In Zambia, the SME sector accounts for 97% of companies, and employs 88% of the workforce. While access to finance is a major challenge to the scaling of MSMEs, the International Finance Corporation (IFC) estimates the MSME financing gap in Zambia to be USD 3.6 billion (pre-COVID 19), and the pandemic has exacerbated the situation.

MSMEs need not only access to finance for working capital and investment needs, but also other support mechanisms to increase their chances of success and readiness to qualify for, receive, and manage loan funds. For example, most small businesses are not aware of the available tools and technologies that can be used to improve internal efficiencies. Most business owners possess a mobile phone but are not aware of mobile-based solutions that can be used to manage stock records, daily sales, expenses, bookkeeping, and access to digital marketplaces, among others.

UNCDF, in collaboration with other UN agencies and development partners, is working to improve the capacity of MSMEs in Zambia to operate efficiently, increase MSME access to financing and contribute to job creation.

In this Request for Application (RFA) UNCDF is looking for technology solution providers or Fintech providers to implement programme activities in Zambia to equip MSMEs with digital tools to operate more efficiently and increase revenues. More specifically, the digital solutions should integrate the use cases listed below:

• Develop/increase MSME capacity to keep proper business records with the objective to facilitate digital loan applications.
• Link MSMEs to digital marketplaces.
• Support MSMEs to manage inventories.

Applicants may apply independently or in a consortium, provided that the consortium has a pre-established partnership prior to when this request for applications was issued.

UNCDF will provide up to 65,000 USD in grant and technical assistance to one technical solutions provider or Fintech and will be signing a Performance-Based Agreement (PBA) with the selected applicant who will be technically responsive to this Request for Application. Please review the PBA sample available on this RFA website platform.

CLICK HERE TO APPLY

The initial deadline for applications is December 1, 2021, 23:59 EST time.

However we invite you to check our e-investment platform to see if this deadline has not been extended.

Inquiries to this request for applications may be submitted by email to: uncdf.rfa@uncdf.org cc isaac.holly@uncdf.org