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, 90 member institutions make up the AFI network, consisting of central banks, ministries of finance, and other financial policymaking or regulatory institutions from over 84 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.
Peer learning is a critical component in AFI’s approach to accelerate practical financial inclusion knowledge generation and policy development. By sharing practical knowledge and experience, the network’s vast membership of developing and emerging market economies guides each other in best practices that can be adapted within their own countries and jurisdictions. Knowledge is shared voluntarily to help guide network members in the earlier stages of their financial inclusion journey, enabling the exchange of expertise from regulatory and supervisory peers facing similar local and national challenges. Network-wide guidance is provided through policy models and regional specific-guidance through policy frameworks.
Working groups are a key source of policy development and trends in financial inclusion and serve as “communities of practice” on key financial inclusion issues. AFI has 7 Working Groups (WG): 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). Each provides a unique peer-to-peer learning platform for members to develop and explore the challenges and successes of their specific but interlocking policy areas. The working groups receive strategic guidance and insight from the high-level Global Standards & Policy Committee (GSPC).
The knowledge generated via the working groups is disseminated for implementation through 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.
AFI’s five regional initiatives complete the AFI platform of services by supporting 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 (ARFIPI).
The “Inclusive Financial Stability Toolkit” project falls under the remit of the GSPWG, which provides policy guidance and a peer learning platform on the proportionate implementation of global standards for financial integrity and stability, towards ensuring that financial inclusion is pursued in tandem with a safe and sound financial system. The GSPWG’s Inclusive Financial Stability Subgroup is concerned with exploring effective ways to ensure proportionality in the application of various global financial stability standards to avoid negative, unintended consequences on financial inclusion efforts and progress the alignment of financial stability and financial inclusion policymaking at the country level.
2. Project Background:
There is growing recognition that financial inclusion and financial stability are complementary policy goals which must be well aligned to achieve effective financial sector policymaking. Financial stability – which may be broadly defined as the ability of the financial system to withstand both endogenous and exogenous shocks and systemic risks – provides an essential bedrock for financial inclusion strategies, whilst a growing body of research suggests that financial inclusion can bolster financial stability, for example by strengthening domestic deposits and contributing to the diversification of loan portfolios of financial institutions.[1]
At the same time, achieving alignment between financial inclusion and financial stability goals requires effective integration of financial inclusion considerations into financial stability analysis and policy development – and vice versa. This includes the development and implementation of macroprudential policy tools, which have evolved in response to the global financial crisis and are informed by global standards such as the Basel III framework under the Basel Committee on Banking Supervision (BCBS). This in turn requires effective internal and external communication, data collection and analysis, and feedback mechanisms to monitor and evaluate the impact of financial stability policies on financial inclusion, and vice versa. Financial stability policies which lack consideration of a country’s financial inclusion context and goals may result in some unintended exclusionary consequences, for example regarding access to finance for micro, small and medium enterprises (MSMEs).
Challenges in achieving effective alignment of financial stability and financial inclusion goals can include (but not necessarily be limited to):
- lack of mechanisms for transparent and open communication between relevant financial stability and financial inclusion stakeholders at the national level;
- availability of, and capacity to analyze, relevant financial stability and financial inclusion data as part of the risk assessment and policy development process;
- lack of ex-ante and/or ex-post assessment of the impact of the implementation of financial stability standards and policies on financial inclusion.
[1] See for example “Systemic Implications of Financial Inclusion”, International Monetary Fund Working Paper, September 2024.
To advance the sound alignment of financial stability and financial inclusion policymaking in AFI member jurisdictions, the GSPWG’s Inclusive Financial Stability Subgroup will oversee the development of an Inclusive Financial Stability toolkit, which will complement AFI’s existing successful inclusive financial integrity toolkit, which took a similar approach to achieving an effective alignment of financial inclusion and financial integrity policies.
Background: AFI Policy Toolkits. A Toolkit is the most detailed form of AFI Knowledge Products. It is intended to provide more granular guidance and to assist step-by-step implementation that can be used as a reference guide by AFI members at each stage of a policy process, such as the implementation of a National Financial Inclusion Strategy. Toolkits address member demand for more specific and detailed information with regards to a particular policy process or policy implementation. Toolkits can be particularly useful for the development of associated Capacity Building Programs such as Member Trainings or online trainings, by providing a base document from which training modules can be readily developed.
