Danish Refugee Council
Please find complete bid documents in the following link: Sharia Financing and Scoping study Re-advertisement
Terms of Reference (TOR)
Consultancy on Islamic Sharia Financing for Entrepreneurs in Nairobi & a Scoping Study for Expansion to Mandera County
Who is the Danish Refugee Council
Founded in 1956, the Danish Refugee Council (DRC) is a leading international NGO and one of the few with a specific expertise in forced displacement. Active in 40 countries with 9,000 employees and supported by 7,500 volunteers, DRC protects, advocates, and builds sustainable futures for refugees and other displacement-affected people and communities. DRC works during displacement at all stages: in the acute crisis, in displacement, when settling and integrating in a new place, or upon return. DRC provides protection and life-saving humanitarian assistance; supports displaced persons in becoming self-reliant and included into hosting societies. DRC works with civil society and responsible authorities to promote protection of refugee rights and peaceful co-existence.
DRC has been present in Kenya since 2005 working with the displaced, offering support in areas of protection, livelihoods and armed violence reduction. The areas of operation include: Dadaab, Kakuma refugee camps (including Kalobeyei Integrated Settlement), as well as with urban refugees in Nairobi and Mandera.
DRC Kenya is seeking to engage a consultancy firm/company to apply for the below indicated calls (either LOT 1 or LOT 2 or both if qualified):
LOT 1: Collaboration in providing services for access to formal financing for entrepreneurs in Nairobi through compliance with Sharia financing laws.
LOT 2: Conduct a scoping study for expansion of the project to Mandera county.
Purpose of the Consultancy- LOT 1
The Danish Refugee Council based in Kenya seeks proposals from a company to collaborate with in providing services that will ensure that target communities are able to access formal finance that is fully compliant with Sharia law, ensuring that communities are aware of the rules and processes to be able to effectively engage in financial inclusion and feel comfortable with Sharia financial products available. The collaboration will ensure that targeted communities are able to access banking products and services and effectively help them further develop their business activities. DRC Kenya; as part of its mission to assist displacement-affected communities, plans to work with the firm to accelerate financial access through the below indicated key areas of delivery under LOT 1. The assignment is divided into 2 lots.
Scope
- Develop an Islamic finance best practice training manual for DRC Kenya staff
- Develop training material and training process for project beneficiaries on Islamic financing to ensure that they feel comfortable with finance available and adhere to Sharia laws.
- Provide training to DRC Kenya staff, KCB Bank staff and other project partners in the rules and processes of Islamic financing.
- Conduct marketing and branding training to project staff.
- Training and sensitization of communities/beneficiaries in Sharia-compliant financing to enhance taking out formal finance through the project and building trust in formal financial institutions.
- Engage with relevant stakeholders including religious leaders and local religious groups to support awareness-raising and trust building activities.
- Conduct a multi-stakeholder Islamic finance workshop with all the project stakeholders.
Purpose of the Consultancy- LOT 2
Scope
Conduct a study to understand the parameters of Sharia compliant financing through a baseline survey to establish if there are opportunities of supporting existing and forming new CSLAs (Community Savings and Loans Associations) whose work involves use of renewable resources to sustainably produce goods and services including exploiting the untapped potential stored within the medium-sized businesses/entrepreneurs in Mandera county.
Background
DRC Kenya, in partnership with KCB Bank, KCB Foundation, Pangea Trust, an Islamic Sharia financing and digital financing partners, is implementing a project titled Supporting Displacement-Affected Communities in Kenya with Entrepreneurship Development (SDACKED) supported by the Swedish International Development Cooperation Agency- SIDA that focuses on unblocking barriers to formal financial access for displaced and host community entrepreneurs by working through Community Savings and Loans Associations (CSLAs); connecting groups to digital banking services as well as exploring wider entrepreneurship support in target locations of Nairobi, with plans to expand to Mandera county. The project targets three areas of interventions that include financial inclusion of refugee and hosting community entrepreneurs, business support & training, and suitable finance to build the displacement-affected communities’ business ecosystem. This is besides advocating for inclusion of this group of entrepreneurs in formal financing and addressing their protection concerns.
