The proposed Micro, Small and Medium Enterprises Financial Access, Inclusion, and Resilience Project will support the Government of Pakistan’s efforts to enhance financial inclusion of micro, small and medium-sized enterprises (MSMEs) and build the resilience of MSMEs and eligible financial institutions in responding to the ongoing COVID-19 pandemic.
(A) DESIGNING A CREDIT GUARANTEE FACILITY AND (B) DESIGNING AND MANAGING A CREDIT AUCTIONING SYSTEM
The consulting services will be delivered in the following four building blocks:
1. Deliverable 1—Credit Guarantee Facility Design: Within 3 months of commencement of services, the partial credit guarantee product is designed in close coordination with ADB, Government, PMIC, regulators and MFPs including required documentation for the administration and monitoring of the guarantees and reporting to the Borrower and ADB.
2. Deliverable 2—Credit Guarantee Facility Assessment: Within 36 months of commencement of services, the partial credit guarantee utilization under the MSE financial inclusion project is evaluated to assess relevance of the product design and demand. Any deficiencies will be highlighted, and solutions proposed.
3. Deliverable 3—Auction System Design: Within 7 months of commencement of services, the auction system is designed, auction management unit established, auction procedures for MSE financial inclusion project .
4. Deliverable 4—Auction System Management: Starting within 8 months of commencement of services, through project lifecycle, up to 10 auctions carried out unless auction system is reverted to a first-come, first-serve distribution system and all the quarterly performance reports submitted to the Project Management Unit (PMU) to be established at MOF as scheduled.
• Postgraduate degree in Banking, Finance, Accounting, Business Administration or Economics;
• A minimum of 7 years professional experience in banking and finance, and in designing and managing partial credit guarantee products in emerging markets.
Consistent with Deliverables 3 and 4 mentioned above, activities include: (i) establishing an auction administration unit; (ii) establishing operational rules for the auction mechanism including MFP reporting requirements, templates, and a publication plan of auction results by December 2021 (iii) establishing the auction website by December 2021; (iv) conducting the first auction by March 2022; (v) conducting the remaining 10 auctions from June 2022 to June 2028.
Expected start date: 22 November 2021