1. Background and Context
AFI network endorsed the Denarau Action Plan (DAP) at the 2016 Global Policy Forum held in Nadi, Fiji. The DAP outlines ten actions that promote development and implementation of policies and regulations by AFI member institutions to accelerate women’s financial inclusion and emphasizes the importance of measuring and evaluating progress. A year later, AFI members went further by committing to halve the financial inclusion gender gap in their respective jurisdictions by the end of 2021.
AFI members have since commenced implementation of the DAP, with technical guidance from the seven working groups, the AFI Management Unit and strategic oversight from the Gender Inclusive Finance Committee (GIFC) of the Board. Specific actions that are ongoing include initiatives to enhance women leadership in the network, incorporating gender specific interventions in AFI programs and in country implementation support, as well as designing and implementing sex-disaggregated data frameworks that ensure members promote systematic collection of supply and demand side data, that is disaggregated to enhance efficient policy and product design.
Halving the financial inclusion gender gap (the next global Findex is expected in 2021) remains a challenge, although there is significant progress towards this primary commitment in several member jurisdictions as the results of demand surveys conducted in recent years have shown. Therefore, the responsibility remains for financial regulators in crafting policy and regulatory frameworks that allow for the safe and sound provision of appropriate financial services for women, in the shortest time possible.
Regulators and policymakers understand the importance of and the need to narrow down the financial inclusion gender gap, but most of the financial services that are being offered from mainstream financial providers are generic or gender neutral and do not have the specific nuances that are needed to be gender sensitive and to enable women the accessibility, affordability, convenience, and security of using such services
The lack of customized financial products and services for women is holding women back from accessing mainstream finance. This is a particular disadvantage for women in rural and underserved communities as they resort to informal financial services, that are susceptible to risks and malpractices, thereby limiting women’s economic potential and their overall financial health.
Therefore, it is imperative that the AFI Management Unit continues to provide technical and content leadership support to members, to systematically advocate appropriate business models for women’s financial services and collaborate with Business Development Service (BDS) providers that can support FSPs in developing and strengthening capacities needed to deliver gender appropriate financial services and products. This gender sensitive approach will accelerate progress towards bridging the gender gap through the expansion and deepening of women’s access and usage of appropriate formal financial services.
2. Objective
The main objective of this toolkit is to accelerate closing the gender gap for women’s access to transaction accounts and then increase the usage of formal financial services. Specific outcomes include, to –
a) Guide regulators and policymakers to create an enabling environment for the market, and work together with Financial Service Providers (FSPs) to design appropriate financial products and services for women
b) Use of the toolkit to support and enable FSPs with the development gender sensitive products and services, in their respective jurisdictions (see Appendix)
c) Use of the toolkit to design in-country implementation and technical assistance programs
d) Use of the toolkit for capacity building programs for regulators, policy makers and financial services providers
e) Use the toolkit in conjunction with the AFI Toolkit on Gender Inclusive Policy Development that supports internal organizational capacity building efforts. This resource is primarily focused towards AFI staff.
f) Use of the toolkit to generate subsequent guides for specific financial products for women.
3. Project Deliverable
Women need financial products that are suitable, affordable, accessible, and convenient to their needs. Thus, together with members of the AFI network the consultant shall develop a toolkit that provides technical guidance to members in creating an enabling regulatory and policy environment, for market responses to design appropriate financial services and products for women.
The practical toolkit will support members in developing an enabling regulatory environment facilitating FSPs to provide gender sensitive financial products and services. It is envisioned that the toolkit will be utilized by financial regulators and policy makers, FSPs, financial institutions and AFI MU in developing and advocating for gender sensitive business models, value-propositions products and services.
4. Proposed Approach
The following activities will be undertaken to develop the toolkit.
• Literature review and desk research
• Interviews with relevant stakeholders
• Drafting of toolkit
• Review of toolkit
The following approach shall be applied.
4.1. Content Outline
(a) Potential Economic Gains of Women’s Financial Inclusion
Highlight the positive macroeconomic outcomes for promoting women’s economic empowerment and financial inclusion – women’s financial inclusion can put the global economy on a higher trajectory of growth and provide a much-needed boost to emerging markets and developing countries. A study conducted by McKinsey Global Institute (MGI) indicated that advancing women’s equality can add $12 trillion to global growth[1]. MGI identified closing the gender gap on financial inclusion to be one of the six key areas for unlocking the economic opportunities for women (the other key areas are education, family planning, maternal health, digital inclusion, and assistance with unpaid care). The economic value of including women in the formal economy is also emphasized in Africa where African women have been called “a powerful untapped economic force” and it is predicted that Africa could add $316 billion or 10 percent to GDP in the period to 2025 if each country makes advances in women’s equality to match the country in the region that has achieved the most progress towards parity[2].
(b) Segmentation of Women’s Market
Highlight the value of undertaking such a segmentation (i.e. helping FSPs to develop a more accurate understanding of their customers) and how this can be applied to the differing women’s segment (i.e. individuals, microenterprises and SMEs).[3]
(c) Definition of financial products and services for financial inclusion
Highlighting the main financial products and services that are appropriate for financial inclusion such as: deposits, loans, payments (including cash transfers, mobile money, and remittances), savings, micro-insurance, micro-investments.
(d) Description of a Women’s Market Program[4]
The proposed components of the WMP include – strategic partners; an executive program for senior management; training to develop and launch a dedicated women’s market program; and training to develop a cadre of WMP Specialists.
