2025-08-4 Notice of Funding Opportunity Lilongwe FTIF.docx

Notice of Funding Opportunity (NOFO)

Strengthening Transparency and Governance in Malawi’s Extractive Industry and Public Debt Management U.S. Embassy Lilongwe, Department of State Opportunity number: DOS-AF-MWI-FY24-01 Application deadline: August 25, 2025

Contents

U.S Department of State U.S Embassy Lilongwe Notice of Funding Opportunity

A. Basic Information

1. Overview

Funding Instrument Type: Grant

Project Performance Period: Proposed projects should be completed in twenty-four months.

This notice is subject to the availability of funding.

2. Executive Summary U.S. Embassy Lilongwe announces this Notice of Funding Opportunity (NOFO) for a Fiscal Transparency Innovation Fund (FTIF) grant up to $781,854 in FY 2024 Economic Support Funds (ESF) to be awarded (pending availability of funds) to promote transparency in Malawi’s extractive sector and the impact of mining revenues on government borrowing. The program aims to enhance public access to information on mining licensing and contract awarding, beneficial ownership, mining revenue collection, and public debt. The program will result in, among other things, 1) improving transparency in awarding natural resource contracts and licenses, and public debt management; 2) curtailing illicit practices and corruption through monitoring of beneficial ownership; and 3) enhancing fair taxation, prudent mining revenue utilization, and community impact of the mining projects. These will help strengthen Malawi’s compliance with Extractive Industries Transparency Initiative (EITI) international standards, supporting investors in making well-informed investment decisions, reducing investment risk, and building investor confidence. This project will enhance public debt transparency in Malawi by developing a standard for national debt data publication and publishing increased information about Malawi’s debt situation (inclusive of state-owned enterprise (SOE) debt). Improved public debt transparency will strengthen parliamentary and public oversight over excessive government borrowing, a key driver of Malawi’s economic instability. Public access to mining information and public debt data will also enhance fiscal discipline and promote ethical business practices, creating a more stable business environment and encouraging fair competition for all players in the sector. Key program partners should include the Ministry of Finance (MoF), the Malawi Debt and Aid Management Division (DAD), Ministry of Mining, other relevant Ministries, Departments, and Agencies (MDAs), the Malawi EITI (MWEITI), Tax Justice and Extractive Platform, Natural Resources Justice Network (NRJN), extractive companies, civil society organizations (CSOs), and journalists. The period of performance is a maximum of twenty-four months.

B. Eligibility

1. Eligible Applicants The following organizations are eligible to apply:

· Not-for-profit organizations, including think tanks, trade associations or unions, chambers of commerce, and civil society/non-governmental organizations (with and without 501(c)(3) tax exempt status with IRS)

· Public and private educational institutions

· Public International Organizations and Governmental institutions

2. Cost Sharing or Matching Providing cost sharing, matching, or cost participation is not an eligibility requirement for this NOFO.

3. Other Eligibility Requirements All organizations must have a Unique Entity Identifier (UEI) issued via SAM.gov as well as a valid registration in SAM.gov. Please see Section D.3 for more information. Individuals are not required to have a UEI or be registered in SAM.gov.

Applicants are only allowed to submit one proposal per organization. If more than one proposal is submitted from an organization, all proposals from that institution will be considered ineligible for funding.

The U.S. Embassy in Lilongwe is committed to an anti-discrimination policy in all its programs and activities. The Embassy welcomes applications irrespective of an applicant’s race, ethnicity, color, religion, origin, sex, or disability.

