KARANDAAZ PAKISTAN Request for Proposal RFP # 104 ...

RFP – 104 Assessment of MEL Function at Karandaaz Pakistan

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KARANDAAZ PAKISTAN

Request for Proposal

RFP # 104

Assessment of MEL Function at Karandaaz Pakistan

18 November 2021


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SECTION 1. LETTER OF INVITATION

REQUEST FOR QUOTATIONS

Country: Pakistan

Title of RFP: Assessment of MEL Function at Karandaaz Pakistan

RFP Number: 104

Issuance date of RFP: 18th November, 2021

Last date for Queries: 25th November, 2021

Response to Queries: 26th November, 2021

Closing date of RFP: 8th December, 2021

Presentation: 15th & 16th December 2021 (Tentative)

RFP response to: Procurement Department

E-mail Address: [email protected]

RFP no. 104 18th November 2021, Islamabad

1. The purpose of this Request for Proposal (the “RFP”) is to solicit proposals from bidders interested

in providing Functional Assessment of MEL at Karandaaz Pakistan. The RFP is designed to assess whether bidders are able to provide the goods and services required (hereinafter jointly and severally referred to as the “Services”), and through a competitive and fair assessment, select a winning bidder for the Services.

2. Karandaaz Pakistan invites sealed proposals from interested and eligible bidders. Further details on the Services required are provided in the Terms of Reference (Section 4 of RFP).

3. The bidder will be selected under open competitive procedures, in accordance with the Procurement Policies and Procedures of Karandaaz Pakistan (the “KRN Policy and Procedures”). In the event of any conflict or inconsistency in terms and conditions of the RFP and the KRN Policy and Procedures, the KRN Policy and Procedures shall prevail.

4. The full RFP is available at www.karandaaz.com.pk under procurement section 5. Karandaaz Pakistan plans to offer a Fixed Price Contract in PKR to the successful bidder 6. An award will be made on the Quality and Cost basis selection. 7. An award will be made based on the Quality and Cost based selection.

Both technical and financial proposals must be submitted in a hard copy and electronically through

email with subject: RFP # 104 “Assessment of MEL function at Karandaaz Pakistan” before 5 PM

Pakistan Standard Time on 08th December, 2021. Bidders must prepare two hard copy of the technical

proposal and one hard copy of the financial proposal, and submit them in separate sealed envelopes

to the attention of ‘The Procurement Department’ 1-E, Ali Plaza, D Chowk, Mezzanine Floor,

Nazimuddin Road, Blue Area, Islamabad, Pakistan.

Bidders must also submit electronic copies of technical & financial proposals through email at

[email protected] . The electronic copies of the financial proposals must be password

protected. Password for financial proposal will be requested by Karandaaz procurement department

at the time of financial opening only from the technically qualified bidders at the time of financial

opening (if needed).

http://www.karandaaz.com.pk/

mailto:[email protected]


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Hard copy of the bids/proposals shall be considered in case of any discrepancy found with the softcopy.

Yours sincerely, The Procurement Department Karandaaz Pakistan


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SECTION 2. INSTRUCTIONS TO BIDDERS

A. General

1 Scope of Proposal Karandaaz Pakistan issues this Request for Proposals (the “RFP”) for the following Services: “Assessment of MEL Function at Karandaaz Pakistan”

Throughout this RFP:

i. The term “in writing” means communicated in written form (e.g., by mail, e-mail, fax) ii. “Day” means calendar day

2 Fraud and Corruption

Bidders shall comply with Karandaaz Pakistan’s policy regarding fraud and corruption set out in Section 3 of the RFP.

3 Eligibility

Karandaaz Pakistan may specify certain minimum qualification criteria in the Terms of Reference e.g. minimum years of relevant experience; __ etc. Bidders shall be under an obligation to disclose to Karandaaz Pakistan any situation of actual or potential conflict that impacts their capacity to perform/act in accordance with Karandaaz Pakistan’s best interests or pose a conflict of interest. Failure to disclose such situations may lead to the disqualification of a bidder or the termination of its contract. Karandaaz Pakistan’s policy with regard to conflict of interest is specified in Clause 34 of Section 3 of the RFP. Bidders shall, upon request, provide evidence of their continued eligibility to the satisfaction of Karandaaz Pakistan, as may be requested from them from time to time.