Objectives of the Consultancy- LOT 1
The consulting company shall be required to conduct the following activities:
i. Develop relevant training material that can be used to train community groups (CSLAs) on Sharia-compliant financing and working to support the roll-out of the training programme.
ii. Provide training and training material to DRC Kenya, KCB staff and other project partners on the rules and processes of Islamic financing.
iii. Provide expertise around Islamic financing, certifying that the KCB Bank products are fully Sharia-compliant.
iv. Develop contextualized, faith-based marketing campaign and awareness material, support in rolling out a programme for community sensitization.
iv. Use networks to engage key members of the local community in awareness-raising to build trust in the project and its financial product offering.
vi. Dedicate technical resources and allocate time from the wider team to support the delivery of outcomes proposed in this Terms of Reference (TOR).
Objectives of the Consultancy- LOT 2
i. Assess opportunities and challenges for expanding the project to Mandera county; highlighting current Islamic finance offerings and community concerns through a scoping study.
Scope of Work and Methodology
The consulting firm(s) will be required to prepare detailed methodology and work plan(s) indicating how the objectives of the project will be achieved, and the support required from DRC Kenya.
Deliverables- LOT 1
The consulting firm will meet the following deliverables:
i. Training manual on Sharia financing for DRC Kenya staff;
ii. Training manual on Sharia financing for project beneficiaries;
iii. Islamic finance best practice manual for DRC staff;
iv. Training of SDACKED project staff on Sharia financing;
v. Training of project beneficiaries on the tenets of Islamic/Sharia financing;
v. Islamic faith-based marketing and awareness campaign material and support in rolling out the
programme.
vi. Convene & conduct a multi-stakeholder Islamic finance workshop.
Deliverables- LOT 2
i. An Inception and final report after scoping for opportunities and challenges on expansion plans to Mandera county.
Duration, Timeline, and Payment
The total expected duration to complete the assignment for LOT 1 is 40 working days, while total expected duration for LOT 2 assignment will be 25 working days. Overall the two assignments will take 65 working days.
The consultant shall be prepared to complete the assignment no later than 31st May 2023.
Proposed Composition of Team
- Project Manager/Lead Consultant
- Trainers & Campaign Facilitators
- Enumerators
- Data Entry Clerk
Eligibility, Qualification, and Experience Required- LOT 1
Essential:
-Extensive experience in Sharia compliant financing.
-Experience working with urban refugees.
-Experience working with Islamic focussed programmes and support.
Desirable:
-
Eligibility:
- The consultant should have the authorization to work in Kenya.
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Qualification:
- At least a Master’s degree in any social sciences, research field or Islamic Religious Education.
- Experience:
Minimum of 3 years’ experience in Sharia compliant financing work and with focus on capacity building biased towards Islamic education preferably within the existing context of urban refugees.
Skills and knowledge:
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- A solid understanding of Kenya’s social, cultural and economic context. - Relevant background in Sharia-compliant financial inclusion and refugee entrepreneurship. - Proven track record in conducting similar assignments and assessments. - Ability to structure complex insights into written and visual products that bring out key features and enable decision making.
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Language requirements:
- Written and spoken fluency in English and Kiswahili.
- Working knowledge of French, Arabic, Somali, Kinyamulenge or any of the languages spoken by the refugees is an advantage.
Eligibility, Qualification, and Experience Required- LOT 2
Essential:
-Experience in Sharia compliant financing a plus.
-Experience working with refugees.
-Experience working in the Mandera Triangle with an understanding of the cross-border challenges and context will be a plus.
Desirable:
-
Eligibility:
- The consultant should have the authorization to work in Kenya.
-
Qualification:
- At least a Master’s degree in any social sciences, research field or Islamic Religious Education.
- Experience:
Minimum of 3 years’ experience in Sharia compliant financing work and research preferably within the existing context of urban refugees.
Skills and knowledge:
-
- A solid understanding of Kenya’s social, cultural and economic context. - Relevant background in Sharia-compliant financial inclusion and refugee entrepreneurship. - Proven track record in conducting similar assignments and assessments.
-
Language requirements:
- Written and spoken fluency in English and Kiswahili.
- Working knowledge of French, Arabic, Somali, Kinyamulenge or any of the languages spoken by the refugees is an advantage.
Technical supervision
The selected consultant will work under the supervision of:
- Project Manager- SDACKED
Location and support
LOT 1: The assignment shall be conducted in Nairobi’s suburbs (Eastleigh, Kasarani, Kitengela, Kawangware and its environs).
