RfP: Commercially viable investment project proposals for the Inclusive and Equitable Local Development (IELD)

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

• Women’s economic empowerment: Value addition investment projects owned or developed by women OR projects owned by men but significantly benefiting women at various stages of the value chain, e.g. small and medium sized investments in areas of focus of UNCDF: Agri-business/Agro-processing, horticulture, manufacturing and trade, climate resilience and clean energy, and public service delivery infrastructure).

Projects whose benefits accrue towards empowering women include:

• Manufacturing and Agro-processing: Agro-processing/horticulture facilities, storage facilities and any other agricultural value addition project.
• Public service delivery infrastructure: E.g. bus terminals, storage and market facilities, water infrastructure and waste management projects.
• Trading: Small and medium scale business entities that facilitate trade and market linkages within Tanzania.
• Climate resilience and clean energy: Projects which improve the livelihood of women and households at large. These include renewable energy infrastructure projects such as on and off grid power generation, water reservoirs and agricultural dams which can support irrigation and commercial farming.
• Local Economic Development: Businesses that offer local government, the private sector, and local communities the opportunity to work together to improve the local economy by enhancing competitiveness, increasing sustainable growth and ensuring that growth is inclusive.

What UNCDF offers to project developers

• Project development support: (1) Provide project development and financing support to projects developers (e.g. enhanced project documentation, financial analysis, due diligence and financial structuring). (2) Prepare investment documents in the format acceptable to commercial banks and investors.
• Link developers to financial institutions and investors: (1) Support project developers in accessing funding from commercial and development finance institutions (e.g. identifying the right investor based on sector, size and type of finance required) and negotiate lending terms. (2) For qualified projects, UNCDF may provide seed capital (grants, soft loans and reimbursable grants) based on unique project requirements and investment criteria. (3) Provide credit enhancements and guarantee support e.g. partial loan guarantees for qualified projects which are eligible for borrowing from domestic financial institutions.

Eligibility criteria

Proposals must meet all the following eligibility criteria:

• Geographical Coverage: Developers whose projects are targeting and benefiting majority of women throughout the Tanzania mainland (except Kigoma region) are encouraged to apply. Kigoma region is excluded because this IELD programme is already implemented in Kigoma and a similar Call for Proposal was undertaken for Kigoma in September 2017.
• Focus areas: Investment projects must fall within the focus areas of: Women economic empowerment, Agro-processing and value addition, horticulture and related facilities, public service delivery infrastructure, manufacturing, trading, and climate resilience and clean energy.
• 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.
• Development impact: Proposal must show how the project will generate benefits to the communities affected and specifically to the marginalized rural women e.g. job creation, income generation, empowerment of disadvantaged groups (including rural women and rural populations), trade opportunities, market linkage and access for agricultural produce.
• Project status: Project development activities must have passed a pre-feasibility stage beyond a concept note, i.e. proposals should include as a minimum a completed business plan and all initial compliance steps (e.g. licenses, permits, titles, etc). Priority will be given to existing projects that are looking for expansion.
• Ownership: The investment project must be developed by either a public or private entity operating in Tanzania.
• Project size: Total project costs must be between USD 50,000 and USD 20 million.
• Qualified management: The proposal must show evidence that the proposed management team has the necessary technical and managerial skills to run the project.
• 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 further consideration based on the following main selection criteria:

• Commercial viability: Proposals that show ability to generate revenue and make profits will be given priority.
• Willingness of the developer to borrow from commercial banks.
• Developmental impact: Priority will be given to proposals that show high development benefits accruing to affected communities and marginalized rural women, e.g. job creation, income generation, empowerment of disadvantaged groups including rural women and rural populations, trade/business opportunities, market linkage and access for agricultural produce, etc.

Documentation

For applicants who will be shortlisted must be prepared to submit relevant documentation related to their businesses within 2 weeks.

Before you submit

UNCDF will offer a half-day workshops on Friday 6^th April 2018. The purpose of this session is to allow applicants an opportunity to raise questions and for UNCDF to provide guidance and clarity on how to prepare proposals to increase the probability of meeting the eligibility and selection criteria.

If you wish to participate, please send an email to global.ield@uncdf.org indicating “IELD Pre-submission workshop” in the subject line of your email. You will only be allowed to participate in the workshop after receiving a confirmation email that you have been registered. Time and venue for the workshop will be communicated in due time to those who will request participation via email. Please note that the workshop participant will be responsible for his/her transport and accommodation costs for the workshop.

Please note that you can submit a proposal without participating in the workshop. The workshop is merely a courtesy provided by the UNCDF.

Instructions for submitting proposal

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

• The Call for Proposal Submission Form (Word)
  Word Form 
• 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 (Word and Excel) along with any supporting documentation to the following recipient: global.ield@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 on 15^th April 2018.

Please note: Applicants who do not submit both submission templates in their original formats within the deadline will not be considered, and only successful applicants will be contacted within 4 weeks after the deadline. Those applicants who will not be contacted should consider their proposals unsuccessful.