C. Program Description Malawi’s extractive sector is projected by the World Bank to grow by 4.8 percent and 5.6 percent in 2024 and 2025, respectively, with the sector anticipated to contribute 12 percent to GDP by 2027, up from the current 1 percent. This anticipated growth is driven by emerging mining projects in uranium, rutile, graphite, niobium, and rare earth elements. Despite being an EITI member country, Malawi has not yet achieved International Compliance status and there is limited information available on the government’s obligations and benefits in the sector. The 2024 U.S. Department of State’s Fiscal Transparency Report (FTR) found that the government of Malawi did not appear to follow in practice, despite existing legislation, the criteria and procedures for awarding natural resource contracts and licenses. Improving mining transparency will, among other things, support prudent mining revenue management and utilization by government to address the persistent fiscal deficits and high government borrowing which has fueled economic instability and crowded out private sector investments. We have identified priority gaps in the various ongoing initiatives supporting the mining sector and designed the proposed activities to complement existing support for the largest impact possible.

1. Goals and Objectives The program will foster a conducive economic environment reassuring stability for businesses in the mining sector, supported by strengthened oversight of fiscal operations by capacitated governance officials, comprehensive mining information reporting and monitoring mechanisms, timely and standardized public debt data access, and engaged citizens who have been trained to demand accountability and their rights to benefit from mining activities in their communities.

The program is expected to meet the following key result areas:

Objective 1 - Strengthen Transparency in Mining Contract Awarding Processes and Public Debt Management Activity 1.1: Expand Mining Information Management System (MIMS) Indicator: Upgraded mining information system Activity 1.2: Develop and refine pilot version of a standardized publication guide for Public Debt Data Indicator: Guide developed Activity 1.3: Create a publication committee of government debt data publishers Indicator: Publication committee created and validated a publication plan.

Objective 2: Improve Public Access to Malawi’s Public Debt Portfolio Activity 2.1: Conduct legal framework analysis of Malawi’s debt and mining revenue legislation and data framework Indicator: Legal framework analysis report Activity 2.2: Conduct a data mapping exercise on Malawi’s debt data publication Indicator: Data mapping exercises report

Objective 3 – Enhance Literacy and Usage of Mining and Public Debt Data Activity 3.1: Train Journalists and CSOs on coverage of mining contracts and licensing, disclosure of beneficial ownership Indicator: Number of CSO staff and journalists trained on beneficial ownership monitoring Activity 3.2: Conduct Public debt data literacy workshops Indicator: Number of participants trained in data literacy Activity 3.3: Provide technical assistance on the use of MIMS and the publication guide for Public Debt Indicator: Number of stakeholders trained on information system operation and contract awarding system

Objective 4 - Improve Transparency in Mining Revenue Collection, Management, and Distribution Activity 4.1: Promote adoption of MWEITI Mainstreaming information access guidelines Indicator: Proportion of websites of all extractive companies with comprehensive mining information Activity 4.2: Produce Citizens’ Reports on mining issues (licensing process, environmental regulations, social responsibility plans, etc.)

Indicator: Number of citizens’ reports Activity 4.3: Conduct assessment of community benefit distribution Indicator: Assessment report on mining revenue utilization

The total budget cost is anticipated at $781,854, over the twenty-four-month period. Of the total budget, 85 percent ($664,576) are direct costs and 15 percent ($117,278) are indirect costs. Of direct costs, 30 percent ($199,373) will go towards Objective 1, 20 percent ($132,915) for Objective 2, 20 percent ($132,915) for Objective 3, and 30 percent (USD 199,373) for Objective 4.

2. Substantial Involvement This award will be issued via grant; the U.S. Embassy will oversee implementation with scheduled periodic site and off-site visits. The award recipient is expected to comply with all Federal award requirements with minimal substantial involvement in implementation.

D. Application Contents and Format Please follow all the instructions below carefully. Proposals that do not meet the requirements of this announcement or fail to comply with the stated requirements will be ineligible.

Content of Application Please ensure:

· The proposal clearly addresses the goals and objectives of this funding opportunity

· All documents are in English

· All budgets are in U.S. dollars

· All pages are numbered

· All documents are formatted to fit 8 ½ x 11 paper, and

· All Microsoft Word documents are single-spaced, 12-point Calibri font, with a minimum of 1-inch margins.