Toolkits should be illustrated by practical examples from across the AFI membership to help inform their application. They should also be designed to be consistent with relevant global standards which may apply. The expected length of a policy toolkit is 30-50 pages including all references, figures and tables, and bibliography. Examples of knowledge products in this format may be found on the AFI website.
3. Objective & Scope of Work:
The overall objective of the policy toolkit is to support evidence-based policymaking and the provision of practical implementation tools to strengthen the alignment of financial stability and financial inclusion policy goals.
The toolkit is envisaged to cover policy considerations such as:
- defining a shared vision for Inclusive Financial Stability amongst key stakeholders at the national level, and identifying good practice mechanisms for coordination and information sharing;
- the integration of financial inclusion considerations into the development of national regulators’ macroprudential policy frameworks;
- incorporating financial inclusion considerations into the implementation of global financial standards for financial stability where relevant (e.g. Basel III, IADI Core Principles for Effective Deposit Insurance Systems, IAIS Insurance Core Principles), and utilizing mechanisms for proportionality within the standards to mitigate any exclusionary impacts;
- considering financial stability measures, including stress testing and resolution procedures, for non-bank financial institutions such as mobile money operators and FinTech platforms as stakeholders in countries’ financial inclusion strategies;
- integrating climate risk and sustainable finance into financial stability frameworks, while incorporating relevant financial inclusion considerations; and
- exploring the potential of supervisory technology (SupTech) solutions to aid inclusive financial stability policymaking, optimizing resource allocation according to risks.
This work will include:
- Developing an outline structure for a practical toolkit on ‘Inclusive Financial Stability’;
- Undertaking a comprehensive desk-based research and literature review given the wide range of global financial stability standards;
- Conducting key informant interviews with selected GSPWG Inclusive Financial Stability Subgroup members, and other key stakeholders (e.g. SSBs, relevant international organizations, academic experts), developing the question areas in agreement with the AFI MU for this purpose, and writing-up the results of the interviews;
- Taking the role of lead author in preparing the first written draft of the toolkit;
- Analyzing feedback and expert reviews from the AFI MU, GSPWG members particularly Inclusive Financial Stability Subgroup members, and other key stakeholders;
- Incorporating the salient points from the reviews into a final draft of the toolkit by end-July 2025.
During the consultant or consulting team’s work on this project, the AFI MU will provide support by: contacting AFI members to facilitate in arranging the consultant’s key informant interviews; connecting to other key stakeholders; reviewing drafts and ideas; and sharing internal expertise and previous research to support the toolkit’s preparation.
4. Timeline & Deliverables:
The consultant or consulting team is expected to commence the assignment by 1 March 2025 and will complete the deliverables by 31 July 2025. The timelines and key deliverables are found below:
No. – Activity – Dates – Expected no. of days’ work
1 – Appointment of consultant – By 1 March 2025 – N/A
2 – Inception meeting – By 8 March 2025 – N/A
3 – Completion of proposed outline of the policy toolkit, including literature review – By 22 March 2025 – 3
4 – Stakeholder engagement: 10 -12 key informant interviews with key stakeholders to gather insights and feedback. – By 30 April 2025 – 5
5 – Completion and submission for review of first draft of the toolkit – By 31 May 2025 – 10
6 – Completion of second draft of the toolkit, taking account of AFI management unit comments – By 30 June 2025 – 4
7 – Completion of final draft of the toolkit, taking account of AFI MU, AFI member, and any invited external reviewer comments. Completion of associated PowerPoint presentation of the Toolkit. – By 31 July 2025 – 5
TOTAL: 27 Days
5. Travel:
No Travel is expected for this assignment. The consultant(s) will work remotely and undertake virtual meetings to complete the tasks.
6. Consultant Experience:
- Advanced university degree in international economics, development finance, or other related field.
- 15+ years of professional experience in financial inclusion, financial stability, public policy, and international development.
- Excellent data analysis, research, and written skills in the English language.
- Previous experience working with global and national institutions involved in financial stability and financial inclusion policy and regulation, particularly in developing countries.
