Development of a Dividend Policy for the State-Owned Enterprises (SOEs) of the Gambia

REQUEST FOR EXPRESSIONS OF INTEREST

Name of Project: The Gambia Fiscal Management Development Project (P166695)

Grant No.: IDA-D6190

Assignment Title: Recruitment of a Consultant Firm to Develop a Dividend Policy for the State-Owned Enterprises (SOEs) of the Gambia.

Reference No. GM-PPPPE-412317-CS-CQS

Background

The Government of The Gambia, through a World Bank financed project of USD 35 million, the Gambia Fiscal Management Development Project, will recruit for the Directorate of State-owned Enterprises, a Technical Assistance (TA) to improve the performance of SOEs. The project development objective is to increase fiscal space along with effective utilization of public resources. The SOE sector in The Gambia comprises of 13 SOEs delivering public services in various sectors such as Energy & Water, Telecommunication, Agriculture, and Service and Transportation. The sector currently poses significant fiscal risk to public resources due to operational inefficiencies and weak governance framework.

The main objective of the Dividend Policy is to define policies and procedures in relation to the calculation, declaration, and settlement of dividends, and determine the frequency at which dividends should be declared and paid. Additionally, this technical assistance is to support the DSOE Oversight Department and SOEs to establish a robust framework and institutional capacity for the design, implementation, and effective distribution of dividends in the State-Owned Enterprise sector.

Objectives of the Assignment

The objective of the assignment is to prepare a dividend policy for SOEs in line with SOEs’ financial and social objectives and possible distribution of profits to Government as shareholder.

Scope of Services:

The scope of work will include the following:

• The progressive preparation of a uniform Dividend Policy for the SOEs (mapping out the scope, law and regulations in respect to dividend payouts)

• The submission of a completed Dividend Policy for comprehensive review and feedback by the SOEs

• Analyze the current financial position of SOEs to determine the viability of implementing a dividend policy for the commercial SOEs, and the impact of the dividend policy on their financials.

• Conduct research on best practices regarding dividend policy across countries within the sub region.

• Develop a detailed implementation plan and establish a mechanism for monitoring and evaluating the dividend policy

• An extensive engagement of the Board of Directors of the SOEs on their feedback in relation to the proposed Dividend Policy;

• Explore the possibility of institutionalizing interim dividend on the policy

Firm Experience

The assignment will require the services of a firm with extensive experience in the operations of State-Owned Enterprises (SOEs).

The firm should have strong experience in policy formulation, implementation, monitoring and evaluation necessary for the attainment of desired results. They should have reasonable knowledge in the following areas:

• Extensive experience working in the SOE sector (Telecoms Industry, Petroleum, Agriculture, Logistics, Energy, Transportation) at management level

• Proven expertise/experience in the development of SOE dividend policy

• Knowledge on International Financial Reporting Standards (IFRS) and other regulatory Financial Reporting guidelines / framework.

• Thorough understanding of Performance Management Contracts and their effective application within the SoE landscape

• Public Governance, Risk and Ethics and the application of OECD SOE Governance guidelines.

• Policy analysis, formulation and implementation within the SOE sector.

Expected Duration

• All activities/deliverables should be completed within three months of signing the contract.

Submission of Expressions of Interest:

The Gambia Fiscal Management Development Project now invites eligible consultant firms to express 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 and have carried out similar assignments.

The attention of interested Consultants is drawn to Section III, paragraphs, 3.14, 3.16, and 3.17 of the World Bank’s “Procurement Regulations for IPF Borrowers” dated September 2023 (“Procurement Regulations”), setting forth the World Bank’s policy on conflict of interest.

A Consultant will be selected in accordance with the Consultant’s Qualifications (CQS) selection method set out in the Consultant Guidelines. Further information can be obtained at the address below during office hours from 09:00 to 16:00 Monday to Thursday and 09:00 to 12h30 on Friday.

Expressions of interest should be delivered in a written form to the address below (by email) on or before 27 March 2024 at 12h30 GMT

Gambia Fiscal Management Development Project GFMDP

Royal Insurance Building, 2nd Floor,

Bertil Harding Highway, Kotu, KMC

The Gambia

Email: [email protected]

and [email protected]