Download Financial Agreement / Recovery Schedule

ANNEXES
6.1. Financing Agreement
Republic of Uganda
MINISTRY OF GENDER, LABOUR AND SOCIAL DEVELOPMENT
YOUTH LIVELIHOOD PROGRAMME (YLP)
Project Financing Agreement
This FINANCING AGREEMENT has been made and entered on this .......... day of
……................................... 20…..... at ......................................................................... between
………………………......District Local Government (Represented by the Chief Administrative
Officer),
and
the
Beneficiary
Youth
of
…………………………………………………………………..... Project (Represented by the
Chairperson, Treasurer and Secretary of the Youth Project Management Committee)
WHEREAS the Government of Uganda desires to support the Youth in implementing Projects
that empower them to harness their socio-economic potential and increase self-employment
opportunities and income levels, and has set up the Youth Livelihood Programme (YLP) as one
of the means for providing such support;
WHEREAS the support will be provided through Youth Interest Groups in form of interest-free
Revolving Funds for viable income generating projects and skills development projects;
WHEREAS The Youth of:
...............................................................…Village/Cell,
…………………………. .............................Parish/Ward,
……………………………............................Sub-county,
.....................................................................DISTRICT
have applied to the Chief Administrative Officer (CAO) for funds under the Youth Livelihood
Programme to finance their Project:
Title
: …………………………………………………………………….....................................
Number : …………………………………………………………………......................................
WHEREAS The Project has been appraised by the Sub-county Technical Planning Committee
(STPC), reviewed and approved by the District Technical Planning Committee (DTPC) and
endorsed by the District Executive Committee (DEC).
THEREFORE the Chief Administrative Officer of .............................................District and the
Youth Project Management Committee of the .........................................................................
.............................................................................................................. Project, hereby agree as
follows:
1.
The ………….………………………………………………………………………Project
shall consist of the following components/ Activities:
Component/Activities
Expected Key Output (s)
…………………………………….........
.....………………………….........
…………………………………….........
.....………………………….........
…………………………………….........
.....………………………….........
…………………………………….........
.....………………………….........
2.
................................................................................................... District will disburse a sum
of Ug.Shs……………………….............. (in figures)
................................................................................................................................................
................................................................................................................................................
........................................................ (in words), to finance the approved activities and
items under the Project.
3.
The Youth Project Management Committee has opened a current account special for the
Project with the following details:
Account title:……………………………………………………………………………
Account number: …………………………………………………………………………
Bank:………………………………………………………………………………………
Branch:……………………………………………………………………………………
4.
There shall be three (3) signatories to the Bank Account, namely:
(i)
Chairperson, Youth Project Management Committee,
(ii)
Sub-county Chief/Town Clerk of the Sub-county/Town Council or Division, and
(iii)
Sub-Accountant/Treasurer or Finance Officer of the Sub-county/Town Council or
Division
The particulars of the signatories are as follows:
Name
Title/Position
(i)……………………………………………………… ...................................................
(ii)…………………………………………………….. ...............................................
(iii)……………………………………………………. ............................................
5.
The members of the Youth Interest Group shall co-guarantee one another for purposes of
successful implementation of their Project and full repayment of the Revolving Fund.
The co-guarantee shall be by each individual member of the group and shall be
enforceable either individually or severally.
6.
The Youth Project Management Committee is responsible for proper record keeping for
all Project related financial transactions, and use and safe-custody of goods acquired
under the Project.
7.
The Youth Project Management Committee and the Youth Procurement Committee are
responsible for procuring all inputs, goods and services required for project
implementation within the approved budget and in accordance with YLP Community
Procurement guidelines.
8.
The relevant sector experts at the District and Sub-county Local Government level shall
provide day-to-day technical guidance and certification on matters of procurement of
inputs and general implementation of the project.
9.
The Youth Project Management Committee agrees to complete project implementation
within a period of ........................................... months from the date of signing this
agreement (completion period: launch to commissioning).
10.
The Youth Project Management Committee is not permitted to use the funds provided
under YLP for any activity other than activities and items stipulated in the approved
project budget.
11.
The Youth Project Management Committee shall provide complete information regarding
the progress in implementation or any related aspect or any matter relating to this
agreement on monthly basis to the members of the Youth Interest Group, Sub-county
Chief and Chief Administrative Officer.
12.
The Sub-county and District Local Governments and Ministry of Gender, Labour and
Social Development will undertake technical supervision, monitoring and evaluation
project implementation.
13.
The Youth Project Management Committee undertakes to repay the Revolving Fund in
.............................................................
monthly
instalments
of
Ushs........................................................ over a period of .......................................
months.
Start- month of repayment is ................................... 20.........
14.
15.
End- month of repayment is ..................................... 20.........
The repayment shall be in-cash or in-kind as shall be determined by the Chief
Administrative Officer and the Youth Project Management Committee.
