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<p>The UK has a zero-tolerance approach to fraud and robust controls against the diversion
of aid to ensure that funds are used only for their intended purpose. These include
due diligence assessments of our partners, mapping of funds through the delivery chain,
regular programme monitoring and annual audits.</p><p> </p><p>DFID’s programme <em>Supporting
Economic Empowerment and Development in the Occupied Palestinian Territories (SEED
OPTs)</em> has several components, working on trade facilitation and customs, water
and energy, and helping the PA and Israel to abide by their obligations under the
Paris Protocol. Work with the Palestinian Authority in the water and energy sectors
will be channelled through The World Bank Partnership for Infrastructure Development
in the West Bank and Gaza Multi Donor Trust Fund. Through this framework, funds will
flow from the trust fund to dedicated accounts that will be managed by the PA in accordance
with rules established by the World Bank.</p><p> </p><p>Alongside a range of other
safeguards, all components will be subject to financial audits. The terms of reference
of the audits will vary depending on the component, however all independent financial
audits provide assurance to DFID that the expenditure of funds will only be on agreed
programme activities. The overall DFID OPTs portfolio is also subject to the regular
audit cycle of DFID’s Internal Audit Department and the National Audit Office.</p>
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