Article 1 General obligations 1. Article 2 Obligation to provide information and financial and narrative reports 2. Article 3 Liability 4

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1 Page 1 of 15 Annex II General Conditions, Version of February 2015 Table of Contents Article 1 General obligations 1 Article 2 Obligation to provide information and financial and narrative reports 2 Article 3 Liability 4 Article 4 Conflict of interests 4 Article 5 Ownership/use of results and equipment/ visibility and information 5 Article 6 Review 6 Article 7 Evaluation 6 Article 8 Amendment of the Agreement 7 Article 9 Assignment 7 Article 10 Activity period, extension, suspension, force majeure and end date 7 Article 11 Corruption 8 Article 12 Termination for cause 9 Article 13 Eligible costs 10 Article 14 Payment 11 Article 15 Approval of reports, remedies and exchange rate fluctuations 12 Article 16 Accounts and technical and financial checks 13 Article 17 Final amount of financing 15 General and administrative provisions Article 1 General obligations 1.1 The Cooperation Partner shall be responsible for implementing the Project under its own responsibility and in accordance with the description of the project in the Project Document/Application in Annex I with a view to achieving the objectives laid down therein. The Description of the Project shall include a Results Framework/Performance Assessment Framework

2 Page 2 of 15 (PAF) as well as budget. The Project Document including Results Framework/Performance Assessment Framework (PAF) as well as budget will be updated through amendments in writing whenever major changes in the Results Framework are required for effective implementation, taking into account the results of evaluations and reviews and the decisions taken by the Cooperation Partner on the basis of consultations with Sida. 1.2 The Cooperation Partner shall implement the Project with the requisite care, efficiency, transparency and diligence, in line with the principle of sound financial management and with the best practices in the field concerned and in compliance with this Agreement. 1.3 For this purpose the Cooperation Partner shall mobilise all the financial, human and material resources required for full implementation of the Project as specified in the Project Document including budget. 1.4 The Cooperation Partner alone shall be accountable to Sida for the implementation of the Project. Article 2 Obligation to provide information and financial and narrative reports 2.1 The Cooperation Partner must provide Sida with all required information on the implementation of the Project. To that end, the Cooperation Partner must draw up annual narrative and financial reports and a final report. 2.2 The Cooperation Partner shall submit financial reports in accordance with the frequency set out in Article 5.1 in the Special Conditions. The financial reports shall include information on the following; a) the received amount, both in the currency of transfer and the amount in the local currency, b) exchange rate and information on the date when the amount has been credited, The financial reports shall be prepared in a form and at a level of detail that enables a comparison between the actual costs/expenditures of activities for the current reporting period with the budgeted costs/expenditures for the same period, and in the same currency. The financial reports shall cover; c) all Project receipts, and shall specifically show all sources of funding (including in kind contributions), in form and detail that permit identification of individual sources of funds including Sidas, d) accrued interest,

3 Page 3 of 15 e) exchange rate gains and/or losses shall be disclosed, and f) disbursements on eligible activities and expenditure related to the Project that enables comparison of the budget with actual progress. The financial reports shall include information on which accounting standards that have been applied. The financial reports shall also include information on the total spending per reporting period as well as cumulated amounts for the entire activity period. 2.3 The Cooperation Partner shall submit narrative reports in the frequency set out in Article 5.2 of the Special Conditions. The level of detail should match that of the Project Document. The reports shall cover the Project as a whole, regardless of which part of it is financed by Sida. The reports shall provide a full account of all aspects of the implementation of the Project for the period covered, including information needed to demonstrate the fulfilment of the conditions for reimbursement established in this Agreement. The Narrative Report shall include an account, on a cumulative basis, covering the entire activity period, of activities performed during the period of reporting, achieved outputs compared to planned outputs, achieved outcomes compared to plan and progress towards achieving the longer term objectives, the likelihood of achieving the objectives of the Project and risk factors in this respect (this does not apply to the annual report of the last year) and any proposed adjustments in the implementation of the Project, including risk management (this does not apply to the annual report of the last year). 2.4 The Cooperation Partner shall submit to Sida in writing a final narrative report as set out in Article 5.3 in the Special Conditions. The final report shall cover the entire activity period, be analytical in character, and include an account of achieved outputs compared to planned outputs, achieved outcomes compared to intended outcomes, an assessment of factors that have affected the achievement of the objectives, lessons learned from the Project: implementation, design and/or other relevant aspects, and