The following documents are required:

1. Mandatory application forms

· SF-424 (Application for Federal Assistance – organizations) at U.S Embassy Lilongwe website: https://mw.usembassy.gov/fiscal- transparency-innovation-fund; Grants.gov announcement number DOS-AF-MWI-FY24-01, and MyGrants opportunity number OFOP0002208.

· SF-424A (Budget Information for Non-Construction programs) at the U.S. Embassy Lilongwe website: https://mw.usembassy.gov/fiscal- transparency-innovation-fund; Grants.gov announcement number DOS-AF-MWI-FY24-01, and MyGrants opportunity number OFOP0002208.

2. Summary Page (optional) Cover sheet stating the applicant’s name and organization, proposal date, program title, program period proposed start and end date, and brief purpose of the program.

3. Proposal (Ten pages maximum) The proposal should contain sufficient information that anyone not familiar with it would understand exactly what the applicant wants to do. You may use your own proposal format, but it must include all the items below.

· Proposal Summary: Short narrative that outlines the proposed project, including project objectives and anticipated impact.

· Introduction to the Organization or Individual applying: A description of past and present operations, showing ability to carry out the program, including information on all previous grants from the State Department and/or U.S. government agencies.

· Problem Statement: Clear, concise, and well-supported statement of the problem to be addressed and why the proposed program is needed

· Project Goals and Objectives: The “goals” describe what the program is intended to achieve. The “objectives” refer to the intermediate accomplishments on the way to the goals. These should be achievable and measurable.

· Project Activities: Describe the program activities and how they will help achieve the objectives.

· Project Methods and Design: A description of how the program is expected to work to solve the stated problem and achieve the goal. Include a logic model as appropriate.

· Proposed Project Schedule and Timeline: The proposed timeline for the program activities. Include the dates, times, and locations of planned activities and events.

· Key Personnel: Names, titles, roles, and experience/qualifications of key personnel involved in the program. What proportion of their time will be used in support of this program?

· Project Partners: List the names and type of involvement of key partner organizations and sub-awardees.

· Project Monitoring and Evaluation Plan: This is an important part of successful grants. Throughout the timeframe of the grant, how will the activities be monitored to ensure they are happening in a timely manner, and how will the program be evaluated to make sure it is meeting the goals of the grant?

· Future Funding or Sustainability: Applicant’s plan for continuing the program or program benefits beyond the grant period, or the availability of other resources, if applicable.

4. Budget Justification Narrative After filling out the SF-424A Budget (above), use a separate file to describe each of the budget expenses in detail. See section I. Other Information: Guidelines for Budget Submissions below for further information.

5. Attachments

· 1-page Curriculum Vitae (CV) or resume of key personnel who are proposed for the program.

· Letters of support from program partners describing the roles and responsibilities of each partner.

· If your organization has a Negotiated Indirect Cost Rate Agreement (NICRA) and includes NICRA charges in the budget, include your latest NICRA as a PDF file.

· Official permission letters, if required for program activities.

E. Submission Requirements and Deadlines

1. Address to Request Application Package Application forms required above are available at U.S Embassy Lilongwe website: https://mw.usembassy.gov/fiscal- transparency-innovation-fund; Grants.gov announcement number DOS-AF-MWI-FY24-01,and MyGrants opportunity number OFOP0002208.

2. Department of State Contacts If you have any questions about the grant application process, please contact: LilongweFTIF@state.gov.

A Bidding Conference will be held via conference call on August 21, 2025 to answer questions from all potential applicants. Details of the call will be shared via U.S Embassy Lilongwe media sites.

3. Unique entity identifier and System for Award Management (SAM.gov) Required Registrations All organizations, whether based in the United States or in another country, must have a Unique Entity Identifier (UEI) and an active registration in SAM.gov. A UEI is one of the data elements mandated by Public Law 109-282, the Federal Funding Accountability and Transparency Act (FFATA), for all Federal awards. An applicant must maintain an active registration while it has a proposal under review by the Department and must continue to keep the registration active for the entire duration of the period of performance of any Federal award that results from this NOFO.