7. Payment Terms:
The payment terms/schedule proposed for this consultancy are as follows:
Deliverables – Percentage (%)
Upon submission and acceptance of the annotated outline – 20
Upon submission and acceptance of 1st draft policy toolkit – 40
Upon submission and acceptance of the 2nd draft policy toolkit – 20
Upon submission and acceptance of the final draft of the policy toolkit (both Word and PPT formats) – 20
Total: 100%
8. Reporting:
The consultant will report to the Policy Specialist, Policy Analysis & Guidance team, and the Head of Policy Analysis & Guidance.
9. Administrative Information:
9.1 Disclaimer
The final decision on selection of a consultant/consulting firm for this project rests with AFI management team and with the Inquiry. Only shortlisted and successful consultants will be contacted.
9.2 Proposal Submission Information
Proposals will be due with the following requirements for submission:
Submission Deadline:
1 February 2025
Documents to be submitted with Annexure 1 & 2:
Firm
- Company Registration;
- Company Profile;
- List of previous or current clientele on similar work;
- References with email contact;
- Joint-Agreement (if any);
- Conflict of Interest Disclosure form
- At least one (1) sample work (link or attachments) if any;
Individual
- Full CVs with list of previous similar work;
- Disclosure if individual have a full time or part time employment contract with any organization or government official or indirect involvement in this tender;
- Conflict of Interest Disclosure form
- Reference letter (if any);
- References with email contact;
- At least one (1) sample work (link or attachments);
Method of Submission:
By email to AFI’s Procurement & Contracts Office at
RFP2501@afi-global.org
For clarification:
Any clarification, please email to procurement@afi-global.org
Submission of Technical and Financial:
Kindly submit the following:
1. Using the template/format given in Annexure 1 (Technical) and Annexure 2 (Financial) and/or additional technical proposal for more information.
2. Technical and Financial proposal must be separated in different pdf.
3. Financial proposals must be USD only. Whereas for Malaysian applicants with Business Registration under Suruhanjaya Syarikat Malaysia (SSM), please submit your financial proposals in MYR.
4. Proposal to be submitted to the designated email address.
5. AFI does not tolerate copyright infringement, including but not limited to infringement, in the form of plagiarism. Consultant or Consulting entity awarded a contract by AFI shall take responsibility to ensure that the authored works, produced in parts or as an entirety of the deliverables stated in this RFP does not infringe on copyrights.
AFI is not bound to accept the lowest quoted bid and reserves the right to disqualify incomplete submission, overlapping submission, non-compliance to the above requirements. Notification of results will only be sent to shortlisted candidates upon completion.
9.3 Retention of Proposals
All proposals submitted become the property of AFI. AFI will make all reasonable efforts to maintain proposals in confidence and will release proposals only to personnel involved with the evaluation of the project. Proprietary information should be identified in each proposal.
10. Evaluation Criteria:
The proposals submitted will be evaluated based on the following criteria:
Technical Scoring Criteria – %
1. Profile and Overall Qualification; – 10%
2. Technical Experience – 60%
- Global financial stability and financial inclusion policy and regulation landscape – 20%
- Practical experience in financial stability policy implementation in developing country contexts – 20%
- Experience in policy impact evaluation and development of guidance documents for policymakers – 20%
3. Adequacy of the proposed work plan and methodology – 20%
4. Sample work – relevance to assignment and demonstrated experience in publishing guidance for policymakers – 10%
Total: 100%
Evaluation of technical and financial proposals
AFI reserves the right to award the most suitable proposal based on the evaluation of combined criterion, where bidders are qualified by the combined valuation of the technical and financial proposals, with the following weightage:
- i) Technical Proposal: 70% (Seventy percent)
- ii) Financial Proposal: 30% (Thirty percent)
How to apply
Interested applicants are expected to submit a proposal with an updated CV and using the template given by email to AFI’s Procurement & Contracts Office at rfp2426@afi-global.org by 01st February 2025, Saturday.
Note: AFI does not tolerate copyright infringement, including and not limited to infringement, in the form of plagiarism. Consultant or consulting entity awarded a contract by AFI shall take responsibility to ensure that the authored works, produced in parts or as an entirety of the deliverables stated in this RFP does not infringe on copyrights.
The final decision on the selection of a consultant/consulting firm for this project rests with AFI management team and with the Inquiry. Only shortlisted and successful consultants will be contacted.