With respect to Round 9 and National Strategy Applications (NSAs), the Board recognizes that:
i. currently a large proportion of funding commitments made by the Global Fund are for a three year period, with the entire funding commitment being made at the time of grant signature;
ii. it is preferable to make three-year funding commitments in two tranches of an initial two-year period and an additional one-year period;
iii. commitment of the additional one-year period can be undertaken in a manner that minimizes funding uncertainty and additional transaction costs; and
iv. certain other measures are required to be put into effect in order to fund the current demand for funding.
Therefore, the Board decides as follows:
1. The Board approves the addition of paragraph 3.c. of the Comprehensive Funding Policy (approved at the Sixth Board Meeting and amended at the Thirteenth Board Meeting and Fifteenth Board Meeting (GF/B15/DP27)) as presented in Annex 5 Version 2 to the Report of the Working Group on Managing the Tension Between Supply and Demand (GF/B20/12).
2. Round 9 proposals, National Strategy Applications:
a. The Round 9 proposals and National Strategy Applications shall be subject to an overall 10% adjustment for efficiency, resulting in a maximum limit of 90% of the TRP-recommended amount for the first two years of implementation.
b The Secretariat shall commit funds for Round 9 and NSAs limited to 90% of the approved funding (an "Initial Commitment") and an anticipated financial commitment for the remaining year of the approved additional funding, to be committed not earlier than 12 months after the starting date of the Initial Commitment, conditional upon the availability of funding (a "Continuing Commitment"). Continuing Commitments shall have the first funding priority under paragraph 8 of the Comprehensive Funding Policy.
3. Round 9 and National Strategy Application additional commitments: Approval by the Board of additional commitments for Round 9 proposals and National Strategy Applications shall be subject to a collective maximum limit of US$2,852 million (being 75% of the amounts requested in Round 9 proposals for the third, fourth and fifth year
of implementation and 75% of the amounts requested in NSAs for implementation periods beyond the first two years). These limitations, as well as the limitations placed on Round 8 Phase 2 in the decision entitled "Funding Decisions" made at the 18th Board meeting (GF/B18/DP13, paragraph 2) shall be increased from 75% to 90% when new resources become available, subject to approval by the Board at that time.
4. Due to the measures outlined in this decision, which increase the amount of funding available in 2011, the last sentence of paragraph 4 of Decision GF/B18/DP13 is deleted.