Challenges

In today’s international development cooperation, financial assistance in the form of grants plays a pivotal role in driving sustainable progress across sectors and regions. Eligible grant beneficiaries receive cash or in-kind contributions from a benefacting institution, grantor, or donor to support objectives of public interest.

Grantors may include governments, multi-national organisations, private sector actors, or international institutions. Unlike loans, grants do not require repayment by the beneficiaries. This makes them a flexible and effective mechanism for delivering financial assistance, often enabling the rapid and tangible achievement of predefined objectives. Grant schemes are typically time-bound, and their efficiency is assessed on the basis of key performance indicators (KPIs).
  
The roll-out and management of grant schemes is not free of challenges in fulfilling their purposes:

  • Complex compliance requirements: Grant recipients must adhere to a myriad of grantor rules, regulations, and reporting obligations. Ensuring compliance while meeting programmatic goals demands significant expertise and oversight.
  • Accountability and transparency: Grants are often funded by taxpayers or charitable contributions, which makes financial transparency and traceability of utmost importance. Mismanagement can erode trust and reduce impact.
  • Institutional capacity gaps: Many implementing entities, especially in fragile or resource-limited contexts, lack the systems and skills to manage grants effectively and report against KPIs.
  • Coordination of multiple stakeholders: Grant schemes typically involve a wide array of actors such as donors and governments, NGOs and local communities. All of them have their own expectations, timelines, and reporting standards.
  • Risk of fraud and misuse: Without proper financial controls, the risk of corruption, fraud, and misappropriation remains high, particularly in complex or unstable environments.

GFA CONCEPT AND SERVICES

GFA’s Public Finance Management (PFM) Department offers end-to-end, solution-oriented grant management services designed to safeguard donor funds, ensure impact, and strengthen local systems throughout the entire grant management cycle. Our approach is grounded in over 25 years of experience and guided by international best practices, adapted to local realities.
 
We provide comprehensive support across the entire grant lifecycle:

PRE-AWARD PHASE

  • Designing transparent and effective grant schemes
  • Developing call-for-proposal mechanisms
  • Capacity assessments of prospective beneficiaries
  • Establishing evaluation and selection procedures

AWARD PHASE

  • Contracting with selected grant recipients
  • Training recipients on financial and administrative compliance
  • Supporting budgeting, procurement planning, and KPI alignment

POST-AWARD & IMPLEMENTATION PHASE

  • Monitoring fund utilisation and KPI achievement
  • Ongoing technical assistance and mentoring
  • Risk management and internal controls
  • Financial reporting and audit preparation
  • Final evaluation and close-out

In addition, we offer the establishment of Grant Support Teams (GSTs), as successfully implemented in regions such as Northern Cyprus and various African countries, to ensure localised, agile support and capacity development.
Our services are enhanced through:

  • Proven experience in managing grant volumes exceeding 13 billion euros across more than 30 countries State-of-the-art digital solutions for fund tracking and reporting
  • Training tailored to donor and beneficiary needs
  • Coordination with stakeholders across sectors and governance levels

Whether for donors, governments, NGOs, or private sector partners – we ensure that grant mechanisms are not only technically sound and transparent but also practical and fit-for-purpose in the contexts in which they operate.

Contact

Cristian Ferreri
Department Director
E-mail: cristian.ferreri[at]gfa-group.de






Photo title: Calin-Andrei STAN | Fotolia

DOWNLOAD FACTSHEET

English