Consultancy Service to Develop an NFIS Governance Structure for Central Bank of Mauritania

1. Background

The Alliance for Financial Inclusion

The Alliance for Financial Inclusion (AFI) is the world’s leading organization on financial inclusion policy and regulation. Currently, nearly 100 member institutions make up the AFI network including central banks, ministries of finance and other financial policymaking or regulatory institutions from over 85 developing countries and emerging markets. AFI empowers policymakers to increase the access and usage of quality financial services for the underserved through sustainable and inclusive policies and an effective use of digital technologies.

Policies developed and implemented by the members of the Alliance contribute to a range of the Sustainable Development Goals. by Setting their own agenda, AFI members harness the power of peer learning to develop practical and tested policy reforms that enhance financial inclusion with strategic support from both public and private sector partners.

AFI has 7 Working Groups (WGs): Consumer Empowerment and Market Conduct Working Group (CEMCWG), Digital Financial Services Working Group (DFSWG), Financial Inclusion Data Working Group (FIDWG), Financial Inclusion Strategy Peer Learning Group (FISPLG), Global Standards Proportionality Working Group (GSPWG), Inclusive Green Finance Working Group (IGFWG) and SME Finance Working Group (SMEFWG).

As the key source of policy developments and trends in financial inclusion and as the primary mechanism for generating and incubating technical content in the network, the Working Groups serve as “communities of practice”. Providing a platform for knowledge exchange and peer learning among policymakers to share, deliberate and deepen their understanding, the working groups offer leadership and expertise in their respective policy fields and support the network to monitor new developments in emerging fields.

The knowledge generated via the working groups is disseminated for implementation by a range of capacity building activities such as Joint Learning Programs, Member Trainings, Trainings by Private Sector Partners. The practical experience members garner from engaging in peer learning based capacity building is then applied by members as in country implementation projects which are supported by the provision of financial or technical support to AFI member institutions in conducting activities that aim to deliver financial inclusion policies, regulations, supervisory tools or enablers for the development of policies, such as national financial inclusion strategies

The working groups receive strategic guidance and insight from the High-Level Global Standards & Policy Committee, while the Gender Inclusive Finance Committee, supports WGs in integrating gender considerations into all aspects of their work and support members in fulfilling their Denarau Action Plan (2016) commitment to promote women’s financial inclusion.

AFI members have made further commitments in a range of other accords which can be read here.

The AFI’s five regional initiatives support policy implementation in Africa (AfPI), Latin America and the Caribbean (FILAC), the Pacific Islands (PIRI), Eastern Europe and Central Asia (ECAPI) and the Arab Region (FIARI).

2. Project Background :

BANQUE CENTRALE DE MAURITANIE

The Banque Centrale de Mauritanie (BCM) was created by law in 1973 and since then, the BCM has been achieving its sovereign goals of promoting a sustainable financial system, maintaining monetary value and controlling inflation, while staying open to payments and mobile money innovations. There is no digital money in Mauritania and the BCM is looking to update the banking sector to incorporate new technologies. Therefore, since 2019, the BCM has been engaged in the process of formulating and implementing a National Financial Inclusion Strategy (NFIS) to promote a sustainable financial sector and enhance financial inclusion, specifically targeting non-banked and vulnerable populations like women and forcibly displaced persons (FDPs). The NFIS has the following objectives:

• Strengthen and accelerate sustainable and inclusive economic growth
• Facilitate access to financial services for households and businesses
• Promote the development of financial products and services adapted to customer needs
• Promote financial education
• Promote the use of New Information and Communication Technologies (NTIC) for the provision of financial services
• Promote the emergence of a formal financial consumer protection framework

In this purpose, the BCM have requested the support from AFI to fund a national demand side survey on households and MSMEs to increase knowledge on financial inclusion data. In parallel, BCM have conducted a supply side survey towards banks and financial institutions (leasing companies, microfinance institutions…).