(e) An overview of the financial inclusion gender gap in the AFI Network
Highlighting the landscape of the gender gap status including the MSME Financing Gap[5] and regulatory/policy environment in AFI network and identifying what is missing from the broad landscape of financial products and service delivery for women. Pointing out the key regulatory barriers that challenge women’s access to financial products and services.
[1] https://www.mckinsey.com/featured-insights/employment-and-growth/realizi…
[2] https://www.mckinsey.com/~/media/mckinsey/featured%20insights/gender%20e…
[3] Please refer to Appendix B for an illustration of women’s market segmentation in the context of Zambia.
[4] Please refer to Appendix A.
[5]Please reference the IFC report on the MSME Finance Gap: Assessment of the Shortfalls and Opportunities in Financing Micro, Small and Medium Enterprises in Emerging Markets (https://www.ifc.org/wps/wcm/connect/03522e90-a13d-4a02-87cd-9ee9a297b311…)
(f) Economic Potential of Women
Highlight market opportunities of differing women’s segments, private sector value proposition, opportunities to scale and building a business case to design appropriate products and services for the women’s market.
(g) Key Attributes to drive effective design of FI products and services for Women (The 6 A’s)
This is the main part of the toolkit that will provide guidance on the use of key attributes or principles that will be used in designing appropriate financial services and products for women’s financial inclusion. This part will introduce the six (6) A’s in women’s financial inclusion product designing:
Appropriateness; Affordability; Availability; Accessibility; Awareness and Assessment.
Each attribute shall be clearly defined before being addressed through the following pillars.
(i) Appropriateness
This principle should consider the following attributes in designing products for women’s financial inclusion-
(a) Suitability of Services, tailored with gender consideration
(b) Regulatory enablers
(c) Sex-Disaggregated Data to drive policy intervention
(d) Supply-side interventions, including engagement with end user representatives and groups
(ii) Affordability
This principle should consider the following attributes in designing products for women financial inclusion-
(a) Cost drivers
(b) Competition
(c) Regulatory enablers
(iii) Availability
This principle should consider the following attributes in designing products for women financial inclusion-
(a) Convenience,
(b) Reliability of the infrastructure
(c) Infrastructure robustness
(d) Usability of products and services
(iv) Accessibility
This principle should consider the following attributes in designing products for women financial inclusion:
(a) Access Channels
i. Mobile phone ownership and usage
ii. Availability of suitable agent networks
iii. Merchant payments
iv. Women’s privacy and privacy of their information, when accessing the product or service
(b) Trust considerations
i. Women feeling secure accessing or using a product or service
ii. Cultural norms prevalent in influencing a women’s opportunity in accessing a channel e.g., Agents or Merchant
iii. Adequate financial consumer protection and financial literacy for women.
iv. Gender sensitive/gender bias training for frontline staff
(c) Capability
i. What level of financial capability does a woman require to be able to access/use the given product or service.
(v) Awareness
This principle should consider the following attributes in designing products for women financial inclusion-
(a) Raising the level of women understanding or and capabilities to use financial services
(b) Ensuring that awareness campaigns for financial services target women and are delivered through suitable channels
(vi) Assessment
This principle should consider the following attributes in designing products for women financial inclusion-
(a) Monitoring and evaluation of the impact of the women centric financial services
(b) Ensuring that Sex disaggregated data is collected in the supervisory function of the regulators
(vii) Critical Success Factors
The successful implementation of this toolkit requires institutional ‘political’ will focus on the SDGs and internal capacity and market preparedness in some of the following key areas:
(a) Availability of national strategies that focus on addressing women financial inclusion gaps
(b) Availability of database or the collection of sex-disaggregated data and analysis of such information for the use of financial service providers; and
(c) Programs that support consumer empowerment and financial capabilities.
5. Timeline and Submission
The consultancy work will begin in February 2021 until June 2021. The final agreed draft of the document should be completed no later than 31st July 2021.
6. Qualification
The consultant undertaking this assignment should have the following qualifications:
• Advanced degree in a field related to Gender, Economics, Public Policy, International Development or another related discipline.
• Knowledge and technical experience in inclusive financial services, gender and financial inclusion, regulatory environments, financial products and services for vulnerable populations.
• Experience in research with good technical writing skills (submit related working papers or research around the topic)
• Fluency in English (oral and writing) is compulsory.
7. Reporting
Throughout the contract period, the Consultant will be reporting to the Director, Strategy & Financial Inclusion Policy, Strategy & Member Relations and the Head of Gender Inclusive Finance.
8. Criteria for Evaluation
The proposals submitted will be evaluated based on the following criteria:
- Academic Qualification; 10%
- Knowledge and Technical experience of individual relevant for the assignment; 15%
- Experience in qualitative and quantitative research; 20%
- Experience in gender and financial inclusion policy or research related work; 20%
- Adequacy of the proposed work plan and methodology in responding to the Terms of Reference;20%
• Technical approach and Methodology – 10%
• Workplan – 10% - Sample work;15%
How to apply
Interested applicants are expected to submit a proposal with updated CV and using template given by email to AFI’s Procurement & Contracts Office at [email protected] by 14th January 2021.
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.
To help us with our recruitment effort, please indicate in your email/cover letter where (ngotenders.net) you saw this job posting.