4 One Proposal Per Bidder

An entity can participate only in one bid: as a single bidder, as a lead in a consortium/ joint venture or as a partner in a consortium / joint venture. Partnership firms or similar entities in different jurisdictions which work under a common brand name or a part of an affiliated network will be regarded as a single entity and may not participate in more than one bid. Similarly associates and subsidiaries of an entity will be regarded as a part of a group and may not participate in multiple bids. Bidders may ask for clarification and any decision in this regard by Karandaaz shall be deemed to be final.

5 Cost of Preparation of Proposal The bidder shall bear all costs associated with the preparation and submission of its proposal. Karandaaz Pakistan shall not be responsible or liable for any such costs, regardless of the conduct or outcome of the bidding process.


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B. Request for Proposal

6 Contents of the RFP

The RFP comprises the documents listed below plus any Addendum issued pursuant to Clause 8, of Section 2 ‘Amendment of RFP’. Section 1 - Letter of Invitation Section 2 - Instructions to bidders Section 3 - Procurement Policy – bidder conduct Section 4 - Terms of Reference. Annexure A - Proposal Submission Letter Annexure B – Reference Format Annexure C – Conflict of Interest Form

7 Clarification of RFP All questions and/or clarifications regarding this RFP must be submitted via email to [email protected] no later than 5PM local time on 25th November 2021. All correspondence and/or inquiries regarding this solicitation must reference the RFP number. No phone calls or in-person inquiries will be entertained; all questions and inquiries must be in writing.

Questions and requests for clarification—and the responses thereto—will be uploaded at Karandaaz website by 5PM local time on 26th November 2021. Only written answers will be considered official and carry weight in the RFP process and subsequent evaluation. Any verbal information received from a Karandaaz employee or other entity should not be considered as an official response to any questions regarding this RFP.

8 Amendment of RFP At any time prior to the deadline for submission of bids, Karandaaz Pakistan may amend the RFP by issuing an Addendum. Any Addendum so issued shall be part of the RFP and will be communicated via the Karandaaz Pakistan website. Bidders are advised to monitor the site for updates. To give prospective bidders reasonable time in which to take an Addendum into account in preparing their bids, Karandaaz Pakistan may, at its discretion, extend the deadline for the submission of bids, pursuant to Clause 16, of Section 2 ‘Deadline for Submission of proposals’.


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C. Preparation and Submission of Proposals

9 Language of proposal

All documents relating to the proposal shall be written in the English language.

10 Documents Comprising the Proposal A proposal shall consist of a technical and financial proposals. 1. Technical proposal consisting of the following:

i. Name and details of bidder and experience relevant/similar to the published assignment; ii. Two customer references on letterheads related to the subject RFP, duly authorised by

the clients. The accuracy shall be the sole responsibility of the supplier. iii. Comments and suggestions on the terms of reference, counterpart staff, and facilities to

be provided by Karandaaz Pakistan; iv. Description of approach, methodology, and work plan in responding to the terms of

reference; v. Examples and proof of past experiences

vi. Work schedule and planning for deliverables; and vii. Team composition, assignment, and key experts’ inputs and Curriculum vitae (CV of team

members and key experts). viii. Resource allocation plan (for both onsite and offsite functional experts) for the overall

tenure of the project with allocation plan.

2. Financial proposal Pricing must be fully comprehensive, complete, and list any available discounts. Pricing information supplied with the proposal must be valid for at least 60 days after the due date for proposal submission. All one-time and recurring costs must be fully described. Prices should be quoted, inclusive of all services, licenses, out of pocket expenses, withholding income tax, sales tax and other provincial/federal levies if any. Karandaaz will not be responsible for any erroneous calculation of tax rates or structure of applicable taxes. All differences arising out as above shall be fully borne by the Successful Bidder. In case the bidder doesn’t identify inclusion of applicable taxes or duties in the proposal, it shall be assumed that the quoted price is inclusive of all applicable taxes and duties

11 Currencies of Bid, Contract and Payment

i. The financial proposal will be submitted in PKR, irrespective of the bidder being local or foreign.

ii. The contract will be signed in PKR and the payment of the invoices shall be in PKR. iii. If the selected bidder does not have any office in Pakistan, the bidder may request the

payment to be made in USD. Any such payment will be made in USD using the spot rate advertised on the SBP website on the day of payment. The cumulative payment shall not exceed the amount agreed in the executed contract.”