The national demand side survey has been completed during 2021 and the results constitutes the baseline of a diagnostic of the financial inclusion which is undertaken by a consultant funded by AFI who will also draft a roadmap to include the forcibly displaced people into the NFIS, in the phase of being formulated.

The financial inclusion diagnostic will enable BCM to have a good understanding on the status of financial inclusion in Mauritania, on the constraints and barriers to access and usage of quality financial services (including digital), and on potentialities on which BCM can leverage for a better access to finance for excluded population in particular women, FDPs and SMEs. This knowledge and understanding of the findings are the foundation for the formulation of the NFIS which will be supported by AFDB. In this context, BCM have requested from AFI the support to define and implement a governance structure to coordinate activities for NFIS formulation and implementation, including a coordination mechanism equipped with a secretariat.

In that objective, AFI seek to recruit a consultant to achieve this assignment and propose a governance structure.

Overall Objective:

The overall goal of the project is to support the formulation and implementation of the National Financial Inclusion Strategy in the process of being developed, through the proposition of a governance structure to coordinate activities for NFIS formulation and implementation, including a coordination mechanism equipped with a secretariat.

This technical support will enable BCM to move forward to the next step of formulating the NFIS with a coherent and structured approach.

3. Project Components:

i. Rationale

The purpose of this technical support is to provide guidance and recommendations to establish a governance structure with high-level, steering and technical committees, secretariat, working groups and a coordination mechanism which will be carefully contextualized to fit into the context in Mauritania, including recommendations on the needed internal structures within BCM to host such a NFIS coordination mechanism and secretariat.

The technical support will include a benchmark of governance models among AFI members with focus on models that could be adapted in the context of Mauritania. This support will also allow to undertake a stakeholder mapping, to develop TOR for different entities of the governance structure, and to propose a structuration, including the budget and the monitoring tools, for BCM to start the activities of the Secretariat.

ii. Activities

There are six main activities :

1. Benchmarking of relevant NFIS governance structures : the consultant will analyse governance structures and the NFIS context in which they have been built by AFI members countries which have a similar economic, geographic, and institutional context as Mauritania, and combine this benchmarking exercise with global best practices related to the development and implementation of NFIS governance structures. The consultant will draw lessons learnt and recommendations that will be the baseline to develop a governance structure proposal for the institutional context of Mauritania.
2. Mapping of Stakeholders : The consultant will identify the current government and legal organizational structure to rule, oversee and guide the NFIS in Mauritania, including desk research and a consultation process with all relevant stakeholders which are to be involved in the development and implementation of the NFIS. Based on the review of the current structure in place (National Committee in charge of the NFIS formulation and implementation), the consultant will identify and complete the main stakeholders list involved in the formulation. The consultant will organize meetings with stakeholders (including regulatory, government, private, socal and development sectors in Mauritania) to understand their roles and objectives and to analyse the institutional context between stakeholders and provide recommendations to enable effective stakeholders coordination and communication.
3. Proposal for a governance structure : Building on the results of the benchmarking exercise (including lessons learned and recommendation provided), the consultant will propose a governance structure, equipped with a secretariat which will secure high-level leadership and national stakeholders buy-in. The consultant will draft terms of reference (TOR) for each of the entities, including their roles, objectives, frequency of meetings, who is deciding on what (at strategic, operational, and institutional levels). In addition, the consultant will develop a process to make the governance structure workable in terms of communication, coordination, and results. Once agreed upon by BCM, the governance structure will be proposed to the NFIS stakeholders for approval and comments via meetings and a consultative workshop. The final approved version of the governance structure will be presented during a high-level workshop which will also present the results of the financial inclusion diagnostic.
4. Institutional Development of the Secretariat : The consultant will design an appropriate organization of the Secretariat in BCM which is aligned with the NFIS governance structure, and which will optimize leadership, traction and efficiency based on the identification of suitably skilled staff. In addition, the consultant will assist to identifying and recommend viable options for assigning sufficient budget to employ the Secretariat’s staff throughout the duration of the NFIS, design an activities plan, communication strategy as well as monitoring tools to ensure that the Secretariat works efficiently and regularly reports to the relevant entities within the NFIS Governance Structure.
5. Implementation of the Secretariat : The consultant will provide the necessary onsite support to BCM for the inception of the Secretariat, through an in-country mission, defining a detailed roadmap for an effective implementation of the Secretariat structure in a day-to-day basis. This onsite assistance will also include the support to developing key tools (MoUs, ToRs, monitoring and reporting, etc) for the coordination meetings with stakeholders and the implementation of the action plan of the Secretariat.
6. Support to the high-level workshop : After the proposed NFIS governance structure will be approved by BCM and all stakeholders, the consultant will present the governance structure during the high-level workshop organized with the objective to present the result of the financial inclusion diagnostic and to officially launch the process of the NFIS coordination and to raise national stakeholders commitment.

