REQUEST FOR EXPRESSIONS OF INTEREST AFRICAN DEVELOPMENT BANK Resource Mobilization and Partnerships Department (FIRM) Individual Consultant

1. The African Development Bank invites eligible consultants experienced in Trust Fund policies, practices and systems to indicate their interest in the following assignment. The Consultant will play an important role in supporting FIRM to update the Bank’s current Trust Fund policy and contribute to more effective and efficient Trust Fund management at the Bank.

2. The services to be provided under the Assignment, which will be based on guidance from the Task Manager, include the following activities:

• Produce a thorough desk review and synthesis of the Bank’s previous work and lessons of experience on Trust Fund policies, practices, processes, and systems;
• Provide a benchmarking review and comparison of Trust Fund policies vis-à-vis other regional and multilateral development institutions (e.g., the WB, AsDB, & IADB);
• Conduct targeted interviews with user departments (Regional and Sector teams) and selected bilateral donors and RMCs to (i) obtain their perspectives on the AfDB’s Trust Fund portfolio and (ii) identify issues or impediments that are not sufficiently adapted for the efficient set-up and use of trust funds;

• Provide evidence-based suggestions for any reforms capable of supporting the more efficient operation of trust funds; with a particular focus on organizational structure and governance issues, implementation and support practices as well as IT systems;

• Organize and facilitate a validation workshop to obtain feedback on the key recommendations and work product, in order to ensure institutional buy-in and coordination;

• Perform other duties as assigned, consistent with the role and level.

3. Interested Consultants shall provide information on their qualifications and experience demonstrating their ability to undertake this assignment (documents, reference to similar services, experience in similar assignments, etc.).

4. The eligibility criteria, the establishment of a short list and the selection procedures shall be in conformity with the Bank’s Rules and Procedures for the Use of Consultants. Please note that interest expressed by a Consultant does not imply any obligation on the part of the Bank to include him/her in the shortlist.

5. The estimated duration of services is four (4) months and the estimated starting date is 1 October 2018.

6. Interested Individual Consultants may obtain further information at the address below during the Bank’s working hours.

7. A short-list of three to six individual consultants will be established at the end the request of expressions of interest. The consultants on the shortlist will be judged on the following criteria based on their updated resume.

8. Expressions of interest must be received at the address below no later than September 11, 2018 at 17:00hrs local time and specifically mentioning “Trust Fund Consultant”:

Mr. Roderic Norman

E-mail: [email protected] with copy to

[email protected]

AFRICAN DEVELOPMENT BANK GROUP

A REVIEW OF TRUST FUND POLICIES, PRACTICES, PROCESSES AND SYSTEMS

TERMS OF REFERENCE

1. Summary

The Resource Mobilization and Partnerships Department (FIRM) of the African Development Bank Group (AfDB) seeks the services of a consultant to review the trust fund policies, practices, processes and systems of the Bank. This will include a thorough review of existing Trust Fund policies and procedures, a benchmarking vis-à-vis other regional and multilateral development institutions and the development of a concise set of recommendations to inform a new Trust Fund policy that will contribute to more effective and efficient Trust Fund management at the Bank.

2. Background

The Resource Mobilization and Partnerships Department (FIRM) is responsible for strategic partnerships, donor resource mobilization and the leveraging of the financial resources and instruments of the African Development Bank Group. FIRM supports the financing of Africa’s transformation based on the Bank’s Ten Year Strategy (TYS) and the High 5 priorities, namely 1) Light up and power Africa; 2) Feed Africa; 3) Industrialize Africa; 4) Integrate Africa; and 5) Improve the quality of life for the people of Africa.

FIRM is comprised of two divisions – FIRM.1 and FIRM.2 with primary accountability to increase the pool and types of funding available to the Bank’s regional member countries (RMCs).

FIRM.1 is responsible for resource mobilization initiatives and partnerships with sovereign entities. It is mandated to mobilize, allocate and monitor resources for the Bank’s statutory capital, including the African Development Fund (ADF) and ensuring compliance with the ADF rules and the commitments taken upon the replenishment negotiations. This Division leads, coordinates and supports the implementation of the Highly-Indebted Poor Countries (HIPC) and Multilateral Debt Relief Initiative(s) (MDRI). FIRM.1 coordinates the Country Policy and Institutional Assessment (CPIA) and is responsible for the allocation process of ADF resources among beneficiary countries, and it monitors their use in accordance with various ADF policies and guidelines. FIRM.1 is also responsible for the periodic reporting on the use of ADF funds, leads the partnership with sovereign entities such as bilateral aid agencies and manages most bilateral trust funds of traditional partners.

1 FIRM. 2 is responsible for managing relationships with new partners, emerging economies and non-sovereign partnerships including relationships with private sector co-financiers and institutional investors, Sovereign Wealth Funds, pension funds, development finance institutions (DFIs), international institutions, private sector entities, and philanthropic foundations. The Division promotes co-financing with multilateral development banks and bilateral agencies and finds ways to partner with non-traditional donors; handles communications and outreach to companies wishing to work with the Bank under bid tendered procurement processes (commonly referred to as Business Opportunity Seminars or BOS); and outreach to companies wanting to ensure compliance with our environmental and social safeguards. FIRM.2 also manages the Private Sector Enhancement Facility, a risk-sharing instrument (operationalized in 2015) that aims to incentivize the non-concessional financing window of the African Development Bank Group to invest in non-sovereign operations in Lower Income Countries.