12 Proposal Validity Proposal shall remain valid for 60 days after the proposal submission deadline date established by Karandaaz Pakistan. A proposal valid for a shorter period shall be rejected as non-responsive.


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In exceptional circumstances, prior to the expiration of the proposal validity period, Karandaaz Pakistan may request all bidders who have submitted their proposals to extend the period of validity of their proposal for a specified additional period. The request and the responses shall be made in writing. Agreement by a bidder to extend the validity of its proposal, shall be without any change in the original proposal and with confirmation of availability of the key experts. A bidder has the right to refuse extension in the validity period of its proposal, in which case such proposal will not be further evaluated. If any of the key experts become unavailable for the extended validity period, the relevant bidder shall provide an adequate justification in writing and evidence to the satisfaction of Karandaaz Pakistan together with the substitution request. In any such case, the replacement key expert shall have equal or better qualifications and experience than those of the originally proposed key expert. The technical evaluation score, however, will continue to be based on the evaluation of the CV of the original key expert. If the said bidder fails to provide a replacement key expert with equal or better qualifications, or if the reasons provided for the replacement or justification are not to the reasonable satisfaction of Karandaaz Pakistan, the proposal will be rejected at Karandaaz Pakistan’s sole discretion.

13 Proposal Security A proposal security is not required for purposes of this procurement.

14 Alternative proposals Alternative proposals shall not be considered.

15 Format, Signing, and Submission of Proposal The bidder shall prepare and email a scanned copy of the documents comprising the proposal as specified in Clause 10, of Section 2 on its official letterhead. Each document shall be signed by a person duly authorized to sign on behalf of the bidder and all pages of the proposal shall be initialled by the person or persons signing the proposal. The proposal shall contain no alterations or additions, other than those which are necessary for complying with instructions issued by Karandaaz Pakistan, or as are necessary for correcting errors made by the bidder, in which case such corrections shall be initialled by the person or persons signing the proposal.

16 Deadline for Submission of Proposals Proposals must be received by Karandaaz Pakistan no later than 5:00 PM Pakistan Standard Time on 6th December 2021. Karandaaz Pakistan may extend the deadline for submission of proposals by issuing an amendment in accordance with Clause 8, of Section 2 ‘Amendment of RFP’, in which case the original deadline shall be extended to the new deadline. An extension notification shall be published at Karandaaz website under procurement section.

17 Late Proposal Any proposal received after the deadline for the submission of proposals prescribed in Clause 16, of Section 2 by Karandaaz Pakistan will be considered only at the sole discretion of the evaluation team.


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18 Withdrawal, Substitution, and Modification of Proposal Bidders may withdraw, substitute or modify their proposal by giving notice in writing before the deadline for submission of proposal prescribed in Clause 16, of Section 2 ‘Deadline for Submission of Proposal’. Each bidder’s withdrawal, substitution or modification notice shall be prepared, sealed, marked, and delivered in accordance with Clause 15, of Section 2 ‘Format, Signing, and Submission of Proposal’, with the subject line: Responding to RFP No 104 “Assessment of MEL function at Karandaaz Pakistan” “WITHDRAWAL,” SUBSTITUTION” or “MODIFICATION”] as appropriate. No proposal may be substituted or modified after the deadline for submission of proposal as aforestated.

D. Proposal Opening and Evaluation

19 Proposal Opening Karandaaz Pakistan shall open the proposals, including modifications made pursuant to Clause 18, of Section 2, on the business day following the deadline stipulated in Clause 17, of Section 2 or the extended deadline in accordance with Clause 16 of Section 2, as the case may be.

20 Confidentiality Information relating to the examination, evaluation, comparison, and post-qualification of proposal, and recommendation of contract award, shall not be disclosed to bidders or any other third persons whatsoever, prior to publication of the contract award. Any effort by a bidder to influence Karandaaz Pakistan in the examination, evaluation, comparison, and post-qualification of the proposal or contract award decision may result in the rejection of its bid. Notwithstanding the foregoing, from the time of proposal opening to the time of bidding process conclusion, if any bidder wishes to contact Karandaaz Pakistan on any matter related to the bidding process, it should do so in writing at the address indicated in Clause 7, of Section 2 ‘Clarification of RFP’.

21 Clarification of Bids To assist in the examination, evaluation, and comparison of proposals, Karandaaz Pakistan may, at its discretion, seek clarifications in respect of the proposal from any bidder. The request for clarification and the response shall be in writing, but no change in the price or substance of the proposal shall be sought, offered, or permitted except correction of arithmetical errors discovered by Karandaaz Pakistan in the evaluation of the proposals in accordance with Clause 25 of Section 2 ‘Correction of Errors’.

22. Preliminary Examination of Proposals Prior to the detailed evaluation of proposals, Karandaaz Pakistan shall first review each proposal and check the power of attorney or any other form of delegation of authority demonstrating that the representative has been duly authorized to sign the proposal, initialization of all pages, etc.

23 Determination of Bidder’s Eligibility and Qualifications Karandaaz Pakistan shall determine whether the bidder meets the eligibility and qualification requirements of the bidding documents. Bidders failing to comply with the eligibility criteria specified in Clause 3, of Section 2- ‘Eligibility’ shall be disqualified. If the bidder meets the eligibility


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criteria, Karandaaz Pakistan shall determine whether the proposal is substantially responsive to the requirements of the bidding documents.

Karandaaz Pakistan’s determination of a proposal’s responsiveness shall be based on the contents of the proposal itself. A substantially responsive proposal is one, which conforms to all the terms, conditions, and specifications of the RFP, without material deviation or reservation. A material deviation or reservation is one (a) which affects in any substantial way the scope, quality, or performance of the Services; (b) which limits in any substantial way or is inconsistent with the RFP, Karandaaz Pakistan’s potential rights or bidder’s obligations under the proposed contract; or

(c) the rectification of which would unfairly affect the competitive position of other bidders presenting substantially responsive proposals.

24 Evaluation of Technical Proposal Karandaaz Pakistan shall evaluate the technical aspects of the proposals received, applying the evaluation criteria specified hereunder. Each proposal that is not rejected for reasons stated in these Instructions will be given a technical score. Technical evaluation weight will be split in two categories

a) desk review of proposals (60%) and

b) presentation (10%). The desk review of proposals will be evaluated on following criteria:

o Desk Review (60% of total score): o Prior experience of the firm (20 marks) o Proposed team (20 marks) o Proposed methodology (20 marks)

Criteria Description Weight

Technical Evaluation

Prior experience of the firm

● Knowledge of financial inclusion, monitoring and evaluation, donor-funded assessments and evaluations

● Demonstrated experience in designing and implementing M&E systems, results framework, theory of change, evaluation/ assessment and research methodologies applicable to the international development programmes and value for money (VfM) assessments, preferably for not-for-profit entities.

● Understanding MEL needs/requirements of a not-for-profit entity like KRN with a focus on private sector development, MSMEs, and economic development.

● Previous experience in conducting M&E of BMGF funded programmes, or IFC and World Bank-funded programmes on financial inclusion.

20

Proposed team ● Experience in developing Results Frameworks for similar strategic platforms such as IZP and PFSL.

20


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● Understanding of global learnings of similar project implementations and their subsequent M&E requirements.

● Demonstrated experience in assessing the value of money of similar programmes; assessing theory of change and result measurement approaches for MSME/private sector development-focused programmes; and/or conducting an assessment of strategies/policies, preferably for monitoring and evaluation.

● A minimum of master degree for Team Lead and other key team members in relevant subjects.

Proposed Methodology

These TORs provide a broad approach to the exercise. The Consultant is expected to provide a detailed methodology in the technical proposal.

