The Canada Fund for Local Initiatives (CFLI) is a small grants program that the Government of Canada operates in developing countries around the world. The objective of the Canada Fund in Mongolia is to support / fund, through the Embassy in Ulaanbaatar, local initiatives in improved governance and democratic development. Since the establishment of the CFLI in Mongolia in 1997, the Canada Fund has supported over 430 small-scale projects, predominantly oriented toward poverty alleviation and governance capacity building.

Programming Priorities for the Canada Fund in Mongolia

The Canada Fund in Mongolia will support projects in the following areas:

 Empowering women and girls and promoting gender equality;
 Promoting human development, specifically in the areas of health, nutrition, and education;
 Championing human rights, inclusive and accountable governance, democracy, peaceful pluralism, and respect for diversity;
 Supporting inclusive and green economic growth;
 Promoting action on the environment, including water and climate change;


Cross-Cutting Themes

All projects should demonstrate the following:

 Gender Equality: All projects should ensure equal participation of female and male beneficiaries, as appropriate, and should aim to address gender inequalities in targeted communities.
 Environmental Protection: All proposals should include an analysis of the potential environmental risks and opportunities, including a description of the measures that will be taken to mitigate adverse effects and enhance environmental benefits.
 Sustainability: All projects should include plans for building local capacity and for maintaining project results following the completion of project activities.
 Participation: All projects should be initiated by local communities and should involve the active participation of beneficiaries in all project stages and decision-making processes.


Who can apply

 Local non-governmental, community and not-for-profit organizations;
 Local academic institutions working on local projects;
 Soum, bagh, horoo, district level government institutions or agencies;


How to Apply

The Canada Fund provides one-time financial support for small-scale, short-term projects that address local needs and contribute to long-term development goals. The Canada Fund does not design or implement projects, but responds to requests that come directly from local communities.

Project applications should outline proposed series of activities aimed at achieving certain objectives within a specific budget, and should include information on the beneficiaries as well as the applicant organization.

The application deadline for the current cycle is June 5, 2017 at 17:00 hrs local time. Applications submitted after the deadline will not be accepted. Project activities for the current cycle (2017-2018) should be expected to commence by August 24 and be completed by 1 February 2018.

Please note the following requirements for submitting proposals:

 All sections of the proposal must be filled out in order to be considered.
 All proposals must be submitted in Word document format. PDFs will not be accepted.
The Application Form can be downloaded from website at:
When completed, the Proposal form must be submitted to the Canada Fund at: Applications can be submitted in Mongolian and/or English.


Project Budgets

Budgets should be developed using reasonable estimates of expenses that would be required to complete project activities and achieve project results. It is expected that a local contribution will cover a significant portion of the budget, at least 10%.  The local contribution can include financial support, donated materials, and/or in-kind labour and services, and should be clearly defined in both the application and budget. The maximum amount for the Canadian contribution is 50 million tugriks.

 Eligible costs: Because all Canada Fund projects are local, community-based projects, it is expected that budget costs will reflect prevailing local market rates. Project partners should aim to get the best, competitive prices for goods, services, and contracts. Project management costs should represent a minimal proportion of the total budget. Costs for project managers, trainers, etc. are acceptable but must be directly related to the project activities.
 Ineligible costs: The Canada Fund does not cover stipends/incentives for trainees, basic research, non-activity related administrative costs, or the purchase of high-maintenance equipment. The Canada Fund cannot fund projects whose main purpose is to finance the core operations or recurrent costs of a group or organization.

Once a project is approved and funds are disbursed, no further financial support will be provided beyond the authorized project budget for any given project.

Project Approval Process

    1. Project Proposals: Project proposals that are based on local needs, meet the Canada Fund’s priorities and theme requirements, and designed together with local communities, are submitted to the Canada Fund.
    2. Acknowledgement of receipt: A receipt will be sent to email address in your proposal.
    3. Review and selection will be carried out by the Canada Fund Committee and the Committee then decides whether to recommend a proposal for approval; committee may request additional information or meet with potential applicants or visit the project site before making a decision.
    4. Approval: Recommended by the Canada Fund Committee proposal will be approved by the Ambassador of Canada to Mongolia. An agreement will be signed by the recipient organization and the Ambassador of Canada. This represents an agreement between the Canadian Embassy and the local organization.
    5. Notification of applicant: the notification of successful and unsuccessful applications will be sent to email address in your proposal by July 17, 2017.
    6. Training: All recipient organizations will take part in the orientation session on Project Management & Canada Fund Requirements before the disbursement of funding to the organization.
    7. Advance Payments (First Disbursement of Funds): After Agreement signing and taking part in orientation session, an advance payment of project funds (the first disbursement) is made to the local implementing partner. Recipient organizations are also provided with detailed guidelines on financial management and reporting.
    8. Project Implementation: Projects are implemented according to the Agreement.  Any significant changes to the project [i.e. changes that require a reallocation of budget line items by more than 10%; addition or deletion of major project activities or components; important changes to the number of communities/beneficiaries covered, etc.] must be submitted to the Canada Fund for approval.  Funds spent on unapproved items will be subject to recovery by the Canadian Embassy.  An interim narrative and financial report with photocopies of receipts showing funds spent to date is submitted to the Canada Fund to document project progress; following satisfactory review the interim payment (if applicable) is made.
    9. Final Report: A final narrative and financial report is presented to the Canada Fund with original receipts according to the deadline stipulated in the Project Agreement.  Canada Fund grant recipients are expected to maintain project files and financial records for at least five years.
    10. Payment of Remaining Funds (Final Disbursement of Funds): If the final report is satisfactory, the remaining funds (minimum 10% holdback) are transferred to the implementing partner.  Project implementers and beneficiary communities continue to follow-up on project outputs to ensure that beneficiaries have the skills and support needed to sustain project results.
    11. Monitoring, Evaluation and Audits: The Canada Fund reserves the right to visit and inspect projects at any time.  The Canada Fund may hire independent monitors and auditors to conduct monitoring and evaluation of projects, with lessons learned shared with relevant partner organizations.

Contact Information

Please e-mail proposals to:
Please download proposal forms from: