analytical review of the Table G: Required Table G: Required
use only). latter.
*: Does not apply to Focused Portfolio R: Required NA: Not applicable
Page 73 of 80
Tab High High High
No Portfolio Type Core Focused Core Core Focused
Impact Impact Impact
Whether or not a desk
review or onsite input of the
PSM or M&E/Public Health
CROSS-CUTTING REPORTING REQUIREMENTS
expert is required will be

dependent on and
Grant
9 determined by: Required
Management
▪ The nature of the grant
requirements and/or
management actions.
▪ The Global Fund’s
request for review.
LFA review of PR forward-
looking assessment on
Assessment
10 implementation delivery by Required
and Sign-off.
module is not required for
the Final PU
Focused Portfolios:
Required If LFA has
LFA Findings
relevant information e.g.,
and GF GF
11 from assessments /spot Required Required Required
Recommendat Request Request
checks performed in the 12
ions.
months preceding the
PUDR
Annexes
Financial The review of the PR Cash
Commitments, Information Form is not part
Financial of the scope of work of the
I GF request NA GF request
ANNEXES
Obligations LFA unless otherwise

and Accrued agreed with the Global
Severance. Fund.
Financial The LFA is required to
Triggers: verify the responses
II Required for provided by the PR and NA R NA NA R
Focused include additional
portfolios only. comments where needed
*: Does not apply to Focused Portfolio R: Required NA: Not applicable
Page 74 of 80
11.2 Recommended approach for the review and verification of
information
In discussion with the Global Fund, the LFA ensures that a clear link exists between the
risks identified and the verification methodology adopted.
LFA verification is undertaken in the following ways:
▪ The LFA reviews data at the PR level. This includes databases of information,
reports from the lower levels or any data system that aggregates the data e.g.,
DHIS-2.
▪ In addition to email and telephone communication, the LFA meets with the PR’s
program managers, monitoring and evaluation, procurement, finance, and
accounting staff. The LFA can also engage key SR staff as needed.
▪ In exceptional circumstances, the Global Fund can request an extended scope of
work from the LFA, which can involve detailed reviews of SR reporting. Such
additional work can be requested where critical issues/risks are identified outside
the realm of the PU/DR scope of work and verifications (e.g., requiring verification
at the level of SRs, Sub-SRs, suppliers, and other stakeholders). As a rule, spot
checks beyond the PR level are be conducted outside of the PU/DR review.
11.3 Sources of information
Accounting and programmatic records remain the primary source of information used in
the LFA’s review and analysis. Other sources of information can include:
▪ Published reports on funding for the relevant disease component in each country or
country cluster from other donors, the government or civil society organizations.
▪ Surveys/study reports.
▪ Information published by the Global Fund on its website (www.theglobalfund.org),
e.g., disbursements report by grant.
▪ Tender announcements for procurement of products and services.
▪ Mainstream media.
▪ Other sources (e.g., audit reports, data quality audit reports, Office of the Inspector
General reports).
Page 75 of 80
12. Overview of Reporting Requirements

Once per Implementation
Frequency of Reporting Once per year Once per year
Period
Period Covered by the Report As defined in the PF 6 months As defined in the PF
High High High
Tab Reporting Requirement
Content Summary
No Programmatic Information
Progress against impact/outcome
1A Impact/Outcome Indicators Required R
indicators
Disaggregated results for relevant
1B Impact/Outcome Indicator Disaggregation NA NA
impact/outcome indicators **
Progress against coverage