20

Presentation* Applicants scoring more than 45 per cent of the technical evaluation score (out of 60), will proceed to the presentation stage.

10

Financial Proposal 30

* The firm scoring above 45% (maximum marks being 60) in desk review of proposals will be asked to make a presentation on the proposal. The presentation will primarily focus on understanding of assignment and proposed methodology. Based on the presentation, the technical evaluation committee will give an overall score (maximum 10) to bidders. This overall score combined with 60% of score achieved during desk review of proposals will determine performance of the bidder on technical evaluation.

The technical competencies of firm and team members required for this assignment are also mentioned in the Section 4: Term of Reference

25 Correction of Errors Proposals determined to be substantially responsive shall be checked by Karandaaz Pakistan for any arithmetical errors. Errors shall be corrected by Karandaaz Pakistan as follows: Where there is a discrepancy between the amounts in figures and in words, the amount in words shall govern. The amount stated in the proposal shall be adjusted by Karandaaz Pakistan in accordance with the above procedure for the correction of errors and, with the concurrence of the bidder, shall be considered as binding upon the bidder. If the bidder does not accept the corrected amount, the proposal shall be rejected.

26 Currency for Price Evaluation For evaluation and comparison purposes, Karandaaz Pakistan shall use the quoted price in PKR. If the proposal is quoted in USD then Karandaaz Pakistan shall convert the figures to PKR using the State Bank of Pakistan’s issued exchange rate on the day of financial bid opening.


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27 Evaluation of Proposal Price and ranking: Financial Proposal (30 out of the total score of 100) Financial proposal submitted will be evaluated according to price reasonableness determination under full and open competition and known market conditions.

Evaluation of the financial proposal will consider, but will not be limited to, the following: ● Cost reasonableness; ● Consistency with the technical proposal;

30 points will be awarded to the lowest responsive bidder while rest of the bids will be allocated points according to the following formula: Points of a Bidder = (P1/ P2) * 30 Where: P1= Price of Lowest Responsive Bidder P2= Price of the Bidder Karandaaz Pakistan may also negotiate the price and terms with the top ranked/ highest

(combined technical and financial) scored bidder to have the best techno-commercial outcome.

If the outcome of the negotiation is unsuccessful or an agreement is not reached with the top

ranked bidder, Karandaaz may then negotiate with the next in-line bidder and so on down the list

as per rank until a satisfactory outcome is achieved.

Financial proposal shall be provided in excel format & in adobe dully signed by all authorized

bidders.

E. Award of Contract

28 Award Criteria Karandaaz Pakistan shall award the contract to the bidder whose proposal has been determined to be substantially responsive to the RFP and which has the highest combined technical and financial score and and is most advantageous to Karandaaz.

29 Karandaaz Pakistan’s right to accept any Proposal and to reject any or all Proposals Karandaaz Pakistan reserves the right to cancel the bidding process and to reject all bids or to accept or reject any bid, at any time prior to the award of contract, without thereby incurring any liability to the affected bidder or bidders or any obligation to inform the affected bidder or bidders of the grounds for Karandaaz Pakistan’s action.

30 Complaints pertaining to Bidding Process Without prejudice to Clause 29 of Section 2, any complaint at any stage of the bidding process or on conclusion of the bidding process from a bidder regarding a deviation from the prescribed procurement procedure may be addressed and delivered in writing to: Karandaaz Pakistan Attention: Chief Executive Officer 1 E, Ali Plaza, Nazimuddin Road, D-Chowk, Islamabad


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Any requests via email seeking this explanation should be sent to [email protected] 31 Unsuccessful Bidder

Unsuccessful bidders will also be intimated via regret emails. Karandaaz Pakistan shall observe a 7 calendar days stand still period after intimation of results. Standstill period is defined as the period to give Bidders time to assess whether it is appropriate to submit an inquiry/concern/complaint. In case a bidder inquires about the results of the evaluation, only the scores of the inquiring party shall be shared. Any inquiry received after the standstill period shall not be considered for any action. Karandaaz Pakistan reserves the right to cancel the bidding process and to reject all bids or to accept or reject any bid, at any time prior to the award of contract, without thereby incurring any liability to the affected bidder or bidders or any obligation to inform the affected bidder or bidders of the grounds for Karandaaz Pakistan’s action.