4 Page 4 of 15 an assessment of possible needs for adjustments in a potential new phase of the Project, including risk mitigating actions. 2.5 The list regarding the transfer of ownership of assets referred to in Article 5.6 in these General Conditions shall be annexed to the final report. 2.6 The reports shall be drafted in English. 2.7 The Special Conditions may set out additional reporting requirements. 2.8 Sida may request additional information at any time and that information must be supplied within 30 days of the request. If the Cooperation Partner fails to provide any report or fails to provide any additional information requested by Sida within the set deadline without an acceptable and written explanation of the reasons, Sida may terminate this Agreement according to Article 12.2 a) and f) in these General Conditions. Article 3 Liability 3.1 Sida shall not under any circumstances or for any reason whatsoever be held liable for damage or injury sustained by the staff or property of the Cooperation Partner while the activities are being carried out or as a consequence of the Project. Sida shall not accept any claim for compensation or increases in payment in connection with such damage or injury. 3.2 The Cooperation Partner shall assume sole liability towards third parties, including liability for damage or injury of any kind sustained by them while the Project is being carried out or as a consequence of the Project. The Cooperation Partner shall hold Sida harmless against all liability arising from any claim or action brought as a result of an infringement of rules or regulations by the Cooperation Partner or the Cooperation Partner s employees or individuals or as a result of violation of a third party's rights. Article 4 Conflict of interests 4.1 The Cooperation Partner undertakes to take all necessary measures to prevent or end any situation that could compromise the impartial and objective performance of this Agreement. Such conflict of interest may arise in particular as a result of economic interest, political or national affinity, family or emotional ties, or any other relevant connection or shared interest. 4.2 Any conflict of interest which may arise during performance of this Agreement must be notified in writing to Sida without delay. In the event of such conflict, the Cooperation Partner shall immediately take all necessary steps to resolve it.

5 Page 5 of Sida reserves the right to verify that the measures taken are appropriate and may require additional measures to be taken if necessary. 4.4 The Cooperation Partner shall ensure that its staff, including its management, is not placed in a situation which could give rise to conflict of interest. Without prejudice to its obligation under this Agreement, the Cooperation Partner shall replace, immediately and without compensation from Sida, any member of its staff in such a situation. Article 5 Ownership/use of results and equipment/ visibility and information 5.1 Ownership of, and title and intellectual and industrial property rights to, the Project s results, reports and other documents relating to it shall be vested in the Cooperation Partner. 5.2 Notwithstanding the provisions of Article 5.1 in these General Conditions, the Cooperation Partner grants Sida the right to use free and at no charge and as it sees fit, and in particular, to store, modify, translate, display, reproduce by any technical procedure, publish or communicate by any medium all documents deriving from the Project, whatever their form. 5.3 The Cooperation Partner shall ensure that is has all rights to use any preexisting intellectual property rights necessary to implement this Agreement. 5.4 In case natural, recognizable persons are depicted in a photograph or film, the Cooperation Partner shall in the Final Report to Sida, submit a statement of these persons giving their permissions for the described use of their images. The above does not refer to photographs taken or films shot in public places where random members of the public are identifiable only hypothetically and to public persons acting in their public activities. 5.5 Unless otherwise specified in the Special Conditions, the equipment, vehicles and supplies paid for by the Budget for the Project must be transferred to any local partners of the Cooperation Partner and/or the final beneficiaries of the Project (as described in the Project Document). This shall be done at the latest by the end of the activity period of the Project. 5.6 Copies of the proofs of transfer of any equipment and vehicles for which the purchase cost was more than Euros per item, shall be attached to the final report. The template in Annex III shall be used. Proofs of transfer of equipment and vehicles whose purchase cost was less than EURO per item shall be kept by the Cooperation Partner for control purposes. 5.7 When referring to activities, fully or partly financed in accordance with this Agreement, the Cooperation Partner shall always recognize and make public that the activities are financed through Swedish development assistance.

