NICARAGUA: CAPACITY DEVELOPMENT PLAN AIMED AT THE NICARAGUA FINANCIAL SECTOR

INTRODUCTION TO GGGI

The Global Green Growth Institute (GGGI) is a treaty-based international, inter-governmental organization dedicated to supporting and promoting strong, inclusive and sustainable economic growth in developing countries and emerging economies. To learn more please visit about GGGI web page.

GENERAL INFORMATION

• Project: Mobilizing Climate Finance and Private Investments for Low-Carbon Development in Nicaragua
• Duty Station: On-site work
• Contract Duration: 15 May 2024 - 31 July 2024
• Number of Workdays Estimated (internal purpose only): 55
• Consultant Level: Level 4
• Total Fees: USD 13,200

  PROJECT BACKROUND

  Nicaragua relies on concessional international climate finance from development partners to finance its development and climate change objectives. However, the achievement of Nicaragua’s NDC targets requires a substantial increase in the volume of public and private, national and international climate finance invested in the country. The significant investment and efforts required for Nicaragua to implement its development and climate change plans risks being hampered by the 2018 attempted coup, the impact of the COVID-19 pandemic and Hurricane Eta y Iota, which hit the country, almost simultaneously, after a prolonged period of high debt-financed public infrastructure investments, deteriorating the country’s economic outlook, shifting priorities towards economic recovery, and reducing fiscal and policy space to pursue priority climate change initiatives. Although international climate finance offers some relief to the country´s growing debt to GDP ratio, the decreasing level of international aid and limited private sector participation in the country’s development agenda undermines the long- term sustainability of this fiscal approach.

  As a result of the limited fiscal space and decreasing ODA resources, the Government of Nicaragua is facing the necessity and challenge of increasing access to international climate finance and private sector contribution to the country’s NDC targets, with two main barriers limiting progress:

  • Barrier 1: Limited institutional, governance and planning capacity of the SCCP, MHCP, BCN and SIBOIF to integrate environmental, social and climate change considerations into financial planning and debt instruments.
  • Barrier 2: Local financial institutions’ limited capacity to integrate environmental, social and governance standards into their systems, processes and instruments hindering access to finance for low-carbon projects and enterprises.

    The proposed Readiness grant tackles identified climate finance barriers supporting the Government of Nicaragua develop strategic frameworks to enhance access to international climate finance, and promote private sector investments in mitigation and adaptation plans by:

    1. Developing Nicaragua´s National Climate Finance Roadmap to plan, enable and guide the access and use of domestic and international climate finance.
    2. Supporting Nicaragua’s capital market´s readiness assessment and advancing go-to-market activities for a sovereign green bond issuance and debt for climate swap transactions to raise affordable long-term finance earmarked to climate change adaptation and mitigation projects and programs.
    3. Greening Nicaragua’s banking sector by providing technical assistance to regulators and local financial institutions to integrate environmental.

       OBJECTIVES OF THE ASSIGMENT

       Hire a consultant to Strengthen the technical capacities of officials of the Nicaraguan financial system on sustainable banking.

       The consultant must adapt and implement a training plan aimed at officials of the Nicaragua financial sector, which involves conceptual and practical aspects of sustainable banking, which allows banks to play a fundamental role in the integration of climate change in long-term financing and social and environmental safeguards and in credit risk assessment.

       The training plan will be implemented through seven training workshops, in accordance with the context of Nicaragua's financial system, the regulatory framework of the Superintendency of Banks and Other Financial Institutions (SIBOIF) and the National Microfinance Commission (CONAMI).

       Specific objectives:

       1. Review of diagnosis and recommendations on sustainable banking, surveys and documentation of the Climate Finance Mobilization project, provided by GGGI.
       2. Review of the teaching material on sustainable banking, provided by the GGGI technical team.
       3. Updating and adaptation of the training curriculum, structured in seven modules, each lasting no more than 4 hours. The plan should be updated taking into consideration the results of diagnoses, recommendations, surveys and documentation of the GGGI project and good practices at international level on sustainable banking (ESG) and the economic, social and environmental benefits of its implementation.
       4. Design and application of a pre- and post-training survey, based on the curriculum to be implemented.
       5. Elaboration of a methodology for carrying out the workshops that includes the teaching techniques and dynamics, the selected materials and a proposal for scheduling.
       6. Seven face-to-face workshops will be held at the Olof Palme Convention Centre or at the place of its own choosing, according to the previously agreed calendar.
       7. Preparation of a report summarizing the main results of capacity building
       8. Other activities that contribute to capacity building.

          DELIVERABLES AND PAYMENT SCHEDULE

          • Consultancy work plan including timeline.
          • Methodological training plan for the workshops, including the teaching techniques and dynamics, the selected materials and a proposed schedule. Also, the questionnaire for the pre- and post-training survey.
          • Interim training report, starting from the third training event.
          • Report summarizing the main results of capacity building including pre and post training survey.