32 Notification of Award and Signing of Agreement The bidder whose Proposal has been accepted shall be notified of the award by Karandaaz Pakistan prior to expiration of the proposal validity period through a communication in writing (the “Letter of Acceptance”). The said Letter of Acceptance shall state the full value of the contract payable by Karandaaz Pakistan in consideration of the services to be provided in accordance with the RFP. The contract pursuant to the award shall incorporate all agreements between Karandaaz Pakistan and the successful bidder and shall be signed by Karandaaz Pakistan and sent to the successful bidder. The successful bidder will duly sign the contract and return it to Karandaaz Pakistan within seven (7) days.

SECTION 3. PROCUREMENT POLICY – BIDDER CONDUCT

33 Corrupt or fraudulent practices

Bidders, suppliers, contractors and their agents (whether declared or not), suppliers, and any personnel thereof, shall observe the highest standard of ethics during the procurement and execution of contracts.

Karandaaz Pakistan shall not award the contract if it is determined that the bidder, or any of its personnel, or its agents, or its sub-consultants, , suppliers and/or their employees, has, directly or indirectly, engaged in corrupt, fraudulent, collusive, coercive, or obstructive practices in competing for the contract in question. As part of bidding/ solicitation documents, Karandaaz Pakistan will seek declaration of ‘Non collusive non corrupt practices’ from each bidder. Format for such declaration is prescribed in section 3 of the standard bidding document. In pursuance of this policy, following terms are defined as follows:

a. “Corrupt practice” is the offering, giving, receiving, or soliciting, directly or indirectly, of anything of value to influence improperly the actions of another party;

mailto:[email protected]


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b. “Fraudulent practice” is any act or omission, including a misrepresentation, that knowingly or recklessly misleads, or attempts to mislead, a party to obtain a financial or other benefit or to avoid an obligation;

c. “Collusive practice” is an arrangement between two or more parties designed to achieve an improper purpose, including to influence improperly the actions of another party;

d. “Coercive practice” is impairing or harming, or threatening to impair or harm, directly or indirectly, any party or the property of the party to influence improperly the actions of a party;

e. “Obstructive practice” is deliberately destroying, falsifying, altering, or concealing of evidence material to the investigation or making false statements to investigators in order to materially impede investigation into allegations of a corrupt, fraudulent, coercive or collusive practice; and/or threatening, harassing or intimidating any party to prevent it from disclosing its knowledge of matters relevant to the investigation or from pursuing the investigation.

Karandaaz Pakistan shall not award the contract if its determined that the bidder or any of it’s personnel, agents, consultants, suppliers and/or their employees are directly or indirectly engaged in or support individuals, groups or entities associated with terrorism, including but not limited to the following:

a. HM Treasury’s Office of Financial Sanction Implementation-Financial sanctions consolidated list of targets;

b. UK Home Office- Proscribed terrorist groups or organisations; c. United Nations- United Nations Security Council Sanctions List; d. Work Bank- World Bank Listing of Ineligible Firms and Individuals.

34 Avoidance of conflict of interest Any bidder participating in the procurement process should disclose any actual or perceived conflict of interest situation/condition. Any bidder to have a conflict of interest shall be ineligible for award of a contract.

A bidder shall be considered to have a conflict of interest in a procurement process if: a. Such bidder is providing goods, works, or non-consulting services resulting from or directly

related to consulting services for the preparation or implementation of a project that it provided or were provided by any affiliate that directly or indirectly controls, is controlled by, or is under common control with that bidder; or

b. Such bidder(including its personnel) has a close business or family relationship with one or more professional staff of Karandaaz Pakistan who: (i) is/are directly or indirectly involved in

c. the preparation of the bidding documents or specifications of the contract, and/or the bid evaluation process of the contract; or (ii) would be involved in the implementation or supervision of the contract unless the conflict stemming from such relationship has been resolved in a manner acceptable to Karandaaz Pakistan throughout the procurement process and execution of the contract; or

d. Such a bidder falls under any other conflict of interest situation as specified in the standard bidding documents relevant to the specific procurement process.