6 Page 6 of 15 The Sweden logotype shall be used in the production of information materials and in connection with information activities. The production of such materials is fully the responsibility of the Cooperation Partner and the liability of the contents lies with the publisher. Sida or Sweden shall not be used in any way that can be perceived as if Sida or Sweden has participated in the production or supports any opinions presented. Sida and other departments of the Swedish administration abroad reserve the right to copy and distribute such materials if required. Article 6 Review 6.1 Sida and the Cooperation Partner will meet regularly with the frequency set out in Article 6 of the Special Conditions. Terms of reference for the review meetings will be decided upon jointly by the Parties. Such reviews should include consultation between the Cooperation Partner and representatives for the target group/civil society organizations deemed relevant in the specific Project. Review missions/meetings will be scheduled in such a way that the budget process of the Cooperation Partner is facilitated. The cost of review meetings will be included in the project budget. Costs for participation by other Donors/Development Partners will be borne by themselves. 6.2 Key subjects to be discussed during the review meetings include the implementation of the Project, assessment/review of performance related to target group-s/budget execution and financial needs, expenditure priorities on the basis of the output and outcome indicators described in e.g. the Results Framework/performance assessment framework (PAF); conclusions of field visits, review of action plans/annual work plans as well as budget for the forthcoming calendar year/revenue and expenditure priorities; follow up required on audits and evaluations. 6.3 The conclusions of the meeting shall be recorded in Agreed Minutes. The Agreed Minutes shall be drafted by the Cooperation Partner and a draft shall be sent to Sida for its approval/comments within three weeks after the meeting. Sida shall inform the Cooperation Partner of its approval/comments within three weeks of receipt of the draft. Article 7 Evaluation 7.1 If Sida carries out an (interim or ex post) evaluation, the Cooperation Partner shall undertake to provide any documents or information necessary for the evaluation relating to the performance of the Project. The Cooperation Partner shall assist with the evaluation or monitoring mission, and grant access rights as described in Article 16.2 in these General Conditions.

7 Page 7 of Sida shall be invited to participate in any major monitoring or evaluation mission initiative by the Cooperation Partner relating to the performance of the Project. 7.3 If either Party carries out or commissions an evaluation in the course of the Project, it shall provide the other Party with a copy of the evaluation report. Article 8 Amendment of the Agreement 8.1 Any amendment to the Agreement, including the annexes thereto, must be set out in writing in an addendum. This Agreement can be modified only during its period of validity. 8.2 If an amendment is requested by the Cooperation Partner, it must submit that request to Sida three months before the date on which the amendment should enter into force, unless there are special circumstances duly substantiated by the Cooperation Partner and accepted in writing by Sida. Article 9 Assignment The Agreement and the payments attached to it may not be assigned to a third party in any manner whatsoever without the prior written consent of Sida. Article 10 Activity period, extension, suspension, force majeure and end date 10.1 The activity period of the Project is laid down in Article 2.1 of the Special Conditions. The Cooperation Partner must inform Sida without delay of any circumstances likely to hamper or delay the implementation of the Project. The Cooperation Partner may request an extension of the Project s activity period no later than three months before it ends. The request must be accompanied by all the supporting evidence needed for its appraisal The Cooperation Partner may suspend implementation of all or part of the Project if circumstances (chiefly force majeure) make it too difficult or dangerous to continue. The Cooperation Partner must inform Sida without delay stating the nature, probable duration and foreseeable effects of the suspension and provide all the necessary details. Each Party may terminate the Agreement in accordance with Article 12.1 in these General Conditions. If the Agreement is not terminated, the Cooperation Partner shall endeavour to minimise the time of its suspension and shall resume implementation once circumstances allow, and shall inform Sida accordingly Sida may request the Cooperation Partner to suspend implementation of all or part of the Project if circumstances (chiefly force majeure) make it too

8 Page 8 of 15 difficult or dangerous to continue. Each Party may terminate the Agreement in accordance with Article 12.1 in these General Conditions. If the Agreement is not terminated, the Cooperation Partner shall endeavour to minimise the time of its suspension and shall resume implementation once circumstances allow, after obtaining the prior written approval of Sida The implementation period of the Project shall be extended by a period equivalent to the length of suspension, without prejudice to any amendment to the Agreement that may be necessary to adapt the Project to the new implementing conditions Force majeure shall mean any unforeseeable exceptional situation or event beyond the parties control which prevents either of them from fulfilling any of their contractual obligations, is not attributable to error or negligence on their part (or the part of their subcontractors, agents or employees), and proves insurmountable in spite of all due diligence. Defects in equipment or material or delays in making them available, labour disputes, strikes or financial difficulties cannot be invoked as force majeure. A decision by the Swedish Government to suspend the cooperation with the partner country is considered to be a case of force majeure when it implies suspending funding under this Agreement. A Party shall not be held in breach of its contractual obligations if it is prevented from fulfilling them by force majeure. Without prejudice to Article 12.2 and Article 12.4 in these General Conditions, the Party faced with force majeure shall inform the other Party without delay, stating the nature, probable duration and foreseeable effects of the problem, and take any measure to minimise possible damage. Article 11 Corruption 11.1 The Parties will cooperate on preventing fraud and corruption in connection with the Project, and shall require that the staff involved in, and consultants/suppliers/contractors financed under the Project refrain from offering third parties, or seeking, accepting or being promised by third parties, for themselves or for any other party, any gift, remuneration, compensation or benefit of any kind whatsoever, which could be interpreted as an illegal or corrupt practice The Parties shall promptly inform each other of any instances or suspicions of fraud and corruption as referred to in this article and of the measures taken as referred to in the following sub-paragraph Each Party shall take swift action to stop, initiate investigations and if relevant take actions in order to initiate prosecution against and/or apply sanction in accordance with applicable laws and policies towards any person suspected of misuse of resources, fraud or corruption in connection with the Project.

