Expression of Interest: Design and Set-up of the Ghana Incentive-based Risk Sharing System for Agricultural Lending

The Republic of Ghana

(Bank of Ghana)

Expression of Interest (EOI)

Request for Pre-qualification

  1. BACKGROUND

The Bank of Ghana (BOG), the Ministry of Food and Agriculture (MoFA) with support of the Alliance for a Green Revolution in Africa (AGRA) are collaborating in the design and set-up of the Ghana Incentive-based Risk Sharing System for Agricultural Lending (GIRSAL) as a vehicle for leveraging financial institutions’ lending to agriculture in Ghana.

The Bank of Ghana (BoG) wishes to incentivize financial institutions to increase lending to selected agriculture value chains through de-risking solutions. BOG with technical support from MoFA and AGRA has therefore decided to establish a fund scheme to help accelerate agricultural growth in order to enhance foreign exchange earnings potential as well as support import substitution strategy.

 

  1. SCOPE OF WORKS

The Fund scheme, to be called Ghana Incentive-Based Risk Sharing System for Agricultural Lending (GIRSAL), will have six (6) major pillars:

  1. Risk Sharing Facility which will be used to develop appropriate risk-sharing instruments that can be used to reduce the risk of banks and leverage their balance sheets into agriculture lending
  2. Technical Assistance Facility: This will be used to strengthen the institutional capacity of banks and intermediaries to support new lending into agriculture, develop new platforms to support delivery of loans to rural areas, as well as provision of technical assistance to farmer groups and agribusinesses
  3. Insurance Facility: This will be used to develop and deploy appropriate insurance prducts for agriculture to lower risks faced by smallholder farmers and agribusinesses
  4. Bank Incentive Mechanism: this will be used to develop appropriate incentives to reward banks that are lending to the agricultural sector, based on the volume and effectiveness of lending and its impacts
  5. Bank Rating Scheme: This will rate all banks in Ghana based on their lending to agriculture, with the goal of creating additional incentives for banks that are achieving impacts in agricultural lending
  6. Digital Finance: This will be used to significantly increase the low-cost distribution of financial services particularly, in rural areas using mobile phones and other digital distribution channels

 

  1. INVITATION

The Bank of Ghana intends to pre-qualify consultancy firms after which the shortlisted ones would be presented with the detailed Requested for Proposal (RFP) to design the GIRSAL proposal for consideration. The bank now invites firms to indicate their interest. Interested firms should provide information demonstrating that they have the required qualifications and relevant experiences to perform the Services. Experience in the design and/or implementation of de-risking schemes such as credit guarantees, etc, a deepand extensive experience and understanding of agricultural finance and agriculture value chains is highly desirable.

 

Interested firms can express interest in any or all of the pillars listed above provided they meet the minimum requirement for each pillar

 

The underlisted criteria will form the basis for the pre-qualification process:

 

  1. The firm should have been in existence and operating under the appropriately legal farmeworks for a minimum of five (5) years
  2. The firm must have demonstrable experience of undertaking at least three (3) similar assignments in the past 10 years
  3. Key staff to be assigned to the project should have the appropriate skills mix and relevant experience
  4. The firm should show adequate financial capacity to undertake the assignment

 

The expression of interest must be accompanied by the following:

  1. Company profile
  2. Key staff-number and details and years of experience
  • Copies of requisite statutory documents-Certificates of Business Registration, and Commencement of Business, Tax Clearance Certificate, SSNIT certificate, last 5 years audited account
  1. Proof of financial capability
  2. References from similar assignments

 

Firms may associate with other firm in the form of a joint venture or a sub-consultancy to enhance their qualifications.

 

  1. DURATION OF ASSIGNMENT

The two-state process is to be completed in sixty (60) calendar days.

 

  1. SUBMISSION

Interested firms willing to be pre-qualified for the project must submit six (6) copies (1 original and 5 photocopies) of the expression of interest with all relevant documents in a sealed envelope marked “Package Number-GR/BOG/CS/0002/2016”. The pillar of interest must also be clearly marked on the evelope if separate pillars would be tendered to enable the team pre-qualify the firm appropriately.

 

All relevant documents should be delivered on or before 10:00am on July 28, 2016 at the following address:

 

LOCATION FOR TENDER SUBMISSION:

The Secretary’s Department

Bank of Ghana

4th Floor

Room No. 422

Tel.: 0302 666902 ext 4471

 

LOCATION FOR FURTHER CLARIFICATION AND CONTACT:

The Procurement Manager

Bank of Ghana

Curency Processing Centre

General Services Complex

Spintex Road

Accra

Tel.: 0302-550 495 or 0266889363

 

Pre-qualification documents will be opened in the presence of participating firm’s representatives who choose to attend at the Bank of Ghana Auditorium, 4th Floor at 10:00am. Local time on Thursday, July 28, 2016.

Late submissions will be rejected.

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