During the lifetime of a grant, the Global Fund periodically disburses funds to the Principal Recipient (PR) based on demonstrated programme performance and financial needs for the following period of implementation. A progress update/disbursement request (PU/DR) is both a progress report on the latest completed period of programme implementation and a request for funds for the following execution and buffer period. Its purpose is to provide an update on the programmatic and financial progress of a Global Fund-supported grant, as well as an update on fulfillment of conditions, management actions and other requirements. The PU/DR completed by the PR and verified by the Local Fund Agent, as required, forms the basis for the Global Fund’s annual funding decision by linking historical and expected programme performance with the level of financing to be provided to the PR. 

The PU/DR is an Excel template that contains three sections—one each for the PR, Local Fund Agent (LFA) and Global Fund Country Team. Based on the reporting schedule agreed during the grant-making process, the PR prepares and submits either the PU or the PU/DR with their relevant sections completed.

The Principal Recipient (PR) must submit a Progress Update (PU) for every six-monthly reporting period (even when no disbursement is being requested), within 45 days of the end of the reporting period. A full Progress Update/Disbursement Request (PU/DR) must be submitted annually, 60 days after the end of the reporting cycle. In the PU/DR, the PR must provide a consolidated report of all progress and expenditures associated with Global Fund financing for the project. This means that the PR is responsible for aggregating data from all Sub-recipients (SRs) involved in project implementation. It is therefore advisable to collect data from SRs (e.g. quarterly SR reports) well in advance of the deadline for reporting to the Global Fund, so that the data can be verified and analysed before being aggregated into the PU/DR. 

The PU includes the following three sections:

1. Programmatic section:
   • Progress against impact, outcome and coverage indicators
   • Disaggregation of impact, outcome and coverage results (when relevant)
   • Progress against work-plan tracking measures (when relevant)
2. Procurement and supply management
3. Grant management

The PU/DR includes the following five sections:

1. Programmatic section
2. Finance section
   • Principal Recipient cash reconciliation statement in grant currency
   • Principal Recipient reconciliation of funds provided to Sub-recipients for the current implementation period
   • Total Principal Recipient budget variance and funding absorption analysis
   • Enhanced/annual financial report
   • Annual cash forecast
   • Annual funding request and recommendation
3. Procurement and supply management
4. Grant management
5. Evaluation of grant performance

Please note that starting in 2017, the Global Fund will provide to each PR a PU/DR template that is pre-populated with certain data based on signed grant documents. Please refer to the Global Fund PU/DR guidelines for more information.