9 Page 9 of 15 Article 12 Termination for cause 12.1 If a Party believes that the Agreement can no longer be executed effectively or appropriately, it shall consult the other Party. Failing agreement on a solution, either Party may terminate the Agreement by serving two months' written notice, without being required to pay indemnity Sida may terminate the Agreement, without giving notice and without paying compensation of any kind: a) where the Cooperation Partner fails, without justification, to fulfil any of the obligations incumbent on it and, after being given notice by letter to comply with those obligations, still fails to do so or to furnish a satisfactory explanation within 30 days of sending of the letter; b) where the Cooperation Partner is bankrupt or being wound up, is having its affairs administered by the courts, has entered into an arrangement with creditors, has suspended business activities, is the subject of proceedings concerning those matters or is in any analogous situation arising from a similar procedure provided for in national legislation or regulations; c) where Sida has evidence on the Cooperation Partner, or any related entity or person, of grave professional misconduct; this also applies to partners and agents of the Cooperation Partner; d) where Sida has evidence on the Cooperation Partner, or any related entity or person, of fraud, corruption, involvement in a criminal organisation or any other illegal activity detrimental to Sida s financial interests; e) where the Cooperation Partner changes legal personality, unless an addendum recording that fact is drawn up; f) where the Cooperation Partner does not comply with Articles 4, 10 and 17 of these general Conditions; g) where the Cooperation Partner makes false or incomplete statements to obtain the grant provided for in the Agreement or provides reports that do not reflect reality; h) where the Cooperation Partner has not fulfilled obligations relating to the payment of social security contributions or the payment of taxes in accordance with the legal provisions of the country in which it is established; i) where Sida has evidence on the Cooperation Partner or any related entity or person, of substantial errors, irregularities or fraud in the application procedure or the performance of the grant; In the cases referred to in points (c), (d) and (i) above, any related person shall mean any physical person with powers of representation, decision-making or control in relation to the Cooperation Partner.

10 Page 10 of In the event of termination, the Cooperation Partner shall be entitled to payment of the grant from Sida only for the part of the Project carried out, excluding costs connected with current commitments that would be implemented after termination. For this purpose the Cooperation Partner shall introduce a payment request and a final report in accordance with Article 2.4 in these General Conditions as well as Article 5.3 of the Special Conditions However, in the event of termination of the Agreement by Sida under the cases specified in points d), e) and g) of Article 12.2 in these General Conditions, Sida may request full or partial repayment of sums already paid from the grant, in proportion to the gravity of the failings in question and after allowing the Cooperation Partner to submit its observations Prior to, or instead of, terminating the Agreement as provided for in this Article, Sida may suspend payments as a precautionary measure without prior notice This Agreement shall be terminated automatically if it has not given rise to any payment by Sida within twelve months of its signature If the Cooperation Partner has made false declarations, has made substantial errors or committed irregularities and fraud, or has been found in serious breach of its contractual obligations, it may be excluded from any future agreements financed by Sida. Financial provisions Article 13 Eligible costs 13.1 Eligible costs are costs actually incurred by the Cooperation Partner which meet all the following criteria: a) they are incurred during the implementation of the Project as specified in Article 1 of the Special Conditions, whatever the time of actual disbursement by the Cooperation Partner and/or its partners. b) must be indicated in the estimated overall budget of the Project and further detailed in the approved Annual Work Plan and Budget, c) must be necessary for the implementation of the Project, d) they are identifiable and verifiable, in particular being recorded in the accounting records of the Cooperation Partner and determined according to the applicable accounting standards of the country where the Cooperation Partner is established or according to International Financial Reporting Standards (IFRS) and according to the usual cost accounting practices of the Cooperation Partner,

