Update: $3.4B in new opportunities in USAID's Q2 business forecast

Update, March 24, 2023: This article has been updated to reflect the most recent forecast data that was released after USAID’s March 23 conference call. On March 23, the U.S. Agency for International Development held its second quarterly business forecast for the fiscal year 2023. The call provided details on future funding and partnership opportunities, giving development professionals and organizations an avenue to engage early in the procurement process. Alongside the call, USAID provides data on its business forecast portal, which gets updated regularly. Overall, the agency reported a total of 227 opportunities, worth $29.2 billion — just $200 million more compard to the same quarter in the fiscal year 2022. Devex analyzed the data ahead of the call to see where USAID plans to put its money in the coming months — and how it differs from the previous forecast. All the information is provisional and may change at any time at the agency’s discretion. Which opportunities are in? Based on our analysis, 133 opportunities worth $25.5 billion were also included in the previous forecast. The biggest chunk, worth nearly $13.1 billion, went to the NextGen global health program — which is discussed separately in this article. Meanwhile, there were 88 new opportunities, worth $3.4 billion, added this quarter. More than half of this, worth nearly $2 billion, will be procured by USAID missions, while $1.4 billion will be procured in Washington. Two new opportunities received the biggest allocation, worth $300 million each: • The Digital Strategy Implementation Mechanism, which will provide support services to USAID’s digital development-focused research, training, and partnership. • BHA Ethiopia Rapid Response Mechanism, which will support humanitarian activities in the country. All the other new opportunities ranged from $150,000 to $100 million. Opportunities at USAID missions include: • Indonesia, with $200 million for eight new opportunities: $174.9 million for seven health-related opportunities and $25 million for climate and disaster resilience. • Georgia, with $160 million for four opportunities: $100 million to support a green economy; $50 million to diversify the export market for agricultural goods; and $10 million to promote the rights of disadvantaged groups in the country. • Zimbabwe, with $150 million for three new opportunities: $100 million for HIV/AIDS control and $25 million each for family planning and maternal, newborn, and child health. • West Bank and Gaza, with $125 million for three opportunities: $50 million each for resilient livelihoods and education and $25 million for peace-building programs. • Bangladesh, with $125 million for four opportunities: $75 million for three health-realted opportunities and $50 million to increase the access to agricultural finance. Which opportunities are out? A total of 115 opportunities, worth more than $8.1 billion, were delisted from the latest forecast. According to USAID, opportunities are removed from the forecast for three reasons: an award has already been made; the agency has decided to stop planning or implementing any activities; or funding is no longer available. Among the delisted opportunities is the Energy Indefinite Delivery, Indefinite Quantity, or IDIQ, III — USAID’s $1.5 billion global contracting mechanism for energy sector programs. An IDIQ is a framework contract, which is used by USAID as a quick and easy way to tender contracts. When a contract is released via an IDIQ, only organizations that have been preapproved to join the framework can bid for the work. However, USAID confirmed through an email with Devex that the Energy IDIQ III is still active and said that “USAID is currently working in the pre-procurement and planning phases of this project, and will reach out to all interested bidders through formal USAID channels once ready. The award description and proposed [total estimated cost] remain the same.” Other previously forecast large opportunities that got delisted include: • Prevention of Malaria Through Vector Control, worth up to $1 billion. • Operation and Maintenance and Design, Modernization, and Enhancement of the Agency’s Business Services, IT Systems, and Infrastructure, worth up to $500 million. • Uganda Health Activity, worth up to $300 million. • Achieving and Sustaining HIV/TB Epidemic Control in the KwaZulu Natal Province, South Africa, worth up to $300 million. The rest of the delisted opportunities ranged from $500,000 to $100 million. In brief: NextGen USAID’s 10-year global health program remains the biggest among the forecast opportunities, with $13.1 billion. Two opportunities are currently excluded from the list: TA Marketplace, which was valued at $500 million, and the Strategic Risk Management, worth $50 million. According to USAID, both opportunities will be updated — which means that they are not really out of the forecast. The agency also said that the anticipated solicitation date for the Strategic Risk Management is yet to be determined, citing a shift in the programmatic need as a reason. In the previous forecast, it was set on Jan. 18. Meanwhile, we found no changes around the Integrated PSA. The latest forecast suggests that the anticipated award dates for the rest of the NextGen opportunities have been pushed back further: • QuTi Award — the anticipated award date has been moved from March 22 to Aug. 1. • PSA HIV — the anticipated award date has been moved from Sept. 29 to Dec. 29. • PSA Diagnostics — the anticipated award date has been moved from Sept. 29 to Dec. 29. • NextGen In-country Logistics, or ICL — the anticipated award date has been moved from March 31 to Sept. 30. • CompTA — the anticipated award date has been moved from Jan. 31 to May 31. Try out Devex Pro Funding today with a free five-day trial, and explore funding opportunities from over 850 sources in addition to our analysis and news content.