Frequently Asked Questions


  1. What is the legal status of National Disaster Risk Management Fund (NDRMF)?

National Disaster Risk Management Fund is a Company registered with Securities and Exchange Commission of Pakistan under section 42 of Companies Ordinance 1984 (now Companies Act, 2017)


  1. Is the National Disaster Risk Management Fund (Company) limited by Shares or Guarantee?

National Disaster Risk Management Fund is a Public Company Limited by Guarantee.


  1. What is the legal framework under which company is operating?

Companies Act, 2017 and the Public Sector Companies Corporate Governance Rules, 2013 (Rules) govern the operations of Company.


  1. What is the governance Structure of Company?

Company has three tier governance and management structure which comprises General Body, Board of Directors (BOD – the Board) and Management headed by a Chief Executive Officer (CEO).


  1. What is the Composition of General Body of Company?

The Company shall consist of up to 40 members representing the Government of Pakistan and the remaining shall represent private, civil society and the academia/ research sector and/or business, community leaders of experience, integrity and repute.


  1. What is the Composition of Board of Directors (BOD) of Company?

The second tier of the Company’s Governance Structure consists of the BOD comprising of fifteen (15) members representing Federal Government, Civil Society, Professionals and Academia.


  1. What are the Key Board Committees Constituted by Board?

Board of Directors of the Company has constituted Human Resource, Audit, Finance, Procurement, Risk Management and Nomination Committees of Board of Directors.


  1. What is the Company’s Fund Executive Management Structure?

The Chief Executive Officer (CEO), recommended by the BOD and appointed by the Federal Government, heads the management of the Company comprising Financial Management, Quality Assurance, Support Services and Projects & Operation Groups. Besides, a Company Secretary and Internal Audit section are part of the Chief Executive Officer’s Secretariat.


  1. What is the role of Board of Directors and Management of Company?

The role, responsibilities and powers of Board of Directors are prescribed in the Companies Act, 2017 and the Public Sector Companies Corporate Governance Rules, 2013.


  1. What would the nature of financing of NDRMF i.e. Loan or Grant?

The Company will provide “Grant Financing” on lump sum deliverable basis, to the “Fund Implementation Partners”.


  1. What will be the share of financing from NDRMF out of total project cost and who will pay the taxes and duties:

The Company will finance up to 70% of the project’s cost and all the taxes, duties, administrative & recurring expenditures, to be borne by FIP.


  1. Will there be a uniform accreditation criteria for Government and Non-Government entities?

No, non-government entities shall be accredited through a detailed accreditation process which has been made public, on NDRMF website, whereas government entities shall be accredited through a simpler checklist.


  1. Who will be responsible to arrange requisite approvals from relevant departments of government regarding the project?

It will be the exclusive responsibility of FIPs (i) to arrange all the requisite approvals from relevant government departments before approaching NDRMF for securing funding and (ii) to arrange and to deposit its 30% share of financing of the project, in a dedicated bank account upfront. Whereas, NDRMF shall follow the procedures as per its legal status. With regards to the approval of PC-I for the public sector entities, the entities may seek approval of respective forum (fora) as per prescribed procedures either prior or post approaching to the Company for their project’s financing.


  1. What does “to be accredited” means?

The private sector organizations including I/NGOs, UN Agencies or equivalent, desirous to seek financing from NDRMF to work in the fields that enhance Pakistan’s resilience to extreme weather events and other natural hazards, shall be required to obtain accreditation with NDRMF, to make themselves eligible to submit project proposals for seeking funding.

There could be private sector organizations who have accreditation with any other agency such as GEF and GCF etc. They shall need to provide copies of accreditation certificates along with relevant documents for registration with NDRMF including but not limited to any additional documents required in accreditation criteria given in accreditation proforma on NDRMF’s website. Such organization’s accreditation shall be valued towards accreditation of NDRMF, however, the Company shall ensure/satisfy itself about the relevancy & compliance of the procedures & processes that are existent at respective organization in respect of the areas which are required for accreditation process by the Company.


  1. What are the requirements and the processes for accreditation?

An organization will submit the application along with all the reference documents, mandated in the Accreditation Application, such as organizational profile, financial statements (last three years), registration with EAD, SECP or any other registration body under the laws of the land etc. Accreditation Proforma, having the requirements therein, is available on website under link of Important Announcement.


  1. Is there any need for the Public Sector Entities to be accredited?

There is no need for the public sector organization to get themselves accredited. Accreditation is only meant for private (non-public) sector entities. However, there shall a brief checklist type criterion, for ensuring fiduciary level compliances at the level of public sector organization. The eligibility/suitability of public sector organizations shall be determined through the prescribed criterion as a pre-requisite to apply for funding.


  1. Call for Accreditation applications is open throughout the year?

No. Applications for accreditation process shall be invited from time to time subject to NDRMF’s Management’s Decision with a specified deadline for submissions.


  1. How long does the accreditation process take?

After the submission of accreditation application complete in all respect i.e. including all the reference documents; list of FIPs who have applied for accreditation, shall be posted on website with accreditation status marked as “under process”. Feedback will be provided to respective FIP(s) on acceptance or rejection of their application for accreditation in due course of time. Applications status list will be displayed and will be continuously updated on website accordingly. FIP can check its application status on website and accredited FIPs shall also be conveyed via e-mail.