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e. Any employee of Karandaaz or Karandaaz has a financial interest in the procurement as an officer, director, trustee, partner or employee in the business or organization in which the bidder is involved or is a party to.

35 Duty of Care

The successful bidder in performance of services for Karandaaz shall exercise a duty of care. Duty of care holds the successful bidder responsible for the safety and well-being of its personnel and any third party affected by its activities. 36 The Bidder

36.1 Individuals who are nationals, permanent residents of India or Israel, or who originate from India or Israel will not be engaged for the project team or project steering team.

36.2 Bidders which are based in India and/or Israel are not eligible to participate in the RFP. 36.3 The successful bidder must comply with all relevant laws, rules and regulations prevailing under Pakistani Laws. 36.4 The responses submitted by the bidder to the RFP represents a firm offer to contract on the terms and condition described herein. 36.5 The proposal must be signed by the authorized person, according to the laws of the jurisdiction of its incorporation/registration and according to the laws of Pakistan, to commit the bidder to the terms and conditions of the RFP, who shall have full authority to sign the proposal documents on behalf of all the bidders/members of the joint venture. 36.6 The bidder must disclose at the earliest of any actual or potential conflict of interest with Karandaaz Pakistan as referenced above. 36.7 The members of the joint venture shall be jointly and severally liable to Karandaaz Pakistan for the execution of the Project in accordance with the terms of the RFP document and a statement to this effect shall be included in the joint venture agreement, which should be submitted with the Proposal. 36.8 The bidder shall be deemed to have carefully examined the RFP document to its satisfaction. Any lack of information shall not in any way relive the bidder of its responsibility to fulfil their obligations under the RFP. 36.9 Karandaaz Pakistan will not allow subcontracting under any circumstances.

37 Intellectual Property Rights

The ownership of all copyright and other intellectual property rights in respect of any data

compilations, research, spreadsheets, graphs, reports, diagrams, designs, work products, software, or

any other documents, developed in connection with this Contract will exclusively vest in and remain


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with Karandaaz which shall have all proprietary rights therein, notwithstanding that the Contractor or

its employees may be the author of the intellectual property. All documents relating to the intellectual

property or otherwise connected with the Contract, the services, or duties must be returned or

delivered to Karandaaz at the time of the expiration or termination of this Contract save that the

Contractor may retain one copy for the keeping of its proper professional records shall be entitled to

use for internal business purposes. Subject to the foregoing, the Contractor agrees not to publish or

make use of any of the intellectual property, or documents relating thereto, without the prior written

approval of Karandaaz, and where approval is granted, without proper attribution to Karandaaz.

Provided, however, that any intellectual property rights in any ideas, concepts, trade secrets, data,

know-how, software, systems and methodologies (“Contractor Knowledge”) utilized by Contractor in

the course of producing the Deliverables or otherwise in providing the services, shall belong to the

Contractor. Subject to full payment of the fees, Contractor shall to the extent necessary grant to

Karandaaz a license to use solely for the purpose of this Contract any Contractor Knowledge contained

in the Deliverables provided that such use is limited to the purpose for which the Deliverables are

provided.


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SECTION 4. TERMS OF REFERENCE

Thematic Area: Monitoring Evaluation and Learning Project Title: Assessment of MEL function at Karandaaz Pakistan Expected Start Date: 20th Dec 2021 Project Tenure: 8 Weeks About Karandaaz Pakistan

KARANDAAZ PAKISTAN (KRN), established in August 2014, promotes financial inclusion of small and

medium enterprises (SMEs) and individuals through a commercially directed investment platform and by

employing technology enabled digital solutions. The company has financial and institutional support from

leading international development institutions; principally the United Kingdom’s Foreign, Commonwealth

and Development Office (FCDO) and the Bill & Melinda Gates Foundation.

