RfP: Commercially viable investment project proposals

With this Call for Proposals, UNCDF through its LFI Programme is inviting calls for commercially viable investment project proposals in the following focus areas:

1. Women’s economic empowerment
2. Investment projects owned or developed by women or projects with large derived benefits accruing to women, e.g. small and medium sized infrastructure projects in the following areas: agro-processing, manufacturing, climate resilience and clean energy, public service delivery and ICT.
3. Agro-processing/value addition
4. Processing plants, storage facilities and any other agricultural value addition project.
5. Public service delivery infrastructure
6. For example bus terminals, storage and market facilities, water infrastructure and waste related projects, etc.
7. Manufacturing
8. Small and medium scale manufacturing facilities in the following areas: agro-processing, climate resilience and clean energy.
9. Information and communications technology (ICT)
10. ICT infrastructure projects targeting remote populations including radio stations, mobile services and agricultural support services.
11. Climate resilience and clean energy
12. Renewable energy infrastructure projects including on and off grid power generation, water reservoirs and agricultural dams, etc.

What the LFI Programme offers developers

1. Project development support
   1. Provide targeted technical project development and financing support to project developers (e.g. enhanced project documentation, due diligence and financial structuring).
   2. Prepare project investment documents in the format acceptable to commercial banks and investors.
2. Link developers to financial institutions and investors
   1. Support project developers in accessing funding from commercial and development finance institutions (for example identifying the right investor based on sector, size and type of finance required) and negotiation of lending terms.
   2. Provide seed capital (soft loans and reimbursable grants) to select projects based on unique requirements and criteria.
   3. Provide credit enhancements and guarantee support, for example partial loan guarantees for qualified projects.

Eligibility criteria

Proposals must meet all of the following eligibility criteria:

1. Focus areas: Investment projects must fall within these focus areas: women’s economic empowerment, agro-processing and value addition, public service delivery infrastructure, manufacturing, ICT and climate resilience and clean energy.
2. Commercial viability: The investment proposal must show how the project will generate revenue and make profits. Applications should therefore be supported by a detailed description of the cost and revenue streams associated with the project.
3. Development impact: Proposals must show how the project will generate benefits to local communities, for example, job creation, income generation, empowerment of disadvantaged groups, including women and youth and rural populations, trade and market access for agricultural produce, etc.
4. Project status: Project development activities must have passed a pre-feasibility stage beyond a concept note, that is, proposals should include as a minimum an initial feasibility study (such as economic and technical feasibility where necessary) and a completed business plan and all initial compliance steps (for example licenses, permits, titles, environmental certificates where necessary, etc.).
5. Ownership: The investment project shall be sponsored by either a public or private entity established and operating in Tanzania.
6. Project size: Total project costs must be between USD 100,000 and USD 20 million.
7. Qualified management: The proposal shall show evidence that the proposed management team has the necessary technical and managerial skills.
8. Compliance: Compliance with Tanzania laws and regulations and UNDCF/UNDP Environmental & Social Performance Standards including human rights is a must.

Selection criteria

Eligible projects will be selected for support based on the following selection criteria:

1. Commercial viability: Proposals that show ability to generate revenue and make profits will be given priority.
2. Developmental impact: Priority will be given to proposals that show high development benefits accruing to local communities, for example job creation, income generation, empowerment of disadvantaged groups including women and youth and rural populations, trade and market access for agricultural produce, etc.
3. Documentation: For applicants who will be shortlisted they must be prepared within two weeks to submit relevant documentation related to their business for example cost and revenue estimates, quotations for machinery, BoQ (bill of quantities), market assessments, sources of raw materials, off-take agreements and contracts, etc.

Before you submit

UNCDF held a pre-submission workshop on September 8^th at the Holiday Inn Hotel, Dar es Salaam. This was an opportunity for project developers to ask questions and for UNCDF to elaborate on the focus areas, eligibility & selection criteria and types of services UNCDF can provide. The workshop also provided developers with tips on how to prepare their applications. Slides presented at the workshop and a FAQ document are available for download at the bottom of the page.

Instructions for submitting a proposal

Only properly completed submissions will be reviewed. A complete submission consists of the following two separate submission forms where the applicant must fill out all sections:

1. The Call for Proposal Submission Form (Word)
   Word Form 
2. The Call for Proposal Submission Form (Excel)
   Excel Form 

Any supporting documentation must be submitted in separate documents.

The two submission forms (Word and Excel) must be submitted in their original formats along with any supporting documentation to the following email: cfp.life@uncdf.org. Only one application per entity and per proposal will be accepted.

Language of proposal: Proposals must be submitted in English.

Deadline for submission: The deadline for submission of investment proposals is September 23, 2016.

Please note: Applicants who do not submit both submission forms in their original formats within the deadline will not be considered, and only successful applicants will be contacted after the deadline.