Kenya Investment Mechanism
Scope of Work
Consultancy Position: Gender Advisor
Level of Effort (days): 60
Estimated Start Date: November 10, 2020
Estimated Completion Date: February 28, 2021
Reports to: Chief of Party or his designate
USAID/Feed the Future Kenya Investment Mechanism (KIM)
The Feed the Future (FtF) Kenya Investment Mechanism (KIM) is a five-year project designed to unlock $400 million in investment for key sectors of Kenya’s economy, including agriculture and energy, and for regional trade and investment opportunities under the Prosper Africa initiative. KIM addresses supply- and demand-related constraints for investment transactions and boosts the enabling environment (policy and regulations) to promote the flow of capital for business expansion. Through the mobilization of capital and building partnerships between stakeholders in the financial ecosystem, KIM supports USAID's overall goal of fostering broad-based, sustainable, and inclusive economic growth for Kenya.
KIM provides smart incentives and capacity building support to both business advisory service providers (BASPs) and financial institutions (FIs). These incentives are designed to create a sustainable ecosystem for businesses to access finance and investments needed to expand and grow. Business transactions are further supported by a diverse range of sustainable partnerships—with and among strategic businesses, institutions, government counterparts (county and national), and other development partners. These partnerships will lead to scaling and replicating creative approaches to unlock finance and investments, reduce risks of extending credit to the agriculture and energy sectors, and offer testing of innovative business models that can be scaled.
Women’s Global Development and Prosperity Initiative (W-GDP)
Globally, women continue to confront disproportionate barriers to full economic participation, despite the potential of the female economy to unlock significant growth. Women entrepreneurs in Kenya, for example, face a $2.7 billion credit gap. The Women's Global Development and Prosperity Initiative (W-GDP) recognizes the potential for women to drive economic growth. Launched in 2019, the whole-of-government effort aims to advance women’s economic empowerment with a focus on three key pillars: (i) women prospering in the workforce; (ii) women succeeding as entrepreneurs; and (iii) women enabled in the economy.
The challenges limiting access to finance for Kenyan W-MSMEs are multifaceted. On the demand-side, Kenyan W-MSMEs often have a poor understanding of the requirements to access financial products on the market, in addition to minimal capacity to comply with them. On the supply-side, the Kenyan financial sector continues to lack products and processes enabling FIs to identify, attract, and serve W-MSMEs.
Palladium is the implementing organization behind KIM. As a global leader in the design, development, and delivery of Positive Impact, Palladium creates enduring social and economic value. We work with foundations, investors, governments, corporations, communities, and civil society to formulate strategies and implement solutions that generate lasting social, environmental, and financial benefits.
For more than 50 years, we have been making Positive Impact possible. With a team of 3,000 employees operating in over 90 countries and a global network of more than 35,000 technical experts, Palladium has improved—and is committed to continuing to improve—economies, societies and most importantly, people's lives.
KIM is collaborating with W-GDP to tackle both the demand- and supply-side challenges impeding W-MSMEs’ access to finance to mobilize $30 million in financing for W-MSMEs. The Gender Advisor will oversee the integration of a gender lens into the provision of business advisory services through KIM’s existing networks of BASPs, in addition to spearheading engagement with Kenyan FIs (namely commercial banks) to develop products and services tailored to the needs of W-MSMEs.
C. SCOPE OF WORK
The consultant is expected to provide the following technical assistance:
Transaction Assistance for W-MSMEs
1. Conduct a rapid review of KIM’s BASP performance and incentive structure and how it either incentivizes or disincentivizes W-MSMEs to access and use advisory services. Drawing on previous KIM assessments and data, as well as key informant interviews (KIIs) with BASPs and women entrepreneurs, validate and update findings relating to gender. The rapid assessment will highlight how the BASP pay-for-performance incentives and/or enterprise engagement methodology may need to be adjusted.
2. Conduct a rapid review of KIM’s FIs performance regarding financing for W-MSMEs. Drawing on previous KIM assessments and FI data, as well as KIIs with FIs and women entrepreneurs, identify challenges and opportunites and prioritize recommendations. The rapid assessment will also highlight ways to further leverage the FI pay-for-performance incentive structure to support W-MSMEs.
3. Identify needed training for both BASPs and FIs in KIM’s network to enhance their capacity to provide financial services to W-MSMEs. Drawing on the findings of the rapid reviews and global best practices, design and roll out a one-day training with KIM’s existing BASP and FI network to enable them to better reach W-MSMEs.
Gender Opportunity Assessment
1. Via a competitive process, identify two (2) commercial banks that will participate in Gender Opportunity Assessments (GOA) using Palladium’s gender benchmarking tool. This includes developing the terms of reference and evaluation criteria, in addition to serving on the evaluation committee with additional members of the KIM team and securing MOUs with the selected FIs.
2. Conduct the GOA in the two (2) selected FIs using Palladium’s benchmarking tool. This includes gathering background data, leading a kick-off meeting with senior leadership in the bank, conducting KIIs with leadership in the FI in addition to women entrepreneurs in the banks’ existing portfolio and target segments, and planning and leading a 2-hour strategy workshop with bank leadership.
3. Analyze the results of the GOA to develop a gender strategy and actionable recommendations for each bank (2 total) along four key axes: strategy; leadership and employment; data analysis and monitoring; and services to women-led SMEs. All recommendations should be prioritized based on profitability, impact (number of prospective clients and quantum of financing mobilized), and alignment with existing core business activities to promote long-term sustainability. All recommendations should be captured in a 5- to 10-page strategy document in Microsoft Word.
1. Conduct other tasks as needed.
• Rapid Review Results: Report and recommendation from review of BASPs and FIs to support increased access to financial services by W-MSMEs.
• Development of gender mainstreaming training materials for BASPs and FIs and delivery of one-day training session
• GOA TOR, evaluation criteria, and completed scoring sheets
• MOUs with two (2) FIs for GOA
• FI benchmarking data, KII notes, gender strategy workshop
• 5- to 10-page strategy document with recommendations for each FI
E. REQUIRED EXPERIENCE AND QUALIFICATIONS
• Expertise in gender and social inclusion, gender lens investing, MSME finance, and MSME development.
• At least ten (10) years of experience in SME finance, gender finance, and banking.
• Proven track record engaging with commercial banks to design and roll out products and services targeting women. Experience developing products and services for W-SMEs preferred.
• Knowledge of the intersection between SME growth, business development services, and gender.
• Demonstrated familiarity with the Kenyan financial sector.
• Excellent written and verbal communication skills.
• Fluency in written and spoken English.
F. LEVEL OF EFFORT AND TIMING
The consultancy is expected to commence o/a November 10, 2020, and be completed by February 28th, 2021. The level of effort to complete this consultancy is approximately 60 days.
Qualified interested candidates are invited to submit their application through firstname.lastname@example.org. To be considered, your email reference must clearly state “Gender Advisor” and be received by October 29, 2020, 5:00 PM Nairobi time.