1C Coverage Indicators R R
indicators Required
Disaggregated results for relevant Required
1D Coverage Indicator Disaggregation coverage indicators**
NA NA
Reporting to cover assessment of
1E Workplan Tracking Measures (WPTMs) modules that do not have any R R
coverage/outcome indicators
Financial Information
PR Cash Reconciliation: Reporting on opening and closing
cash positions at the PU period end,
A. PR cash reconciliation statement in
showing the movements in cash
Implementation Period (IP) currency (cash inflows and outflows), during
B. Schedule of open advances in IP the period covered by the PU
currency
2 C. PR financial commitments and The cash reconciliation report Required Not applicable Required
obligations covers cash balance of the PR in
D. Triangulation of financial figures support of Global Fund
E. PR bank statement balance & cash in disbursement decisions
transit in IP currency
F. PR ineligible transactions in IP currency
R = Required.
NA = Not Applicable.
*
Not Applicable for Focused Portfolios.
** Applicable for Focused Portfolio, only if requested by CT and in exceptional cases.
Page 76 of 80
High High High
Financial Information (Continued)
Financial data on the management of
SR Cash Reconciliation:
SR advances and reconciliation of
3 A. PR reconciliation of funds provided Required Not applicable Required
funds provided to SRs at a given PU
to SRs for the current IP
period end date
Reporting on the total in-country
Recipient Expenditures Report: expenditures (incl. C19RM funding) for

A. Breakdown by Costing Dimension the current and cumulative financial
4
B. Breakdown by Module / Intervention reporting periods, incl. variance
C. Breakdown by Implementing Entity analysis against the approved activity
plan and approved budget
Recipient Expenditure Report for Reporting for in-country C19RM Required

C19RM Activities: expenditures only for the current and
A. Breakdown by Costing Dimension cumulative financial reporting periods,
5 B. Breakdown by Module / Intervention including variance analysis against the
C. Breakdown by Implementing Entity approved activity plan for C19RM
D. Indicative Cash Balance for C19RM activities and approved funding for PRs
Allocation and SRs
The PR’s forecast and disbursement

request for the execution and buffer
6 Forecast & Disbursement periods, including breakdown by Required Not applicable
implementing entity and type of funding
(regular/ C19RM) as applicable
Tax reporting for applicable import
7 Taxes reporting duties and VAT on goods and services Required Not applicable Required
paid from disbursed grants
*
Page 77 of 80
High High High
Financial Commitments,
Reporting on current accounts payable and
I Financial Obligations and Flexible Format48 Not applicable Required
creditors
ANNEX
Accrued Severance
Financial Triggers: The PR’s evaluation on whether specific
II Required for Focused contextual circumstances are applicable in the Not applicable R Not applicable R
portfolios only reporting period
Health Products and Procurement and Supply Chain Management49
A. Price and Quality Reporting Price and Quality Reporting (PQR) status50 for
procurement of key pharmaceuticals and Required

health products
B. Risk of Stock out and Analysis of risk of stock-out and expiry of key Only if Only if
Expiry pharmaceuticals and other health products requested requested
8 critical to the delivery of major health Required by the Required by the
interventions Global Global
Fund Fund
F. Additional Information. Additional information/ any issues related to
procurement and supply management of Required NA Required NA
pharmaceuticals and other health products.
G. Value of Pharmaceuticals Value of health products reported in the PQR
and Health Products in the vs. value of health products subject to PQR
PQR (For LFA use only) reporting received during the reporting period. Required
This section is for LFA use only and requires
no input from grant PRs.
*
48
Flexible Format – The PR is required to report on the detailed breakdown for the Financial Commitments, Financial Obligations and Accrued Severance. The PR may choose to submit
the direct output from the PR’s financial system as supporting evidence or, at the discretion of the Global Fund, complete the annex in the format provided in the PU/DR for Y1, Y2 and Y3.
Please note: The PR is required to complete the detailed breakdown for the Financial Commitments, Financial Obligations and Accrued Severance using the format provided in the PUDR
for the Final PU only.
49
Other sections presented on the HP-PSCM worksheet by default are not applicable to focused portfolios, except those classified by Global Fund on ‘opt-in’ basis.
50
PQR database to be updated every time the PR procures and receives health products that are subject to PQR reporting.
Page 78 of 80
High High High
Crosscutting (continued)
PU/DR on completion / ongoing status of

