African Development Bank (AfDB) Institutional Capacity Building for Public Financial Management in Fragile States

The African Development Bank (AfDB) Institutional Capacity Building for Public Financial Management in Fragile States opportunity is a strategic funding initiative designed to address the critical governance challenges faced by fragile and conflict-affected states in Africa. With a deadline of October 1, 2026, this call invites applications from organizations capable of delivering comprehensive technical assistance to strengthen PFM systems. The initiative recognizes that weak financial governance is both a cause and consequence of fragility, leading to inefficient resource allocation, corruption, and diminished public trust. By investing in capacity building, the AfDB aims to create a foundation for sustainable development, enabling fragile states to better manage their own resources and attract private investment. The scope includes budget formulation and execution, public procurement, treasury management, accounting, and external oversight. Gender-responsive budgeting and digitalization are cross-cutting themes. The target audience is general, meaning NGOs, consulting firms, think tanks, and academic institutions can apply. The normal urgency suggests a well-planned proposal timeline is feasible. This overview provides the essential context for crafting a competitive proposal, emphasizing the need for a deep understanding of local dynamics and a robust theory of change. GSLI training can significantly enhance an organization's capacity to design and implement such complex programs.

This opportunity is designed for a diverse range of actors committed to strengthening public financial management in fragile states. Eligible recipients include international non-governmental organizations (INGOs) with proven expertise in PFM reform, public sector capacity building, and governance strengthening. Local civil society organizations (CSOs) that have deep contextual knowledge and grassroots networks are also encouraged, provided they demonstrate financial stability and technical capacity. Consulting firms specializing in public finance, audit, and transparency are well-positioned, especially those with experience in post-conflict environments. Academic and research institutions offering PFM-related training and policy analysis can leverage their expertise to design innovative capacity-building programs. Government agencies from fragile states may also apply, but they must demonstrate autonomy and adherence to fiduciary standards. The AfDB seeks partners that can deliver at scale, with a track record of managing multi-country programs and engaging with ministries of finance, supreme audit institutions, and parliamentary budget committees. Additionally, organizations must show cultural competence and gender sensitivity, as PFM reforms often intersect with social equity. The ideal candidate will have a robust monitoring and evaluation framework, experience in using technology for financial transparency (e.g., open budgeting platforms), and a commitment to sustainability through train-the-trainer models. GSLI courses in Financial Management for NGOs and Monitoring & Evaluation can significantly strengthen capacity in these areas.

The African Development Bank's investment priorities for this initiative are deeply rooted in its High 5 strategic agenda and the Sustainable Development Goals (SDGs), particularly SDG 16 (Peace, Justice, and Strong Institutions) and SDG 17 (Partnerships for the Goals). The bank emphasizes a whole-of-government approach, focusing on strengthening the entire PFM cycle: budget formulation, execution, accounting, reporting, and audit. Key performance indicators (KPIs) include measurable improvements in budget credibility (variance between approved and actual expenditure), reduction in the time taken for financial reporting, and increased number of audit recommendations implemented. Gender-responsive budgeting is a cross-cutting priority; the AfDB expects proposals to include gender analysis in PFM reforms and ensure that capacity-building programs target women in finance ministries. Digitalization of PFM systems is another priority, aiming to reduce manual processes and enhance transparency through e-procurement and integrated financial management information systems (IFMIS). The donor also prioritizes alignment with national development plans and fragility assessments, ensuring that interventions are context-specific and avoid creating parallel systems. Sustainability is critical: the bank seeks to build enduring institutions rather than temporary fixes, with a focus on mentoring, coaching, and establishing communities of practice. Additionally, the AfDB is keen on fostering regional integration by sharing best practices across fragile states, so proposals that include cross-country learning components are highly valued.

Eligibility for this opportunity requires a comprehensive audit of organizational capacity, legal standing, and financial health. Firstly, applicants must be legally registered entities in their country of operation, with at least five years of demonstrable experience in public financial management or institutional capacity building in fragile or conflict-affected states. A minimum annual budget of $500,000 is recommended to ensure operational scale. The organization must have a clear governance structure, with an active board and audited financial statements for the past three years. Financial audits must show no material weaknesses in internal controls and a clean opinion from an independent auditor. With regard to spatial eligibility, the AfDB prioritizes projects in its Regional Member Countries (RMCs) classified as fragile states under its Fragility and Resilience Strategy. These include countries like South Sudan, Somalia, the Central African Republic, and the Sahel region. Applicants must provide proof of in-country presence or a solid partnership network with local entities. Additionally, the legal audit must confirm that the organization is not blacklisted or debarred by any international financial institution (IFI), including the AfDB itself. Conflict of interest disclosures are required for individuals involved in proposal development. The AfDB also encourages consortia applications; however, a lead partner must be identified who takes ultimate fiduciary responsibility. For NGOs, a track record of managing donor-funded projects of at least $1 million is preferred. Finally, applicants must submit a capacity assessment checklist demonstrating expertise in PFM topics such as budget transparency, public procurement, and internal audit. GSLI courses like Procurement & Supply Chain and Grants Management can help fill gaps in organizational capacity.

To secure this opportunity, a strategic roadmap that integrates GSLI's training resources is critical. The first step is to conduct a thorough needs assessment in the target fragile state(s), identifying specific PFM gaps and engaging key stakeholders such as ministries of finance and audit institutions. Use this assessment to design a evidence-based proposal that aligns with AfDB's priorities. GSLI's course on Monitoring & Evaluation (M&E) can help establish robust baseline indicators and a logical framework. The second step is to strengthen organizational capacity by ensuring your team has relevant certifications. Enroll key personnel in GSLI's Financial Management for NGOs and Writing Winning Proposals courses to enhance fiduciary readiness and proposal quality. The third step involves building a strong consortium with local partners, leveraging their contextual knowledge while your organization provides technical PFM expertise. Clearly define roles, governance, and risk-sharing mechanisms. The fourth step is to craft a compelling narrative in the proposal, emphasizing sustainability through train-the-trainer models and use of technology. Include a detailed budget that allocates funds for capacity building, including GSLI course fees for local staff. Finally, after submission, maintain proactive communication with the AfDB, addressing any clarifications promptly. Post-award, integrate GSLI's Project Management for Development course to implement activities on schedule and within budget. By following this roadmap, applicants can significantly enhance their chances of success, demonstrating both technical expertise and institutional readiness.