            PAYMENT AND DELIVERY SCHEDULE

            Payment

            Deliverables

            Target Completion

            Amount (% over total fee)

            1

            Consultancy work plan including timeline.

            May 29

            10%

            2

            📚 𝗗𝗶𝘀𝗰𝗼𝘃𝗲𝗿 𝗛𝗼𝘄 𝘁𝗼 𝗚𝗲𝘁 𝗮 𝗝𝗼𝗯 𝗶𝗻 𝘁𝗵𝗲 𝗨𝗡 𝗶𝗻 𝟮𝟬𝟮𝟯! 🌍🤝 𝗥𝗲𝗮𝗱 𝗼𝘂𝗿 𝗡𝗘𝗪 𝗥𝗲𝗰𝗿𝘂𝗶𝘁𝗺𝗲𝗻𝘁 𝗚𝘂𝗶𝗱𝗲 𝘁𝗼 𝘁𝗵𝗲 𝗨𝗡 𝟮𝟬𝟮𝟯 𝘄𝗶𝘁𝗵 𝘁𝗲𝘀𝘁 𝘀𝗮𝗺𝗽𝗹𝗲𝘀 𝗳𝗼𝗿 𝗨𝗡𝗛𝗖𝗥, 𝗪𝗙𝗣, 𝗨𝗡𝗜𝗖𝗘𝗙, 𝗨𝗡𝗗𝗦𝗦, 𝗨𝗡𝗙𝗣𝗔, 𝗜𝗢𝗠 𝗮𝗻𝗱 𝗼𝘁𝗵𝗲𝗿𝘀! 🌐

            ⚠️ 𝐂𝐡𝐚𝐧𝐠𝐞 𝐘𝐨𝐮𝐫 𝐋𝐢𝐟𝐞 𝐍𝐨𝐰: 𝐏𝐨𝐰𝐞𝐫𝐟𝐮𝐥 𝐓𝐞𝐜𝐡𝐧𝐢𝐪𝐮𝐞𝐬 𝐡𝐨𝐰 𝐭𝐨 𝐠𝐞𝐭 𝐚 𝐣𝐨𝐛 𝐢𝐧 𝐭𝐡𝐞 𝐔𝐧𝐢𝐭𝐞𝐝 𝐍𝐚𝐭𝐢𝐨𝐧𝐬 𝐍𝐎𝐖!

            Methodological training plan for the workshops, including the teaching techniques and dynamics, the selected materials, and a proposed schedule. Also, the questionnaire for the pre- and post-training survey.

            June 10

            30%

            3

            Interim training report, starting from the third training event.

            July 05

            30%

            4

            Report summarizing the main results of capacity building including pre and post training survey.

            July 31

            30%

            Deliverables will be considered approved and payable once approved by the GGGI Project Manager and the GCF Nicaragua Designated National Authority.

            EXPERTISE REQUIRED

            Required:

            • Must be a Nicaraguan citizen or foreigner who can reside and work in Nicaragua with a valid work permit
            • Master's degree in business administration, economics, engineering, financial laws, banking and finance, specialization studies in climate finance, environmental management, sustainability applied to business, companies, banks, national financial institutions, development banking.
            • Relevant and demonstrable general work experience of 8 years, in the financial sector or development banking, desirable experience in formulation, design and implementation of projects in the public and private financial sector, financial innovation projects, climate finance.
            • Experience in public financial institutions, multilateral banks, fiscal policy management, public spending.
            • Preferably, at least two years of consulting experience in international financial organizations, multilateral banking.
            • Experience in climate finance, two to three years, preferably with GCF funds or similar organizations.
            • Experience in Climate Change and sustainable development issues.
            • Language required, Spanish and English, excellent writing skills and clear transmission of ideas.

              ADMINISTRATIVE INFORMATION

              The Consultant will be supervised by the Nicaragua GGGI Project Manager. The consultant's work progress will be monitored primarily through periodic review meetings.

              Deliverable 1 - 4 must be written in English and Spanish, in accordance with GGGI's formatting requirements, and submitted with proof of editable file back-up (e.g., .docx, .pptx) in the GGGI SharePoint system. Where relevant, the Consultant shall also provide sets of raw data, research materials, and meeting notes related to the contractual objective.

              The Global Green Growth Institute (“GGGI”) is committed to transparency, accountability, and openness in the organization. In case of any doubt, please refer to our Whistleblower policy in the link:

              http://gggi.org/site/assets/uploads/2017/11/Whistleblower-Policy_02072015.pdf Child protection – GGGI is committed to child protection, irrespective of whether any specific area of work involves direct contact with children. GGGI’s Child Protection Policy is written in accordance with the Convention on the Rights of the Child.