Consultancy Services for Assessing and Mapping VSLA in Liberia

GOVERNMENT OF LIBERIA

Ministry of Commerce and Industry

Ministerial Complex

Congo Town, Monrovia

REQUEST FOR EXPRESSION OF INTEREST (REOI)

(CONSULTING SERVICES)

Individual Consultant Selection (INDV)

June 2, 2025

•

Consultancy Services to Support the Central Bank of Liberia in Mapping of the Village Savings and Loan Association (VSLA), and supporting the development of a Comprehensive VSLA database

Individual Consultant Selection (INDV) Method

4 months

Background

The Government of Liberia (GoL), through the Ministry of Commerce and Industry (MoCI), is implementing the Liberia Investment, Finance and Trade Project (LIFT-P) with Project ID: P171997 financed by the International Development Association (IDA). The total project funding is US$40 million (US$20 million of IDA grant and US$20 million IDA Credit). This project was developed to support the government’s strategic objectives to promote private sector development.

Accordingly, the project development objective is to improve the investment climate, expand sustainable access to finance, promote the digitalization of financial services, and increase the efficiency of trade in Liberia.

The project’s sub-component 2.2 aims to support the growth and development of Micro, Small, and Medium Enterprises (MSMEs) by facilitating the provision of a line of credit (LOC) to eligible financial institutions onward lend to MSMEs that meet the eligibility criteria and can utilize the funds to grow and expand their businesses. In addition to financial support, the project will also provide technical assistance and training programs to both formal and informal lending institutions operating within the country. The objective of these programs is to enhance the capacity of the lending institutions to effectively assess the risk and viability of MSMEs. The project will help to improve Participating Financial Institutions' (PFIs) loan delivery systems, and risk management, and support innovative products for MSMEs.

The Liberian financial sector is primarily made up of banks and NBFIs. It consists of nine commercial banks (including microfinance departments within commercial banks) and various non-bank financial institutions (NBFIs), including 12 Rural Community Financial Institutions (RCFIs), less than five non-deposit-taking microfinance institutions (MFIs), two deposit-taking microfinance institutions (MDIs), approximately 275 credit unions, approximately 1,450 informal Village Savings and Loan Associations (VSLAs), one finance company, two mobile money operators, and 19 insurance companies.

In Liberia, Non-bank Financial Institutions (NBFIs), such as VSLAs play a crucial role in providing financial services and fostering economic development, particularly in rural areas of Liberia. However, there is a need for a comprehensive assessment and mapping of VSLAs across Liberia to understand their status, challenges, and potential areas for improvement. Additionally, there is a necessity to develop a comprehensive database of VSLAs and their members, as well as to establish baseline information and geolocations of these associations.

The Ministry of Commerce and Industry now invites eligible and interested Individual Applicants (“Consultants”) to indicate their interest in providing the Services. Interested Consultants should provide information demonstrating that they have the required qualifications and relevant experience to perform the Services. The shortlisting (qualification) criteria are listed in the detailed Terms of Reference below.

Applicants will be selected for the respective positions in accordance with the Individual Consultant Selection (INDV) as set out in the Procurement Regulations for IPF Borrowers dated July 2016 as Revised in November 2017, August 2018, November 2020, September 2023 and February 2025).

Further information can be obtained at the address below during office hours, i.e., 0900 to 1600 hours GMT, Monday to Friday.

The deadline for submission of Expressions of Interests is on Friday June 13, 2025. Please submit your Expressions of Interest to the addresses below only by email. Please indicate the title of the assignment in the subject of the email.

Attention: Julius Y. Saye Keh-nel

Acting Project Coordinator

Project Implementation Unit (PIU)

Liberia Investment, Finance and Trade Project

Ministry of Commerce and Industry

5th Street, Sinkor , 2nd Floor

Monrovia, Liberia

Email: [email protected]/ [email protected] Cc: [email protected] / [email protected] and [email protected], [email protected]

Please note that ONLY shortlisted Applicants will be contacted.