9 Grant Management the grant agreement requirements and
management actions
▪ Integrated performance assessment,
including external factors that have
CROSS-CUTTING REPORTING REQUIREMENTS
negatively impacted program

implementation and planned changes
in the grant
▪ Forward-looking PR and LFA
10 Assessment and Sign-off assessment of implementation
progress, by module51
Required.
▪ LFA evaluation and quantitative
indicator rating
▪ LFA top-five key recommendations
for Global Fund attention
▪ PR and LFA sign-off pages
Issues and recommendations identified
by the LFA to address in the areas of
Programmatic/M&E, health products
LFA Findings and
11 management, financial management and
Recommendations
systems, as well as PR program
management and governance, including
management of SRs
*
51
Not applicable for Final PUs.
Page 79 of 80
13. Additional Resources
For general guidance:
▪ Operational Policy Note on Implementation Oversight

▪ Guidelines on Implementers of Global Fund Grants
For guidance on the programmatic section:
▪ Modular Framework Handbook
For guidance on the finance section:
▪ The Global Fund Guidelines for Grant Budgeting

▪ The Global Fund Audit Guidelines
▪ Global Fund Grant Regulations (2014)
For guidance on the health products procurement and supply chain management (HP-
PSCM) section:
▪ Guide to Global Fund Policies on Procurement and Supply Management of Health

Products
▪ Quick guide to Global Fund’s PQR system.
Page 80 of 80

Fundingmodel Pudr Instructions en

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Progress Update and

Date Published: 17 February 2022

▪ AER - Annual Expenditure Report

To facilitate oversight of Global Fund-supported programs, PRs submit regular updates

▪ Review implementation progress of each grant, including programmatic, financial,

2.1 PU/DR Reporting Process

Diagram 1. High-level PU/DR Reporting Process

Reporting frequency is defined in the PF. Generally, the PU covers 6 months. It is

Diagram 2. PU/DR Timelines

3.1 Language Selection & Form Legend

3.2 General Grant Information & Reporting Periods

Type of Reporting Reporting Period Other Remarks

Cumulative Reporting end date to match the end

A 12-month period during which

A max 6-month period, following

Please note: In cases of significant currency rate fluctuations, a separate average

3.4 Executive Summary

Tab 1.A & Tab 1.B. Impact/Outcome Indicators, Including Disaggregation

a. Previous year results against the previous year target

The PR provides a performance analysis, including comments on:

▪ Results achieved, including any variations in results from agreed targets.

Specific LFA Requirements

The PR reports results and ensures:

The PR provides performance analysis, including comments on:

▪ Reasons for variations in results from agreed targets.

The PR is required to:

The LFA then:

Recommended review scope for reported results:

Implementation progress during the reporting period Status

No progress against planned milestone or target Not started

Less than 50% of the milestone or target Started

Specific LFA Requirements

General principles of financial reporting to the Global Fund and key

▪ To assist grant management: Having financial breakdowns and variance analyses,

Please note: In cases of significant currency rate fluctuations, a separate average

▪ Financial commitment: A current contractual obligation to pay a specified amount

Restatement of financial information reported previously for the same

Reporting under fiduciary agency (including fiscal agent) arrangements

The PR Cash Reconciliation Statement (hereinafter referred to as the cash reconciliation

This statement is required to be completed in the currency of the grant, as stipulated in

The cash reconciliation statement is required to:

In addition, in case of a program continuation (signing of a grant for a subsequent

Tab 2A. Opening Cash Balance at Start of IP

Item 2. ‘IP Income’

Item 2.6 – ‘Tax refunds received (e.g., VAT/other tax returns)’

Item 2.7 – ‘Total IP Income’

Please note: Reimbursements received by the PR from suppliers (PPM / wambo.org or

Specific LFA Requirements

Requirements for Items 2.3a, 2.3b. 2.4, 2.5, 2.6, 2.7.

Item 3. IP Cash Outflows

These represent the cash outflows attributable to activities implemented by the PR to be

Item 3.4a and 3.4b – ‘Principal Recipient disbursement to Sub-Recipients’

Item 3.5 – ‘Bank charges on disbursements and payments’

Item 3.6 – ‘Total IP Cash Outflows’

Specific LFA Requirements

Requirements for Items 3 (Items 3.1a – 3.6).

These adjustments have been categorized as follows:

Item 4.1 – ‘Other reconciliation adjustments (including for previous financial