11 Page 11 of 15 e) salary costs debited to the Project must be recorded throughout the duration of the Project in a systemized way and verified by supporting documentation, f) must be reasonable, justified and comply with the requirements of sound financial management, in particular regarding economy and efficiency, 13.2 The following costs shall not be considered eligible for financing from this Agreement: a) debts and debt service charges (interest); b) provisions for losses or potential future liabilities; c) items already financed from another agreement by Sida or other financing agency; d) purchases of land or buildings; e) currency exchange losses; f) credits to third parties; g) travel costs for business or first class; h) extra allowances, such as sitting allowances, or equivalent in order to finance allowances for participating staff/invited speakers/participants of workshops. Article 14 Payment 14.1 The financing provided by Sida shall be paid in semi-annual or quarterly instalments upon receipt and approval by Sida of written payment requests signed by the Cooperation Partner s authorised representative(s). Disbursements are conditional upon the fulfilment of the requirements in this Agreement, progress in relation to project/programme objectives and expected results, as well as actual cash flow needs in accordance with presented annual work plans including budgets The requested amount shall be stated in the currency of Swedish Kronor (SEK), independent of which currency the payment shall be effectuated in. The payment will be effectuated in the preferred currency as indicated by the Cooperation Partner in the request. a) The payment will be made in the currency of SEK provided the information is clearly stated in the request that the bank account can receive SEK,

12 Page 12 of 15 or, b) The payment will be made in a convertible currency other than SEK provided it has been clearly stated in the request and provided that the account can receive the currency indicated. The exchange of the SEK will be made by Sida s bank following the payment instructions from Sida. In order to effectuate the payment during one specific calendar year, the request has to arrive at Sida no later than the 1 st of December in order for Sida to be able to process the payment before the closing of that calendar year The following complete bank details have to be included in the request for both alternatives (a) and (b) above: Name of bank bank account holder, bank account number, IBAN (if applicable), SWIFT/Bic-code (USA/Canada: Fed Wire/ABA routing), Currency of the account 14.4 The first request shall be accompanied by a letter sent from the bank to Sida including an assurance regarding the following: bank account holder, bank account number, IBAN (if applicable), SWIFT/Bic-code as well as the currency of the account. Subsequent disbursement requests need to be accompanied by a new bank letter only if the Cooperation Partner has made any changes regarding any of the above mentioned bank details The Cooperation Partner shall immediately acknowledge the receipt of the funds in writing to Sida. The statement shall include the received amount in the received currency as well as the equivalent amount credited in local currency The Cooperation Partner affirms that the financing provided by Sida shall be used exclusively to cover expenditures allocated for the Project as detailed in the Project Document and further detailed in the approved Annual Work Plan and Budget. Article 15 Approval of reports, remedies and exchange rate fluctuations 15.1 Reports shall be presented in accordance with Article 2 in these General Conditions as well as Article 5 of the Special Conditions Any report shall be approved in writing by Sida. Approval of the reports shall not imply recognition of their regularity nor of the authenticity,

13 Page 13 of 15 completeness and correctness of the declarations and information they contain Sida may suspend its payment by notifying the Cooperation Partner that the request for payment is inadmissible, either because the amount in question is not due or because proper supporting documents have not been supplied or if Sida considers it necessary to conduct further checks, including on-thespot checks, to make sure that the expenditure is eligible. Suspension shall take effect when the notification is sent by Sida Where the application procedure within Sida or performance of the agreement is vitiated by substantial errors or irregularities or by fraud attributable to the Cooperation Partner, Sida may refuse to make payments or may recover amounts already paid, in proportion to the seriousness of the errors, irregularities or fraud. Sida may also suspend payments in cases where there are suspected or established errors, irregularities or fraud committed by the Cooperation Partner in the performance of another agreement funded by Sida. Suspension shall take effect when the notification is sent by Sida In the event of an exceptional exchange-rate fluctuation, the Parties shall consult each other with a view to restructuring the Project in order to lessen the impact of such a fluctuation. Where necessary, Sida may take additional measures. All references to days in this Agreement are to calendar days. Article 16 Accounts and technical and financial checks 16.1 The Cooperation Partner shall keep accurate and regular accounts of the implementation of the action using an appropriate accounting and doubleentry book-keeping system. These systems may either be an integrated part of the Cooperation Partner s regular system or an adjunct to that system. This system shall be run in accordance with the accounting and bookkeeping policies and rules that apply in the country concerned. Accounts and expenditure relating to the Project must be easily identifiable and verifiable. This can be done by using separate accounts for the Project concerned or by ensuring that expenditure for the project concerned can be easily identified and traced to and within the Cooperation Partner s accounting and bookkeeping systems. Accounts must provide details of interest accruing on funds paid by Sida. The Cooperation Partner shall ensure that the Financial Reports (both annual and final) as required under Article 2 in these General Conditions can be properly and easily reconciled to the Cooperation Partner s accounting and bookkeeping system and to the underlying accounting and other relevant records. For this purpose the Cooperation Partner shall

