1. IHP+ FM Harmonization and Alignment Update IHP+ Steering Committee 21 June 2016

2. General Principles
Align with country systems whenever they meet the minimum acceptable level.
Harmonize among development partners, when all or part of the national Public Financial Management (PFM) system is not sufficiently developed.
Agree and support implementation of a joint action plan that strengthens the national systems so as to bring about the necessary changes to make the alignment feasible.
Not wait until all problems have been solved, but use a step-wise approach by using elements of country systems as soon as possible as part of the process of improving systems and developing capacity.
01/01/2019

3. Financial Management Technical Working Group
Group formed in June 2014 with the approval of the Steering Committee to advance in-country work on FM harmonization and alignment
Membership is open to all IHP+ Partners
Current membership: World Bank- Chair, WHO, UNFPA, Global Fund, GAVI, EU, AfDB, KfW, USAID, Ethiopia, Sierra Leone, Senegal, and Nepal.
Meet via mostly via audio once every two months

4. Responsibilities
Identify good practices and lessons learned from FM harmonization and alignment efforts in the health sector in partner countries
Identify bottlenecks to FM harmonization and alignment among DPs and also at the country level
Share good practices and identify principles and options for harmonization and alignment, including Joint Fiduciary Arrangements
Review and if needed revise the IHP+ Guidance on Joint FM Assessment
Discuss, on an on-going basis, emerging issues in FM harmonization and alignment
Assist the IHP+ Core Team in facilitating, on request, support to countries including Joint FM Assessments and identification of suitable Joint Fiduciary Arrangements
Other arising responsibilities as decided by the IHP+ Steering Committee

5. Examples of work done so far
Country
Description of work
Participating DPs
Affiliated DPs
Status
Burundi
Conduct joint FM assessment and develop a joint capacity building action plan
AfDB, EU, GF, WB
Belgium Corporation, GAVI & USAID, Swiss Embassy
English and French versions of the report have been completed. A workshop to disseminate the report, agree on an FM improvement action plan, and to draft Joint Fiduciary Arrangements (JFA) in March has been postponed due to the political situation in the country.
Senegal
Align FM arrangements for DP-financed projects with country systems
USAID, WB, GF
GAVI
For its HSS grant support to Senegal, GF now uses the country system, joining the WB and USAID in the use of country systems
DR Congo
(1) Develop joint FM procedures for government and DP-financed projects; (2) Leverage WB-led PFM reforms to set a Directorate of Financial Management in MoH
GF, WB, BTC, AfDB
UNFPA, EU
Joint FM Manual has been prepared. The MoH recruited two consultants to help finalize the manual. Donor consultations are on-going. A dissemination workshop is planned for July 2016.
Sierra Leone
Set up an Integrated Health Projects Administration Unit (IHPAU) within MoHS
GAVI, GF, WB
WHO
Review undertaken in May 2016.
Sudan
GF, GAVI, WB, UNICEF, UNFPA, UNDP, WHO, DfID
JICA, EU
Assessment misison planing in progress
Liberia
UNICEEF, UNFPA, EU, USAID, GAVI, GF, Irish AID & WB
TBD
JFMA report under preparation
Ethiopia
Draft a new JFA with DPs support
GAVI, AusAID, Royal Dutch Embassy, GF, WB, and USAID
JFA now signed by all major DPs. DPs using joint financial management arrangements
There is a pipeline of countries interested in joint FM approaches:
Zambia, Myanmar, Malawi, Belize, Haiti

6. On-going Studies
Understanding the costs and benefits of unharmonized and unaligned implementation arrangements in the health sector- funded by IHP+ and World Bank
Developing a conceptual framework for PFM in health- Led and funded by the World Bank, in collaboration with WHO.
Matrix with JFA
01/01/2019

7. Challenges
Determining entry point for collaboration is difficult due to different DPs support cycles
Low bilateral participation
Slow decision making process by DPs
Weak country leadership at times, makes joint effort supply driven

8. Opportunities/Areas of Focus Going Forward
Intensify in-country work on implementing JFMA recommendations on harmonized arrangements or use of country systems.
Use evidence-based research/study to support case for harmonization and alignment
Solicit more participation in joint arrangements by bilateral partners and other UN Agencies
Seek opportunities for collaboration in other regions other than Africa region