TERMS OF REFERENCE

Post Tile: Consultancy Services to Support the Central Bank of Liberia

in Mapping of the Village Savings and Loan Association

(VSLA), and supporting the development of a Comprehensive

VSLA database

Location of Project: Central Bank of Liberia, Monrovia, Liberia

Contract Duration: Four (4) Months

Report Line: Central Bank of Liberia and the LIFT-Project Coordinator in collaboration with the technical staff of the LIFT-P.

Recruitment Type: Open National

Type of Contract: Time Based Contract

• Background

The Government of Liberia (GoL), through the Ministry of Commerce and Industry (MoCI), is implementing the Liberia Investment, Finance and Trade Project (LIFT-P) with Project ID: P171997 financed by the International Development Association (IDA). The total project funding is US$40 million (US$20 million of IDA grant and US$20 million IDA Credit). This project was developed to support the government’s strategic objectives to promote private sector development.

Accordingly, the project development objective is to improve the investment climate, expand sustainable access to finance, promote the digitalization of financial services, and increase the efficiency of trade in Liberia.

The project’s sub-component 2.2 aims to support the growth and development of Micro, Small, and Medium Enterprises (MSMEs) by facilitating the provision of a line of credit (LOC) to eligible financial institutions onward lend to MSMEs that meet the eligibility criteria and can utilize the funds to grow and expand their businesses. In addition to financial support, the project will also provide technical assistance and training programs to both formal and informal lending institutions operating within the country. The objective of these programs is to enhance the capacity of the lending institutions to effectively assess the risk and viability of MSMEs. The project will help to improve Participating Financial Institutions' (PFIs) loan delivery systems, and risk management, and support innovative products for MSMEs.

The Liberian financial sector is primarily made up of banks and NBFIs. It consists of nine commercial banks (including microfinance departments within commercial banks) and various non-bank financial institutions (NBFIs), including 12 Rural Community Financial Institutions (RCFIs), less than five non-deposit-taking microfinance institutions (MFIs), two deposit-taking microfinance institutions (MDIs), approximately 275 credit unions, approximately 1,450 informal Village Savings and Loan Associations (VSLAs), one finance company, two mobile money operators, and 19 insurance companies.

In Liberia, Non-bank Financial Institutions (NBFIs), such as VSLAs play a crucial role in providing financial services and fostering economic development, particularly in rural areas of Liberia. However, there is a need for a comprehensive assessment and mapping of VSLAs across Liberia to understand their status, challenges, and potential areas for improvement. Additionally, there is a necessity to develop a comprehensive database of VSLAs and their members, as well as to establish baseline information and geolocations of these associations.

• OBJECTIVES OF THE ASSIGNMENT

The project is actively seeking a qualified individual consultant to assist the Central Bank of Liberia in the development of a comprehensive framework for supporting VSALs. This includes establishing a centralized, secure, and regularly updated database of VSLAs to enable them to access formal financial services and enhance their oversight, inform policy, and support financial inclusion initiatives.

• SCOPE OF THE ASSIGNMENT

The scope of services is broken down into the below phases:

Phase 1: scoping and preparation for data collection

• Identify active NGOs, community-based organizations and financial institutions, and donor projects supporting VSLAs to access reliable data, avoid duplication, and identify areas without adequate coverage of VSLAs.

• Develop standardized templates/forms for data collection.this may include mobile/digital tools for field-level use, which would lay the groundwork for future automation and real-time updates. The data collection tools should be designed to capture:

• Group-level data: name, location, founding year, affiliated NGO/partner, registration status (if any), and GPS coordinates.

• Operational data: member count (male/female), total savings, etc.

• Point of contact: chairperson/secretary name, phone number (optional/if consented).

Phase 2: Data collection and clean up

• Roll out template to identified stakeholders and partners and Train stakeholders on data collecton.

• Conduct field visits in all 15 counties of Liberia to collect quantitative and qualitative data on VSLAs and their members, including demographic information, financial transactions, savings, and loan activities as well as information on their governance structures, financial management practices, outreach, and impact on communities.

• Clean up and validate incoming data and consolidate to produce reliable baseline dataset that can be used for analysis, reporting, and future automation.

Phase 3: Development of an automated V