The 2 CFR 200 requires subrecipients to obtain a UEI. Please note the UEI for subrecipients is not required at the time of application but will be required before an award is processed and/or directed to a subrecipient.

Note: The process of obtaining or renewing a SAM.gov registration may take anywhere from 4-8 weeks. Please begin your registration as early as possible.

· Organizations based in the United States or that pay employees within the United States will need an Employer Identification Number (EIN) from the Internal Revenue Service (IRS) and a UEI prior to registering in SAM.gov.

· Organizations based outside of the United States and that do not pay employees within the United States do not need an EIN from the IRS but do need a UEI prior to registering in SAM.gov.

· Organizations based outside of the United States that do not intend to apply for U.S. Department of Defense (DoD) awards are no longer required to have a NATO Commercial and Government Entity (NCAGE) code to apply for non-DoD foreign assistance funding opportunities. If an applicant organization is mid-registration and wishes to remove an NCAGE code from their SAM.gov registration, the applicant should submit a help desk ticket (“incident”) with the Federal Service Desk (FSD) online at www.fsd.gov using the following language: “I do not intend to seek financial assistance from the Department of Defense. I do not wish to obtain an NCAGE code. I understand that I will need to submit my registration after this incident is resolved in order to have my registration activated.”

Organizations based outside of the United States and that DO NOT plan to do business with the DoD should follow the below instructions:

Step 1: Proceed to SAM.gov to obtain a UEI and complete the SAM.gov registration process. SAM.gov registration must be renewed annually.

Organizations based outside of the United States and that DO plan to do business with the DoD in addition to Department of State should follow the below instructions:

Step 1: Apply for an NCAGE code by following the instructions on the NSPA NATO website linked below:

NCAGE Homepage:

https://eportal.nspa.nato.int/AC135Public/sc/CageList.aspx NCAGE Code Request Tool (NCRT):

NCAGE Code Request Tool (nato.int)

Exemptions An exemption from the UEI and sam.gov registration requirements may be permitted on a case-by-case basis. See 2 CFR 25.110 for a full list of exemptions.

Organizations requesting exemption from UEI or SAM.gov requirements must email the point of contact listed in the NOFO at least two weeks prior to the deadline in the NOFO providing a justification of their request. Approval for a SAM.gov exemption must come from the warranted Grants Officer before the application can be deemed eligible for review.

4. Submission Dates and Times Applications are due no later than August 25,2025, at 17:00 PM, CAT.

5. Funding Restrictions

i. Funding Restrictions for the United Nations Relief and Works Agency (UNRWA)

None of the funds awarded resulting from this Notice of Funding Opportunity may be made available for subawards, direct financial support, or otherwise used to provide any payment or transfer to United Nations Relief and Works Agency (UNRWA).

ii. Certification Regarding Compliance with applicable Federal anti-discrimination laws

If the place of performance or delivery of any award made under this NOFO will be within the United States, applicants are advised that they will be required to certify the following at the time of award:

1) Its compliance in all respects with all applicable Federal anti-discrimination laws is material to the government’s payment decisions for purposes of section 3729(b)(4) of title 31, United States Code and;

2) It does not operate any programs promoting Diversity, Equity, and Inclusion that violate any applicable Federal anti-discrimination laws. A program promoting Diversity, Equity, and Inclusion means a program whose purpose is to promote preferences based on race, color religion, sex, or national origins, such as in training or hiring.

iii. Certification Regarding Compliance with 20 U.S.C. 1011f and any other applicable foreign funding disclosure requirements

Applicants are advised that IHEs must certify the following at the time of award, and that this certification requirement must be included in any subaward agreements to IHEs:

1) Its compliance in all respects with section 1011f of title 20, United States Code, and any other applicable foreign funding disclosure requirements is material for purposes of section 3729 of title 31, United States Code, and for receipt of appropriate Federal grant funds.