4. Scope of Work:

The consulting firm/consultant will produce a report on an appropriate governance structure for BCM to coordinate among different stakeholders involved in the formulation of the NFIS, to follow up the formulation, and to closely monitor its implementation.

The following sets out the scope of work and specific deliverables under this brief:

• Inception meeting: preliminary consultations with the BCM and AFI team to agree on the scope of work, deliverables, partners (e.g., ANSADE), support needed, reporting process, and related timelines.
• Stakeholder mapping (report) : analysis of the roles and objectives of main public and private institutions involved in the formulation and/or implementation of the NFIS and analysis of the institutional context and way of doing effective communication. This mapping will include data stakeholders that will provide data to follow up implementation and impact of the NFIS. The consultant will need to meet the stakeholders in Mauritania.
• Governance structure :
  • Benchmark (report) of AFI members governance structure : presentation and lessons learnt from different governance structures in place in AFI members institutions. The selection of countries in the benchmark will take into consideration comparable countries regarding Mauritania’s institutional, political, and economical context. This analysis will draw recommendations for a governance structure for Mauritania.
  • Review of the current governance structure in place (if any) (report)
  • Proposal (report) for a specific governance structure including secretariat for Mauritania with high level leadership : rationale, mission, objectives, identification and role of entities, process for an effective coordination.
  • Development of Secretariat organization: report including inception plan, definition of main objectives, functions, roles and responsibilities, and team basic structure, planning of activities, budget, and monitoring tools, drafting of TORs for the entities and the Secretariat.
  • Onsite support for the implementation of the governance structure
• Consultation meetings and/or workshops with stakeholders: Consult stakeholders to define the appropriate governance structure, consolidate comments and reach agreement on the proposed governance that would need to be formally approved by the BCM. The consultant will also consider the work achieved related to the formulation of the NFIS and will consult the consultant recruited by AFDB
• Support to a high-level workshop: The consultant will present the governance structure at a dedicated high-level workshop gathering main national stakeholders.

5. Timelines:

The scope and tentative timelines for this assignment is detailed below:

Activity

Output/ Deliverable

Timeline

Appointment of Consultant and start of consultancy – Early April 2022

• Signed Agreement with Consultant

Inception Meeting – April 2022

• Agreement scope, expected deliverables, support needed, reporting and related timelines

Analysis of stakeholders role and institutional context including onsite mission for consultative meetings with stakeholders – April 2022

• Mapping of stakeholders

Analysis of governance structures compatible with the Mauritanian context – April 2022

• Benchmarking of governance structures

Proposal for a suitable NFIS governance structure and Secretariat including review of the current structure in place and onsite mission – May 2022

• Governance structure model approved by stakeholders and the BCM

Organization of the Secretariat including onsite mission – May 2022

• Defining the basic setup of the Secretariat including its main objectives, functions, roles and responsibilities, and team basic structure, planning of activities, budget, and monitoring tools, drafting of TORs for the entities and the Secretariat.

Implementation of the Secretariat – June 2022

• Reports to identify the risks including possible constraints, obstacles, needs of the BCM during the implementation.

