WORKING WITH DG ECHO AS AN NGO PARTNER | 2021 - 2027
The financial threshold based on the open amount defines ECHO’s accepted level of risk exposure to the partner. The accepted level of risk exposure is expressed as a percentage of the organisation's turnover. This amount decreases any time ECHO pays a pre-financing and increases again upon submission of a request of further pre-financing or of the final report.
• Organisation maximum accepted open amount = € 2.000.000
• Action budget: € 1.000.000
• First pre-financing received: 50% = € 500.000
• Available open amount: € 1.500.000
When the partner declares that 70% of the first pre-financing has been consumed (= € 350.000), it may submit a request for a second pre-financing.
• Second pre-financing received: 30% = € 300.000
• Available open amount: € 1.500.000 + € 350.000 – € 300.000 = € 1.550.000
As soon as the partner submits the final payment request (together with the final report), and assuming that the total incurred costs correspond to the initial budget, the open amount will return to € 2.000.000.
The open amount will be reduced on the date of the submission of the Final Report.
The submission of interim report will not affect the threshold of the open amount.