6. Other Submission Requirements All applications are highly encouraged to be submitted electronically through www.Grants.gov or MyGrants under opportunity number OFOP0002208. Alternatively, application materials may be submitted by email to LilongweFTIF@state.gov

F. Application Review Information

1. Review Criteria Each application will be evaluated and rated based on the evaluation criteria outlined below.

Quality and Feasibility of the Program Idea – 30 points: The program idea is well developed, with detail about how program activities will be carried out. The proposal includes a reasonable implementation timeline.

Organizational Capacity and Record on Previous Grants – 20 points: The organization has expertise in its stated field and has the internal controls in place to manage federal funds. This includes a financial management system and a bank account.

Program Planning/Ability to Achieve Objectives – 15 points: Goals and objectives are clearly stated and program approach is likely to provide maximum impact in achieving the proposed results.

Budget – 10 points: The budget justification is detailed. Costs are reasonable in relation to the proposed activities and anticipated results. The budget is realistic, accounting for all necessary expenses to achieve proposed activities.

Monitoring and evaluation plan – 15 points: Applicant demonstrates it is able to measure program success against key indicators and provides milestones to indicate progress toward goals outlined in the proposal. The program includes output and outcome indicators and shows how and when those will be measured.

Sustainability – 10 points: Program activities will continue to have positive impact after the end of the program.

2. Review and Selection Process A review committee will evaluate all eligible applications.

3. Risk Review

i. Risk factors Under the merit review as required by 2 CFR 200.206, prior to making a Federal Award the Department will review and consider the following risk factors:

a. Financial stability

b. Management systems and standards

c. History of performance

d. Audit reports and findings

e. Ability to effectively implement requirements

ii. Responsibility/Qualification Information in SAM.gov

The Federal awarding agency, prior to making a Federal award with a total amount of Federal share greater than the simplified acquisition threshold, is required to review and consider any information about the applicant that is in the U.S. government designated integrity and performance system accessible through SAM.gov (see 41 U.S.C. 2313)

An applicant can review and comment on any information in the responsibility/qualification records available in SAM.gov.

Before making decisions in the risk review required by 2 CFR 200.206, the Department will consider any comments by the applicant, along with information available in the responsibility/qualification records in SAM.gov.

G. Award Notices The award or cooperative agreement will be written, signed, awarded, and administered by the Grants Officer. The award agreement is the authorizing document, and it will be provided to the recipient for review and counter-signature. The recipient may only start incurring project expenses beginning on the start date shown on the award document signed by the Grants Officer.

If a proposal is selected for funding, the Department of State has no obligation to provide any additional future funding. Renewal of an award to increase funding or extend the period of performance is at the discretion of the Department of State.

Issuance of this NOFO does not constitute an award commitment on the part of the U.S. government, nor does it commit the U.S. government to pay for costs incurred in the preparation and submission of proposals. Further, the U.S. government reserves the right to reject any or all proposals received.

Unsuccessful applicants: Unsuccessful applicants will be notified by September 26, 2025 via email or MyGrants notification.

Payment Method:

Recipients will be required to request payments by completing form SF-270—Request for Advance or Reimbursement and submitting the form to the Grants Officer biannually and upon completion of agreed milestones.

H. Post-Award Requirements and Administration

1. Administrative and National Policy Requirements Before submitting an application, applicants should review all the terms and conditions and required certifications which will apply to this award, to ensure that they will be able to comply.

These include:

In accordance with the Office of Management and Budget’s guidance located at 2 CFR part 200, all applicable Federal laws, and relevant Executive guidance, the Department of State will review and consider applications for funding, as applicable to specific programs, pursuant to this notice of funding opportunity in accordance with the following: NOTE:

· Guidance for Grants and Agreements in Title 2 of the Code of Federal Regulations (2 CFR), as updated in the Federal Register’s 89 FR 30046 on April 22, 2024, particularly on:

· Selecting recipients most likely to be successful in delivering results based on the program objectives through an impartial process of evaluating Federal award applications (2 CFR part 200.205),

· Promoting the freedom of speech and religious liberty in alignment with Promoting Free Speech and Religious Liberty (E.O. 13798) and Improving Free Inquiry, Transparency, and Accountability at Colleges and Universities (E.O. 13864) (§§ 200.300, 200.303, 200.339, and 200.341),

· Providing a preference, to the extent permitted by law, to maximize use of goods, products, and materials produced in the United States (2 CFR part 200.322), and

· Terminating agreements pursuant to the U.S. Department of State Standard Terms and Conditions, including, to the greatest extent authorized by law, if an award no longer effectuates the program goals or agency priorities (2 CFR part 200.340).