All repayments made within the first twelve (12) months from the date of disbursement
of funds to the Youth Group Project Account will not attract any charge (interest-free).
16.
Any repayment made after the first twelve (12) months shall attract a service-fee of 5%
of the amount outstanding, to cater for inflation.
17.
Overall, repayment of the principal and service-fee shall not exceed 36 months (3 years)
from the date of disbursement of funds to the Youth Group Project Account.
18.
The Chief Administrative Officer and/or Permanent Secretary, Ministry of Gender,
Labour and Social Development can suspend implementation and financing of any
project if it becomes evident that the Youth Interest Group (YIG) is not performing its
work satisfactorily as per the terms of this Agreement.
19.
If there are serious problems such as financial irregularities, misappropriation, lack of
physical progress or failure to provide satisfactory reports, the Chief Administrative
Officer and/or Permanent Secretary, Ministry of Gender, Labour and Social Development
can recommend that the project be cancelled.
20.
This Agreement may be amended or cancelled by mutual consent of the Chief
Administrative Officer and the Youth Project Management Committee in writing
provided such amendment or cancellation does not lead to loss of funds disbursed to the
Youth Interest Group.
21.
If during implementation of the subproject, any dispute arises between the Chief
Administrative Officer and the Youth Project Management Committee relating to any
aspects of this Agreement, the Parties shall first attempt to settle the dispute through
mutual and amicable consultation. If the dispute is not settled through such consultation,
the matter may be referred for arbitration under the Arbitration and Conciliation Act
(Chapter 4).
22.
This Agreement shall be governed by the Laws of the Republic of Uganda.
SIGNATURES:
FOR AND ON BEHALF OF GOVERNMENT
Name:……………………………………………………..
Signature:………………………………………………..
Date:………………………………………………………
Chief Administrative Officer …………………………………………. District
FOR AND BEHALF OF THE YOUTH INTEREST GROUP
Name
Signature
Date
Position
(i)…………………………………
……………
…………….......
Chairperson
(ii)………………………………
……………
…………….......
Treasurer
(iii)…………………………….
…………… ………………..
Secretary
WITNESSED BY-SUB-COUNTY CHIEF/TOWN CLERK:
Name:……………………………………………………..
Signature:………………………………………………..
Date: ………………………
Sub-county/Town Council/Division:………………………………………………………………
WITNESSED BY DISTRICT COMMUNITY DEVELOPMENT OFFICER:
Name:……………………………………………………..
Signature:………………………………………………..
Date: ………………………..
6.2. Funds Repayment Schedule
REPUBLIC OF UGANDA
MINISTRY OF GENDER, LABOUR AND SOCIAL DEVELOPMENT
YOUTH LIVELIHOOD PROGRAMME (YLP)
Revolving Fund Repayment Schedule
This Repayment Schedule is made today _________day of________________ 201_
Between
The Youth Interest Group of Project Name:___________________________________________
Located at Village/Cell: ______________________ Parish/Ward: _______________________
In the Sub-county/Division/Town Council of:________________________________________
And
District Local Government/City Authority of : ________________________________________
After receipt of UGX. (in words): __________________________________________________
______________________________________________________________________________
(UGX._______________________) under YLP on the (Date) ___________________________
The Youth Interest Group agrees to repay the funds as scheduled below by cash/cheques in the
bank as detailed below:
Bank Name and Branch:__________________________________________________________
Account Number: _______________________________________________________________
On behalf of the Youth Interest Group
Chairperson YPMC: Name:______________________________ Telephone:________________
Treasurer YPMC: Name:________________________________ Telephone:________________
Secretary YPMC: Name:_________________________________ Telephone:_______________
On behalf of the District Local Government/City Authority
Name and signature of Chief Administrative Officer/Executive Director:
______________________________________________________________________________
Witnesses
Name and signature of Sub-county Chief/Town Clerk:__________________________________
Name and signature of Community Development Officer:_______________________________
Name and signature of Chairperson Sub-county Youth Council___________________________
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9.
1
Date of Repayment
Amount Payable1
5% of Inflation2
Cost After 12
Months
Total Due
Payments3
Do not write in this space for the first 12
months if the YIG will complete repayments
of all the funds received
No
This is the amount of money received from YLP divided by the number of times the YIG has to repay the money
and should be in equal amounts. This is highly dependent on the gestation period as well as the cash flow of the
project.
2
This is 5% of the balance of the funds received but not yet repaid at the end of 12 months after receipt of the
funds and is a flat rate of 5% per annum. The amount resulting from the 5% is then distributed in equal amounts
across the months in the calendar year starting with the 13th month.
3
This is the same as amount payable in the first 12 months. From the 13 th month (after One year), this is a
summation of amount payable and the 5% inflation cost.
No
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Date of Repayment
Amount Payable1
5% of Inflation2
Cost After 12
Months
Total Due
Payments3
No
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36.
Date of Repayment
Amount Payable1
5% of Inflation2
Cost After 12
Months
Total Due
Payments3