World Bank Agreement negotiation

UNICEF and the World Bank (WB) have developed a Model Agreement for the Procurement Services on behalf of World Bank Government borrowers (Hereafter “World Bank Funding Agreement”). The WB Funding Agreement constitutesthe legal framework for procurement with WB funding, providing that the WB transfers the funds directly to UNICEF. Please note that the WB Funding Agreements are Non- Standard Agreements and, therefore, a delegation of signature from SD Director and quality assurance from PSC are required before signature.

Prior the signature of the WB Funding Agreement, please consider the following checklist for the negotiation and implementation of the WB Funding Agreements:

  1. The UNICEF CO informs Supply Division – Procurement Services Centre that the negotiations for a procurement services project funded by the WB are underway.
  2. The Procurement Services Centre sends the WB Funding Checklist to the CO. The Checklist is a form which helps the CO in obtaining the required information on the project and the financial agreement between the WB and Government (including total ceiling, credit number, project title and short project description, the date of the Financial Agreement between the WB and the Government, etc).
  3. The PS Risk and Policy Specialist coordinates the drafting and finalisation of the WB Funding Agreement with the CO and the relevant SD Business Units.
  4. The Government requests "Non Objection to contract" from the WB.
  5. The UNICEF SD Director grants Delegation of Signature for the WB Funding Agreement to the UNICEF CO Representative(UNICEF PSC requests this authorisation).
  6. PSC sends the WB Funding Agreement and the Delegation of Signature to the CO, to the attention of the CO Representative.
  7. The CO forwards the WBFunding Agreement to the Government for signature prior to signature by CO Representative.
  8. The Government signs and dates two copies of the WB Funding Agreement.
  9. After checking that no changes have been introduced to the WB Funding Agreement, it is signed and dated by the UNICEF CO Representative. Once signed, a copy of the WB Funding Agreement shall be returned to the partner for its records and an electronic copy shall be forwarded to (to the attention ofPS Risk and Policy Specialist).
  10. The Government files a blanket withdrawal application for the total ceiling of the WB Funding Agreement. The Government should send a copy of the Blanket Withdrawal to the UNICEF CO (to be shared with PSC and with the relevant SD Business Units).
  11. TheCO forwardsthe Government’s procurement requests to ..
  12. SD issues a Cost Estimate (CE).
  13. The Government reviews and accepts in writing the CE within the established validity period.
  14. SD delivers a Payment Request (Template in Annex V of World Bank Funding Agreement) to the WB based on the Government’s acceptance of the Cost Estimate and the Blanket Withdrawal Application sent by the Government to the World Bank.
  15. The WB transfers funds to the UNICEF SD.
  16. Both SD and CO (for local procurement and/or Services) Purchase Orders should not be placed against World Bank banned suppliers, so please check the following link before placing local orders:
  17. SD initiates procurement.
  18. SD may reduce quantities in case of increase of prices or freight etc. In case of overruns, the Government remains liable to pay.
  19. The CO requests “Acceptance of the delivery” (Annex VI of the World Bank Funding Agreement) from the Government and sends a copy to the WB Focal Point in SD.
  20. In the event that the statement of account indicates a balance of funds in favour of the Government, the Government will consult with the WB and provide payment instruction to SD with respect to the balance