Financing

Pérez-Guerrero Trust Fund for South-South Cooperation (PGTF)

About the Fund

The Pérez-Guerrero Trust Fund for South-South Cooperation (PGTF) was established by the United Nations General Assembly (GA 38/201) in 1983 and in 1986 a High-level Meeting on ECDC held at Cairo approved the main features for launching PGTF operations. The objective of the Fund is to provide seed money for

  • financing pre-investment/feasibility studies/reports prepared by professional consultancy organizations in developing countries members of the Group of 77 (G-77);
  • facilitating the implementation of projects within the framework of the Caracas Programme of Action on ECDC as well as the priority areas for South-South cooperation of the Havana Programme of Action; and
  • supporting economic and technical cooperation among developing countries.

The South-South collaborations funded are mostly implemented by national institutions and focused on joint research, field activities, workshops, publications, development of common standards, and educational activities. These projects have been catalytic at intensifying linkages among Southern institutions and enabling the sharing of knowledge among developing countries.

PGTF has utilized the interest produced by its $7 million capital endowment, along with voluntary annual contributions from the Member States, 51 to date, to fund 361collaborative projects among developing countries members of the Group of 77. To date, PGTF has supported projects totaling $15.5 million and benefiting a total of 141 G-77 countries (including former members). Its vast activities have covered topics such as food and agriculture, health and trade.

Priority Project Areas

The Pérez-Guerrero Trust Fund for South-South Cooperation focus on the following priority project areas:

  • Food and agriculture;
  • Trade;
  • Energy;
  • Raw materials;
  • Technology;
  • Industrialization;
  • Finance; and
  • TCDC.

PGTF Activities at a Glance

Process and Project Cycle

Explained below is the annual project cycle and the process. Prospective applicants should fully fill in the mandatory project proposal model format and summary checklist in any of the working languages of the Group of 77 (Arabic, English, French and Spanish).

Proposals are submitted through a government channel (e.g., diplomatic missions to the UN or other government authority as appropriate) to the Executive Secretariat of the G-77 jointly with endorsement letters from the participating countries. Participation by at least 3 countries is required for any proposal to be considered.

Country offices issue PGTF disbursements in ways most relevant to their contexts; including as grants within their engagement facilities, grouped into larger projects or as standalone initiatives.

Strengthening South-South Cooperation among Women-led Enterprises in Organization of Islamic Cooperation (OIC) Countries

Eligibility Criteria

Applicants should familiarize themselves with the Guidelines before preparing and submitting a funding application. Major project eligibility criteria include, but are not limited to, the following:

Project proposals should address the sectoral priorities: trade, technology, food and agriculture, energy, raw materials, finance, industrialization and technical cooperation among developing countries (as per the Caracas Programme of Action on Economic Cooperation among Developing Countries) as well as the priority areas for South-South cooperation of the Havana Programme of Action);
Projects must necessarily have a cooperative component, i.e., any activity which involves deliberate and voluntary sharing, pooling or exchange of economic or technical resources, knowledge, experience, skills and capabilities between three or more developing countries for their individual or mutual development.
Projects are demand-driven, should reflect the priorities of the partnering countries and address matters of critical importance to members of the G-77.
Projects should be designed to have a maximum multiplier effect, and in the case of regional projects, serve as pilot projects for other regions. In this context, projects which are purely national in nature will not qualify for funding. Also, bilateral projects will not be eligible.
All project proposals should include inputs from other sources of an amount at least equal to the resources requested from PGTF. These inputs should be secured by the sponsors prior to submission of the proposal to PGTF.
The Fund should not be used as a substitute for resources available to the United Nations agencies for undertaking activities in favour of South-South cooperation.
The projects that are selected should not duplicate existing projects in developing countries and should make optimum use of capacities which already exist in developing countries at the national, regional and inter-regional levels.
For large projects that go beyond the capacity of the PGTF, the Fund may be able to finance only a component of these projects.
No more than one (1) project proposal per annum may be submitted for funding from the PGTF by any given institution or organization.

Governance Mechanism

The United Nations Office for South-South Cooperation serves as the Fund Manager of PGTF.

A committee of Experts of PGTF, constituted by two representatives of each one of the three regions of the G-77 acting in their personal capacities, appraise and submit a prioritized list of eligible project proposals for the approval by the Ministers of Foreign Affairs of G-77 Member States at their annual ministerial meeting.

United Nations Development Programme channels and helps implement PGTF resources through projects around the world.

For More Information

Contact Fund Focal Points at UNOSSC:

Ms. Ines Tofalo, Chief, Programme Support Unit

ines.tofalo@unossc.org

Mr. Donaldo Lopez, Fund Administration Specialist

donaldo.lopez@unossc.org

212 906 5123

Visit the PGTF pages on the G77 and UNOSSC websites

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