Funding & Finance

UNDP Eritrea receives core funding from UNDP Headquarters based in New York . UNDP core resources are voluntary contributions made by the Member States of the United Nations. There are two different resource streams through which UNDP finances its programmes and operations:
(1) the management resource stream, which includes allocations from the Headquarters for staff related costs for posts approved by the Executive Board, as well as operating expense; (2) the development resource stream, through which UNDP receives so-called TRAC (Target for Resource Assignment from the Core) funds.

UNDP Headquarters distributes the TRAC resources to the programme countries throughout the world based on a methodology that takes into account several criteria such as the country's Gross National Product per person, its population size, the quality of the Country Cooperation Framework, and the special development needs of countries in crisis. TRAC resources are divided into three categories: 1) TRAC 1: each Country Office is entitled to a certain TRAC 1 allocation based on GNP per capita and population. 2) TRAC 2: each Country Office receives allocation based on the quality of its programme based established criteria. 3) TRAC 3: Country Offices in special development situations might also apply for funds for response to crises, crisis prevention and recovery.

In Eritrea, UNDP uses the TRAC resources to fund the projects that are selected based on the priorities set by the Government of the State of Eritrea.

UNDP Eritrea 's Sources of Funding 2007-2008