In order to ensure that funding is available within a replenishment period (or a pre-determined period) for grant renewals, the Board decides that a new commitment reserve be created for this purpose. Under this measure, the amount of assets determined to be available for approval of a new round may be reduced by an amount to be added to this reserve to ensure that funding is available for forecasted grant renewal needs during the subsequent three years.
The Board amends the Comprehensive Funding Policy1 by deleting the existing Section 3.d and replacing it as follows:
"The Board may approve proposals and commit funds for the resulting financial commitments up to the cumulative uncommitted amount of assets that the Board determines will be available at the time the Secretariat commits the funds in the related grant agreements. When making this determination, the Board will set aside the amount of assets required to meet forecasted grant renewal needs in respect of the subsequent three years (a 'Commitment Reserve'), taking into account projections regarding available donor contributions for the same three-year period provided by the Finance and Audit Committee with the support of the Secretariat."