  1. Process of Accreditation for joint ventures/association/consortium?

An organization can apply for accreditation, in the form of association/consortium in following ways;

  1. An organization may associate with an already accredited organization as Joint Venture Partner. In such case, the non-accredited organization will be required to go through the process of accreditation. If all JV Partners succeed in obtaining accreditation and stand qualified for award of grant, all the JV Partners shall be signatory of the agreement and equally responsible for implementation of the project.
  2. Two or more non-accredited organizations may associate with each other as JV Partners and shall have to attain accreditation separately. In case, one or more JV Partners do not get accreditation, those partners could not be associated by the accredited organization/partner in any form for the implementation of project.
  3. An accredited organization may apply for a grant having association with non-accredited organization. In such case, non-accredited organization can become part of the proposal as sub-contractor.
  4. At the time of accreditation and proposal submission, an intended JV agreement will be required having therein addresses and the roles and responsibilities of all the partners. Consequent to the acceptance of proposal for award of grant, JV will be required to legally register before award of the grant agreement.


  1. Can 30% contribution by the FIP be in the form of ‘kind’ instead of ‘Cash’?

Contribution/share by FIP shall invariably be in cash and not in kind. All the incremental costs, including but not limited to, human resources, logistics, administrative support, recurring expenditure etc., shall be part of the 30% (at least) share of FIP.


  1. At the time of proposal submission, can FIP place a letter of intent or a guarantee letter from its donor or partner for FIP share of 30% instead of placing cash in assignment account?

Yes, for proposal submission, FIP can submit a letter of intent or a guarantee letter. However, post acceptance of the proposal, the release of funds from the Company shall be made contingent upon availability of entire 30% share of FIP, up front, in the form of “Cash” in the dedicated assigned account. This shall be a mandatory clause in FIP Agreement.


  1. Can FIP spend NDRMF share on operational or managerial expenses?

NDRMF finances can only be used for hardcore pure project activities. All the incremental costs, including but not limited to, human resources, logistics, administrative support, recurring expenditure, taxes, duties, operations etc. shall be met out by the FIP from its respective share of 30%. Besides, the FIP contribution shall be used for project activities.


  1. Should there be a need to hire technical consultants for FIP, will NDRMF finance it?

Costs of consultants for activities such as feasibility or detailed engineering designing etc. shall not be financed by NDRMF. FIP should submit its technical proposal completed in all respects. However, if a technical resource is required for the implementation of a project’s core activities/component whose technical expertise is not available with the organization, the cost of such experts/expertise, can be included in the hard core activities which shall be financed by the Company.


  1. During execution what will be the role of NDRMF, will the IPCs of the contractors be checked or counter signed by NDRMF?

The contractors IPCs will not come to NDRMF, IPCs will be cleared by the FIPs themselves. FIP will submit its financial statements periodically for the release of next instalment by NDRMF. However, NDRMF has discretional rights to check the record of IPCs on sample basis.


  1. Will NDRMF finance the public organizations for proposal development or PC-1 preparation?

The Company shall not bear/finance the cost related to the preparation of project proposals or development of PC-I/PC-II.


  1. What are the SoPs for the public sector organizations to approach NDRMF for projects submission?

There will be a Coordination Committee at provincial/regional level. The public sector organizations shall submit their proposals through these committee. The Chairman of P&D Departments of respective province/region shall be the Chairperson of these Coordination Committees. A public sector organization will submit their project through the Coordination Committees. The SoPs in this regard, are under process which will be uploaded on the Company’s website in due course of time.


  1. Relevant documents on NDRMF Website?

On NDRMF website under the link of resource library, following necessary documents are available for ready reference.


  • National Disaster Response Plan,NDRP-2010
  • National Disaster Management Act
  • National Disaster Risk Reduction Policy-2013
  • National Flood Protection Plan-IV-NFPP-IV-1
  • National Disaster Management Plan Main Volume
  • Environment Social Management System (ESMS)
  • Gender and Development Policy of NDRMF
  • Gender Action Plan (GAP)
  • Gender Tip Sheets of ADB
  • National Policy for Persons with Disabilities


  1. What is category “A” Project?

Environmentally, Category “A” Project is where, Intervention anticipates significant adverse environmental impacts that are irreversible. These impacts may affect an area larger than the sites or facilities subject to physical works.

Socially a project is Category “A” if 200 or more persons will experience major impacts, which are defined as (i) being physically displaced from housing, or (ii) losing 10% or more of their productive assets (income generating).

Category “A” for indigenous people is an aspect which will significantly affect the dignity, human rights, livelihood systems, or culture of Indigenous peoples or affects the territories or natural or cultural resources that Indigenous Peoples own, use, occupy, or claim as an ancestral domain or asset.


  1. Will NDRMF finance environmentally and socially category “A” Project?

In the first phase NDRMF is not financing projects under category “A”. Project categorization is explained in ESMS, available on NDRMF website.


  1. If FIP has sufficient finances available for infrastructure development but have no finance to make the same infrastructure disaster resilient, would NDRMF provide additional cost to make the structure resilient?

The Project has to be structured in a way that it is evaluated as one wholesome project, which is aligned to National Disaster Management Plan (NDMP)/National Flood Protection Plan (NFPP) – IV and is disaster resilient.


  1. What is the fund disbursement mechanism including disbursement modalities, statement of expenses, type of account etc.?

Disbursement Mechanism, including the modalities, has been defined in the FIP’s agreement, which shall be on lump sum basis on achieving defined/ agreed deliverables.

Dedicated formats for statement of accounts and financial reporting shall be shared with FIPs with/after signing of the agreements. These formats may be improved, revised and updated as per the implementation of the funding grants.