LOT 2: The assignment shall be conducted in Mandera county.
The Consultant(s) will provide his/her own computer and mobile telephone.
DRC Kenya shall provide office working space, schedules, information on partners and beneficiaries. DRC Kenya shall also organize for any meetings with partners, stakeholders and beneficiaries.
Travel
Travel shall be required for this assignment. Travel shall be within Nairobi and its environs for LOT 1 and to Mandera county in LOT 2 respectively. The Consultant(s) will therefore be expected to arrange for their own transportation, accommodation, insurance and food. The Consultant(s) should make adequate provisions for this in the financial proposals.
Submission process- LOT 1 & LOT 2
This consultancy is divided into two lots, bidders can apply for either LOT ONE or BOTH LOTs
Interested bidders must submit as a minimum:
Document 1: Updated CV(s) of consulting team and a company profile should also be included.
Document 2: A brief document (10 pages max) outlining a basic strategy and technical approach to the TOR, team composition and timeline, clearly indicating the level of effort required.
Document 3: A brief document (10 pages max) showing portfolio of previous relevant assignments or work. Where possible, this should include links to published works and/or references from the organizations that contracted the work on Sharia financing.
Document 4: A separate financial proposal in US dollars with a breakdown of budget covering consultancy fees and all related expenses to implement the activities of the consultancy, including travel and transportation, accommodation and all logistical requirements.
Evaluation of Bids
All bidders will be scored on a scale from 1 - 10 for each of the below criteria and will be assessed for profile and qualifications (document 1), technical approach (document 2), and similar experience (document 3). Bids will be scored according to the criteria below for the initial screening.
Profile and Qualifications (Weighted percentage – 50%)
a. The candidate meets the profile and qualifications for the TOR.
b. The consultant(s) have similar or other relevant experience in Sharia financing modalities – preferably practical experience.
c. The consultant(s) have relevant experience in sectors similar to those of the focus of the TOR
d. The consultant(s) provide examples of previous work carried out in this field of work especially in an urban refugee setting.
Technical approach (Weighted percentage – 50%)
a. The technical approach addresses the key aspects and deliverables of the ToR.
b. The strategy draws on sector good practice and is relevant to the task.
c. The technical approach will deliver the required outputs, within the deadlines.
Based on the initial screening, DRC Kenya will invite selected bidders for an interview
The financial offer will then be weighed against the technical proposal (cost/quality)
DRC Kenya will conduct reference checks from at least 2 previous works as an additional mandatory requirement before contracting.
• The deadline for submitting the proposals is 8th March 2023 at 5 pm EAT.
• Proposals must be submitted as word/PDF/excel files, ideally packaged in a zip folder.
• Proposals must be submitted to the following address tender.ken@drc.ngo with ‘Sharia Financing and Scoping study in Mandera- Re-Advertisement’ in the subject line.
The consultancy is expected to be conducted from the month of March 2023 to May 2023.
Please find complete bid documents in the following link: Sharia Financing and Scoping study Re-advertisement
How to apply
Bids can be submitted by email to the following dedicated, controlled, & secure email address: tender.ken@drc.ngo
When Bids are emailed, the following conditions shall be complied with:
- The RFP number shall be inserted in the Subject Heading of the email
- Separate emails shall be used for the ‘Financial Bid’ and ‘Technical
Bid’, and the Subject Heading of the email shall indicate which type
the email contains
- The financial bid shall only contain the financial bid form, Annex A.2
- The technical bid shall contain all other documents required by the tender, but excluding all pricing information
- Bid documents required, shall be included as an attachment to the email in PDF, JPEG, TIF format, or the same type of files provided as a ZIP file. Documents in MS Word or excel formats, will result in the bid being disqualified.
- Email attachments shall not exceed 4MB; otherwise, the bidder shall send his bid in multiple emails.
Failure to comply with the above may disqualify the Bid.
DRC is not responsible for the failure of the Internet, network, server, or any other hardware, or software, used by either the Bidder or DRC in the processing of emails.
DRC is not responsible for the non-receipt of Bids submitted by email as part of the e-Tendering process.
Bids to be submitted ONLY electronically.
Please find complete bid documents in the following link: Sharia Financing and Scoping study Re-advertisement