• Defining a detailed roadmap or implementation plan to allow BCM setting up an effective and efficient Secretariat and the basic interactions with the other NFIS coordination/governance structures (Committees, Working Groups, , etc), including the design and application of monitoring and reporting tools (monitoring and reporting tools, budgets, TORs, etc).

Workshop presentation – June 2022

• PowerPoint and report

Prepare a final report on the path to implement a suitable governance structure with lessons learnt and recommendations – July 2022

• Final report approved

During the assignment, the BCM and AFI team will closely oversee, guide, and support the consulting firm/consultant by sharing internal expertise; linking them with key stakeholders; assisting in arranging the consulting firm’s communications; and providing inputs to deliverables. This assignment is expected to involve interactions with key stakeholders. The consultant is also expected to coordinate with the consultant recruited by AFDB for drafting the NFIS, for alignment and sharing of the work achieved.

6. Travel:

This consultancy work will require at least two on-site missions (if the consultant is international) to Nouakchott, Mauritania to engage with national stakeholders and to support the high-level workshop. This will be discussed in further detail after the award decision notification. Please include budgeting for workshop-related travel in the financial proposal.

7. Consultant Experience:

The applicant should be a consultant or consulting firm with a proven record in financial sector development, financial inclusion, or related field.

• The consultant or consulting firm should have expertise and working knowledge on national financial inclusion strategies and a good understanding of existing financial inclusion policies and innovations.
• Good understanding of developing countries and African financial sector (Banking, MFIs, MNOs, SACCOs and etc), existing products. Knowledge on Mauritania’s financial inclusion journey will be an advantage.
• Proven skills and experience in addressing coordination challenges among national and high-level stakeholders related to financial inclusion.
• To have done similar exercises and achieved similar assignments is an added advantage.
• The team leader should have at least 7+ years of relevant experience and hold a master’s degree in a relevant field.
• Excellent written and presentation skills in French and English. Knowledge in Arabic is an advantage.
• Experience working with governmental institutions and public authorities.
• Ability to maintain and keep confidential information within the scope of the project.
• Ability to complete assignments within deadline

8. Reporting:

Throughout the contract period, the consultant will be reporting to the Project Lead from the BCM supported by the Technical Lead from the AFI team supporting this assignment**.**

9.Proposal Submission Information:

• Conflict of Interest acknowledgement & sign off [Mandatory]
• Workplan [Mandatory – if stated/required]
• Company Registration [Mandatory]
• Company Profile
• Full CVs of lead and support consultant highlighting relevant work
• List of previous or current clients with whom similar work has been conducted
• At least one (1) sample (link or attachments) of a published technical paper on financial inclusion authored exclusively by the lead consultant.
• Reference letter (if any);
• Disclosure statement, if individual has full time or part time employment contract with any organization or government official or indirect involvement in this tender;[Mandatory – for individual participant]

Submission of Technical and Financial Proposals:

• Kindly submit technical proposal using the template given in annexure 1 and financial proposal using the template given in annexure 2, along with the documents listed above
• Technical and financial proposal must be submitted in two separate PDF files, using the given
• The two proposals are to be submitted to the designated email

AFI reserves the right to disqualify incomplete submission and

non-compliance to the above requirements. Notification result will only be sent to shortlisted candidates upon completion.

10. Criteria for Evaluation

Technical Scoring: Total – 100%

1. Academic Qualification – 20%

**

2. Experience and technical competence of the key staff for the assignment – 40%

• *Adequacy for the assignment (*20%)

• *Regional/Global experience (*20%)

**

3. Adequacy of the proposed work plan and methodology in responding to the Terms of Reference – 40%

• *Technical approach and Methodology (*20%)

• *Workplan (*20%)

Evaluation of technical and financial proposals

The evaluation and decision on the best proposal will be made based on the combined criterion, where companies are qualified by means of a score that takes into account the combined valuation of the technical and financial proposals, with the following weights:

a) Technical Proposal: 70% (Seventy percent).

b) Financial Proposal: 30% (Thirty percent).