PRINCIPAL RECIPIENT: MINISTRY OF FINANCE AND DEVELOPMENT PLANNING/ GLOBAL FUND COORDINATING UNIT

VISION
A nation with adequate resources to fight against HIV/AIDS and TB

MISSION

As global Fund Coordinating Unit (GFCU) of the Ministry of Finance and Development Planning, the Principal Recipient (PR) of the Global Fund grants in Lesotho, we manage and disburse grants effectively and efficiently to the Public and Private Sectors as well as Civil Society to contribute significantly in the fight against HIV/AIDS and TB.

Background

The Ministry of Finance and Development Planning (MOFDP) amongst other responsibilities functions as the treasury for all government entities and is tasked with acquiring funds from sources both domestic and international and then disbursing and monitoring the use of such funds. Currently MOFDP manages the budgets of all 18 key government departments as well as several large projects from different donors (e.g. Millennium Challenge Corporation, World Bank, African Development ank, DFID, EC, Global Fund).

In 2003 the MOFDP was chosen by the Country Coordinating Mechanism (CCM) to be a Principal Recipient (PR) of a Round 2 grant from the Global Fund to fight HIV/AIDS, TB and Malaria (GFATM). This initial grant was in the amount of USD $34,312,000 and covered a period of five (5) years beginning in 2004. Originally secured for only two years (Phase I), the grant has since been renewed for an additional three years covering the 2006-2008 period (Phase ii). To ensure coordination and oversight of all Global Fund grant monies, the MOFDP established the Global Fund Coordinating Unit in 2004. While the MOFDP initially faced challenges associated with implementing a performance-based grant for the first time, the Ministry currently holds a B1 or “good performance” rating from the GFATM Secretariat in terms of its performance as a PR.

Since first being selected to serve as a GFATM grant PR, the MOFDP has been called upon to provide that service an additional three times. In 2005 the CCM selected MOFDP to serve as PR for a Round 5 GFATM grant covering the period of 2006-2011 in the amount of USD $40,346,059. Despite challenges associated with Round 5 grant implementation, the MOFDP has achieved a B1 or “good performance” ranking in relationship to that grant as well. In 2006 the CCM selected MOFDP as a PR for a Round 6 GFTM TB-oriented grant in the amount of USD $6,630,995. Most recently, in 2007 the CCM selected MOFDP to act as PR for a Round 7 GFATM grant covering the period of 2008-2014 in the amount of USD $33,264,808.

A snapshot for GF grants coordinated by PR, The Ministry of Finance and Development Planning (MOFDP):

• Round 2 (2004 to 2009) [HIV and TB] worth USD $ 34,312,000
• Round 5 (2006-2011) [HIV] USD $ 40,346,059
• Round 6 (2007-2012) [TB] USD $ 6,630,995
• Round 7 (2008-2013) [HIV] USD $ 33,64,808
• Round 8 (2009-2014) [HIV and TB] worth USD $47,201,007
• Round 9 (2010-2015) [HIV] USD $30,796,000

It should be noted that all these grants are implemented in two phases: Phase I which takes two years and Phase II which takes three years.

2. Financial Systems and expertise

The MOFDP through its Project Coordinating Unit for Global Fund Grant has established Finance Section that has complement staff of two people – Finance Manager and Senior Accountant to work closely with all the Sub Recipients.

Their responsibilities include:

• Record all transactions and balances which are currently undertaken by SRs
• Disburse funds to sub-recipients in a timely and accountable manner
• Prepare reliable financial statements
• Safeguard PR assets
• Is subject to annual auditing

3. Monitoring and Evaluation capacity

The Global Fund Coordination Unit currently has an M&E dedicated staff consisting of an M&E manager, an M&E Officer and a Data Officer. These personnel are dedicated to meeting GF M&E requirements, including:

• M&E collection (where there is gap of statistics and data from SRs), verification of collected data by SRs and recording of results
• Preparing programmatic Progress updates results for LFA and CCM
• Ensuring that all PR and SR monitoring and evaluation requirements are met.

5. Procurement systems

The MOFDP has contracted out to the MOHSW through its Procurement Unit and NDSO to undertake procurement of Health Products and non-health products under all grants.