3. Trust Funds and Challenges

The global financial architecture is evolving and the Bank Group must keep pace with emerging developments in order to leverage additional resources and attract partners. One of these areas is through Trust Funds, which have maintained their place as a significant pillar in the Bank’s business given their ability to complement the Bank’s project cycle activities, such as financing project preparation, capacity-building activities and piloting innovative work product. The Bank’s 42 Trust funds are currently distributed into bilateral, multi-donor thematic funds, with two country-focused vehicles and special Funds. They are funded mainly by sovereign donors and two new trust funds have recently been concluded with non-sovereign entities. In total, the Bank has received resources – since its inception – worth approximately UA 1 billion – and there is potential to grow these and mainstream them into the Bank’s business.

A number of challenges have been identified through internal and external consultations and cross-functional stakeholder reviews, prior studies conducted by independent evaluation units and, more recently, the establishment of an internal Bank working group to review Trust Funds in the Bank and to assist in developing recommendations for policy and practice improvements. Among the areas – across the Trust Fund management life cycle – that have been highlighted for review are the following: Establishment Thresholds, Delegation of Authority, Approval thresholds, Procurement processes, Permissible instruments, Trust Fund Management IT Systems (including financial reporting, automation, standardization), Rules on dealing with non-traditional partners, Trust Fund Management Training, Governance and back and mid-office support structure models. While there have been many improvements, more work remains to mitigate the high reputational risk of serving as a Fiduciary and responsible manager of third party funds in this important area.

• Traditional partners such as the UK, Japan, France and the US.

4. Objectives of the Assignment

FIRM is seeking an individual consultant to review the trust fund policies, practices, processes and systems of the Bank. This will include a thorough review of existing Trust Fund policies and procedures, a benchmarking vis-à-vis other regional and multilateral development institutions (e.g., the WB, AsDB, & IADB) and the development of a concise set of recommendations to inform a new Trust Fund policy that will contribute to more effective and efficient Trust Fund management at the Bank.

This exercise will be carried out over a period of four (4) months. The consultant will report to the Director of FIRM.

5. Scope of work and major activities

The scope of work shall include but will not be limited to the following key activities:

• Produce a thorough desk review and synthesis of the Bank’s previous work and lessons of experience on Trust Fund policies, practices, processes, and systems;

• Provide a benchmarking review and comparison of Trust Fund policies vis-à-vis other regional and multilateral development institutions (e.g., the WB, AsDB, & IADB);

• Conduct targeted interviews with user departments (Regional and Sector teams) and selected bilateral donors and RMCs to obtain their perspectives on the AfDB’s Trust Fund portfolio and to identify issues or impediments that are not sufficiently adapted for the efficient set-up and use of trust funds;

• Provide evidence-based suggestions for any reforms capable of supporting the more efficient operation of trust funds; with a particular focus on organizational structure and governance issues, implementation and support practices as well as IT systems;

• Organize and facilitate a validation workshop to obtain feedback on the key recommendations and work product in order to ensure institutional buy-in and coordination;

• Perform other duties as assigned, consistent with the role and level.

6. Deliverables

Expected deliverables (along with their timeline) will be based on the various activities listed in Section 4 and 5 and will be finalized with the consultant upon signing the contract. At a minimum, the consultant is expected to deliver a paper that will include:

• An analysis describing the current policies, practices, processes and systems of the Bank relating to trust funds;

• A benchmarking review of trust fund policies, practices, processes and systems vis-a-vis sister institutions;

• Proposals for improvements in the current Bank policies, practices, processes and systems for trust funds; and

• Recommendations for moving from grant-financed only trust funds to include other financing instruments (i.e. reimbursable grants, equity, etc.); as well the ability to work with non-traditional actors (i.e. NGOs, Private sector).

7. Reporting

The consultant will submit: (a) an Inception Report within 4 weeks of signing the Contract; (b) a Mid-term Report; and (c) a Draft Final Report. Based on the comments received from FIRM Management, the Final Report will be issued at the end of the Assignment.

8. Qualifications
   

• Master’s degree in international relations, law, development, finance, economics or related studies;

• A minimum of 15 years of experience with a proven professional record in working in the field of development finance within a multilateral organization;

• A good understanding of trust fund instruments and co-financing mechanisms in a development finance context;

• Prior experience with MDBs or IFIs, on development issues; Prior experience with the African Development Bank is an advantage;

• Good understanding of the development finance context;

• Advanced skills analyzing and benchmarking of development finance policy reforms and rules as well as familiarity with trust fund and co-financing operations;

• Fluency in English and/or French, with working knowledge of the other language;

• Excellent interpersonal skills; and

• Excellent analytical skills.

9. Duration and Location

This is a four (4) months consultancy and the estimated starting date is 1 October 2018. The Consultancy will be home-based with punctual missions to Abidjan, Cote d’Ivoire at the Bank’s HQ when required, following an initial scoping mission to HQ.

10. Costs

The consultant will receive a monthly lump sum. No additional benefits or per diems will be paid and the consultant is responsible for his/her own health insurance. The Bank will cover full costs of any required missions and provide per-diem in accordance with rules governing consultant mission travel.

11. Accountabilities

The consultant will formally report to the FIRM Director, through the Division Manager of FIRM.2.

12. Submitting Proposals

Interested individuals or firms must submit the following documents/information to demonstrate their qualifications:

• Cover letter explaining why you are the most suitable candidate for this assignment.

• CV including past experience and at least 3 references; and

• Three examples of previous written work to be provided in soft copy.

Individual consultants will be evaluated based on the following methodology:

Only candidates obtaining a minimum of 75 points in the evaluation will be considered.