Tender Description

EXPRESSION OF INTEREST (EOI)

S. No: 1 

 TENDER NO.: WVSOM/15/11/FY25 

DESCRIPTION: Expression of interest revolving Fund Initiative under the Joint Resilience Programme (JRP) in Galkayo

Introduction
World Vision International (WVI) has been implementing the Joint Resilience Programme (JRP) in
Galkayo District, Mudug Region, with funding support from KfW/WFP. The programme aims to
strengthen the resilience of vulnerable households and communities by addressing food insecurity,
economic vulnerability, and environmental shocks.
As part of the JRP, World Vision Puntland focuses on enhancing economic resilience through the
Village Savings and Loan Association (VSLA) model. The project has established and supported five
new VSLA groups in Jeexdin, Galkayo, Bacaadweyn, and Xarfo, providing members with training
on financial literacy, saving and loan methodologies, and business skills. These initiatives empower
households to save, access credit, and invest in income-generating activities.
To further strengthen financial inclusion and sustainability, World Vision Puntland intends to
partner with a Microfinance Institution (MFI) or Bank to manage and operate a Revolving Loan
Fund (RLF). This collaboration will ensure that VSLA members and project beneficiaries gain access
to formal financial services, business start-up kits, and sustainable credit opportunities that
promote long-term self-reliance and resilience.
2. Introduction
The Joint Resilience Programme (JRP) in Galkayo District is designed to strengthen the resilience
of vulnerable households in the Mudug region by addressing food insecurity, economic
vulnerability, and environmental shocks.
World Vision Puntland (WV) implements livelihood and financial empowerment activities under
the JRP, focusing on improving economic resilience through the VSLA model. The project has
established and supported five new VSLA groups across Jeexdin, Galkayo, Bacaadweyn, and Xarfo,
providing training in financial literacy, saving and loaning methodologies, and business
management.
To enhance financial inclusion and sustainability, WVI seeks to contract a qualified Microfinance
Institution (MFI) or Bank to manage a Revolving Loan Fund (RLF) for Providing business skills
training and link to the micro finance institutions /banks. The selected institution will manage,
disburse, and monitor the revolving fund and provide business start-up grant kits through in-kind
or Murabaha (Islamic financing) approaches.
This intervention will strengthen linkages between VSLAs and formal financial institutions,
enabling community members to access capital for micro-enterprises and fostering long-term
resilience and self-reliance.

1. Project Background:

Project name; Joint Resilience Programme (JRP) in Galkayo
Donor: funding support from KfW/WFP
Location: Mudug
Sector: Food Security & Livelihood
Duration:

1.1 Purpose, Scope and Objectives.
The main objective of this expression of interest is to identify and engage a reputable Microfinance Institution (MFI) or Bank to manage the Revolving Loan Fund (RLF) for JRP beneficiaries in Galkayo District and villages under it.

Specific Objectives:
• Establish and manage a business financing scheme for JRP beneficiaries.
• Facilitate revolving fund loans to VSLA groups and ensure proper repayment mechanisms.
• Provide business start-up grant kits through in-kind or Murabaha financing models.
• Offer financial literacy, business mentorship, and entrepreneurship development services to VSLA members.
• Strengthen linkages between VSLAs and financial institutions for long-term access to credit and financial inclusion.

Expected Results
• Enhanced Access to Finance: VSLA groups gain access to micro-loans and financial services through the selected MFI.
• Improved Business Development: Beneficiaries develop viable business plans and gain entrepreneurship skills through mentorship and training.
• Mobile Banking Accessibility: Ensure that communities, particularly those in remote areas, can access financial services through mobile banking platforms.
• Sustainable Financing Mechanism: The revolving fund continues to support new cycles of beneficiaries beyond the initial implementation period.
• Financial Linkages: VSLAs establish ongoing relationships with formal financial institutions, increasing long-term financial inclusion.

• Transparent Management: The MFI maintains accurate records, submits periodic reports, and ensures compliance with WVI standards.
• Capacity Building: Strengthen the capacity of MFIs/banks through technical support and gap analysis to improve their service delivery.

1. Evaluation Criteria and Rating
   The Selection of the firm will be made based on cumulative analysis (i.e., mandatory requirement
   and technical qualifications as follows:
   Mandatory requirements

Applicants must submit the following documents as part of the application:
• Central Bank registration certificate
• Commercial operating license from the Puntland state.
• Tax clearance certificate from Puntland
3. Deliverables
• Inception report
• Development of assessment tools
• Draft and final assessment report
• All materials used for staff training
More Details to be provided in full TOR upon Expression of Interest.
We hereby invite Expression of Interest from registered, approved and reputable Micro finance
institutions to provide above-named services to World Vision Somalia.

Skills Required

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