14 Page 14 of 15 prepare and keep appropriate reconciliations, supporting schedules, analyses and breakdowns for inspection and verification The Cooperation Partner shall allow Sida to carry out verifications in order to verify, by examining the documents or by means of on-the-spot checks, the implementation of the Project and conduct a full audit, if necessary, on the basis of supporting documents for the accounts, accounting documents and any other document relevant to the financing of the Project. The supporting documents shall be available in the original form including in electronic form. These inspections may take place up to 7 years after the payment of the balance. Furthermore, the Cooperation Partner will allow any external auditor authorised by Sida carrying out verifications to carry out checks and verifications as described above. The Cooperation Partner shall, on request, give the Swedish National Audit Office (SNAO) the opportunity to audit how the contribution has been used by the recipient and thereby supply information necessary for such audit. To this end, the Cooperation Partner undertakes to give appropriate access to any such auditor carrying out verifications as required to the sites and locations at which the Project is implemented, including its information systems, as well as all documents and databases concerning the technical and financial management of the Project and to take all steps to facilitate their work. Access given shall be on the basis of Swedish law in respect of issues of confidentiality. Documents must be easily accessible and filed so as to facilitate their examination and the Cooperation Partner must inform any such auditor of their precise location In addition to the reports mentioned in Article 5 of the Special Conditions, the documents referred to in Article 16.2 in these General Conditions include: a) Accounting records (computerised or manual) from the Cooperation Partner s accounting system such as general ledger, sub ledgers and payroll accounts, fixed assets registers and other relevant accounting information; b) Proof of procurement procedures such as tendering documents, bids from tenderers and evaluation reports; c) Proof of commitments such as contracts and order forms; d) Proof of delivery of services such as approved reports, time sheets, transport tickets, proof of attending seminars, conferences and training courses (including relevant documentation and material obtained, certificates), etc; e) Proof of receipt of goods such as delivery slips from suppliers;

15 Page 15 of 15 f) Proof of purchase such as invoices and receipts. g) Proof of payment such as bank statements, debit notices, proof of settlement by the subcontractor; h) For fuel and oil expenses, a summary list of the distance covered, the average consumption of the vehicles used, fuel costs and maintenance costs; i) Staff and payroll records such as contracts, salary statements and time sheets. For local staff recruited on fixed-term contracts, details of remuneration paid, duly substantiated by the person in charge locally, broken down into gross salary, social security charges, insurance and net salary. For expatriate and/or European-based staff (if the activities are implemented in Europe) analyses and breakdowns of expenditure per month of actual work; assessed on the basis of unit prices per verifiable block of time worked and broken down into gross salary, social security charges, insurance and net salary. The financial report shall include information on the principle used for calculation of salary costs allocated to the Project. The applied principle must allow for the follow up and auditing of salary costs. Article 17 Final amount of financing 17.1 Any accrued interest is due to Sida. The accrued interest is not taken into account when calculating the total sum of financing under the Agreement and are not considered as revenue of the Project for the purposes of final amount The Cooperation Partner accepts that the grant can under no circumstances result in a profit for itself and that it must be limited to the amount required to balance income and expenditure for the Project. Profit shall be defined as a surplus of the receipts over the eligible costs approved by Sida In addition and without prejudice to the right to terminate the Agreement in accordance with Article 12.2 in these General Conditions, Sida may, by a duly reasoned decision, if the Project is not implemented or is implemented poorly, partially or late, reduce the grant initially provided for in line with the actual implementation of the Project on the terms laid down in this Agreement If the total costs of the Project at the end of the Project are less than the estimated total cost as referred to in Article 3.1 of the Special Conditions, Sidas contribution shall be limited to that amount.