Multi-Donor Trust Funds & Joint Programmes

Administrative Agent

Multi-Donor Trust Funds | Joint Programmes | UNDP MDTF Office

Under the pass-through fund management modality donor contributions to a Multi-Donor Trust Fund (MDTF) or a Joint Programme (JP) are channelled through one of the Participating UN Organizations, referred to as the Administrative Agent (AA). The AA is jointly selected by all Participating UN Organizations and acts as their donor interface.

In selecting the AA, the Participating UN Organizations take the following elements into consideration: i) country presence; ii) financial and administrative capacity to interface between donor(s) and participating UN organizations; and iii) thematic, functional and geographical area of expertise in the area covered by the programme.

In accordance with the UNDG "Protocol on the Administrative Agent for Multi Donor Trust Funds and Joint Programmes, and One UN Funds", the principal functions of the AA include:

1. Receipt of contributions from donors;
2. Administration of funds received;
3. Disburse funds to each of the Participating UN Organizations in accordance with instructions from the Steering Committee/Resident Coordinator (on behalf of the Steering Committee);
4. Consolidate statements and reports, based on submissions provided to the AA by each Participating UN Organization;
5. Provide final reporting, including notification that the MDTF/JP has been operationally completed;
6. Disburse funds to any Participating UN Organization for any additional costs of the task that the Steering Committee may decide in accordance with TOR/Joint Programme Document/One UN Programme.

As AA of MDTFs and JPs, UNDP’s management fee to cover the cost of performing the above functions is one percent (1%) of total donor contribution, deducted at the time of donor deposits. The one percent management fee is based on an assumption of a minimum contribution by each donor as well a minimum total amount of resources in order to make the one percent viable to cover the AA’s costs for the duration of the MDTF/JP.

When UNDP is selected as the AA, the accountability for UNDP’s function as AA in MDTFs and JPs using pass-through arrangements has been delegated to the Executive Coordinator of the MDTF Office, reporting to the Assistant Administrator and Director of the Bureau of Management, in accordance with the policy governing "UNDP’s Accountability when acting as Administrative Agent in MDTFs and/or UN Joint Programmes using the pass-through fund management modality". UNDP performs the AA functions in accordance with the UNDG AA Protocol.