· 2 CFR 25 - UNIVERSAL IDENTIFIER AND SYSTEM FOR AWARD MANAGEMENT

· 2 CFR 170 - REPORTING SUBAWARD AND EXECUTIVE COMPENSATION INFORMATION

· 2 CFR 175 - AWARD TERM FOR TRAFFICKING IN PERSONS

· 2 CFR 182 - GOVERNMENTWIDE REQUIREMENTS FOR DRUG-FREE WORKPLACE (FINANCIAL ASSISTANCE)

· 2 CFR 183 - NEVER CONTRACT WITH THE ENEMY

· 2 CFR 600 – DEPARTMENT OF STATE REQUIREMENTS

· U.S. DEPARTMENT OF STATE STANDARD TERMS AND CONDITIONS

2. Reporting Reporting Requirements: Recipients will be required to submit financial reports and program reports. The award document will specify what reports are required and how often these reports must be submitted. Reports will be due 30 days after the end of a reporting period and in accordance with an agreed upon schedule. A final program and financial report will be due 120 calendar days after the period of performance end date.

Foreign Assistance Data Review: As required by Congress, the Department of State must make progress in its efforts to improve tracking and reporting of foreign assistance data through the Foreign Assistance Data Review (FADR). The FADR requires tracking of foreign assistance activity data from budgeting, planning, and allocation through obligation and disbursement. Successful applicants will be required to report and draw down federal funding based on the appropriate FADR Data Elements, indicated within their award documentation. In cases of more than one FADR Data Element, typically program or sector and/or regions or country, the successful applicant will be required to maintain separate accounting records.

Applicants should be aware of the post award reporting requirements reflected in 2 CFR 200 Appendix XII—Award Term and Condition for Recipient Integrity and Performance Matters.

I. Other Information

Guidelines for Budget Justification

Personnel and Fringe Benefits: Describe the wages, salaries, and benefits of temporary or permanent staff who will be working directly for the applicant on the program, and the percentage of their time that will be spent on the program.

Travel: Estimate the costs of travel and per diem for this program, for program staff, consultants or speakers, and participants/beneficiaries. If the program involves international travel, include a brief statement of justification for that travel.

Equipment: Describe any machinery, furniture, or other personal property that is required for the program, which has a useful life of more than one year (or a life longer than the duration of the program), and costs at least $10,000 per unit.

Supplies: List and describe all the items and materials, including any computer devices, that are needed for the program. If an item costs more than $10,000 per unit, then put it in the budget under Equipment.

Contractual: Describe goods and services that the applicant plans to acquire through a contract with a vendor. Also describe any sub-awards to non-profit partners that will help carry out the program activities.

Other Direct Costs: Describe other costs directly associated with the program, which do not fit in the other categories. For example, shipping costs for materials and equipment or applicable taxes. All “Other” or “Miscellaneous” expenses must be itemized and explained.

Indirect Costs: These are costs that cannot be linked directly to the program activities, such as overhead costs needed to help keep the organization operating. If your organization has a Negotiated Indirect Cost Rate (NICRA) and includes NICRA charges in the budget, attach a copy of your latest NICRA. Organizations that have never had a NICRA may request indirect costs of 15% of Modified Total Direct Costs as defined in 2 CFR 200.1.

“Cost Sharing” refers to contributions from the organization or other entities other than the U.S. Embassy. It also includes in-kind contributions such as volunteers’ time and donated venues.

Alcoholic Beverages: Please note that award funds cannot be used for alcoholic beverages.