Karandaaz Pakistan1 has four core work streams:

1. Karandaaz Capital provides wholesale structured credit and equity-linked direct growth capital

investments in micro, small and mid-size enterprises (MSMEs) with compelling prospects for

sustainable growth and employment generation in Pakistan

2. Karandaaz Digital focuses on expanding the poor’s access to digital financial services in Pakistan

by working across the ecosystem with all stakeholders including regulators, policy-makers,

government departments, businesses and researchers and academics in four key work areas:

policy and regulation, seeding innovation, experimentation and solutions development, and scale

and outreach.

3. Karandaaz Innovation supports financial inclusion by addressing market gaps that prevent easy

access to finance. This is achieved through two key instruments: the Innovation Challenge Fund

(ICF) and Women Ventures (WV). ICF is aimed at generating innovative solutions to complex

problems in the area of financial inclusion; while Women Ventures supports women led

businesses by providing growth capital and business development support.

4. Knowledge Management and Communications supports the company's core financial inclusion

goal by developing and disseminating evidence-based insights and solutions to influence markets

and the financial ecosystem.

Context of the Assignment

KRN is implementing a 10-year FCDO-funded Enterprise and Assets Growth (EAGR) Programme to spur MSME financing, and a BMGF-funded programme to catalyse digital financial services. The EAGR Programme2 aims to deliver business and economic growth, generate higher and sustainable incomes and increase employment and trade opportunities. Broadly, EAGR aims to achieve these objectives by improving the overall investment and business climate in Pakistan, increasing the capacity of financial institutions, and addressing employment challenges of women and youth, as well as poor and marginalised groups of Pakistan.

1 The governance and operational structure of KRN is available at www.karandaaz.com.pk

2 https://devtracker.fcdo.gov.uk/projects/GB-1-202495/documents

http://www.karandaaz.com.pk/


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At Karandaaz Pakistan, the overall aim of the MEL functions is to ensure that Karandaaz maximises its effectiveness and efficiency through systematic and integrated results monitoring, evidence review, evaluation and learning. In addition, the objective is to provide reliable evidence to key decision-makers on performance efficiency, implementation results, and intervention potential to achieve its strategic goals and those of Karandaaz and its sponsors. The scope of the MEL function is segregated into three categories; i) Results monitoring and reporting, ii) evaluations/ assessments; and iii) evidence-based learning. The MEL function contributes to the sponsors’ and Karandaaz’s requirements pertaining to impact tracking and measurement. This is achieved through the following instruments:

1. Assess the programme level impact and contribution to organisational vision and that of the concerned business vertical. The evaluative instruments used depend on intervention maturity, timelines, strategic significance, and quality of information available.

2. Rapid assessments and data quality assurance to ensure project delivery is aligned with intervention objectives and data collection is robust and will effectively contribute to longer term evaluative exercises planned by Karandaaz.

3. Monitor the progress and contribution of Karandaaz interventions defined in the results framework agreed with the sponsors and periodic performance review exercises.

Karandaaz has developed a MEL Strategy to provide an effective M&E framework designed to measure progress towards the achievement of intended goals and objectives of KRN initiatives. The strategy has the listed components: guiding principles; foundations and approach of MEL; key result matrices and indicators; MEL tools for evaluations, assessments and results monitoring; and stakeholder information needs. Karandaaz has also developed a Value for Money (VfM) strategy that aims to ensure that VfM is a high priority throughout the organization and that required tools are in place to support, embed and deliver VfM. The VfM Strategy further outlines FCDO’s four “E’s” framework to assess the value for money of government spending:

● Economy: minimizing the cost of resources used; ● Efficiency: maximizing the outputs from a given level of inputs – spending well; ● Effectiveness: ensuring that the outputs deliver the desired outcomes – spending wisely; and ● Equity: fairly distributing the benefits to the beneficiaries. Equity has been added recently, conveying

the message that development is only of value if it is also fair. The results monitoring requirements are determined by the programme Logframe and results framework. The primary results monitoring tool that KRN uses is called EAGR logframe, which maps outcome and output indicators. Following is the list of outputs that EAGR lograme rests upon.

1. Sustained/enhanced flow of funds for microfinance (Pakistan Microfinance Investment Company); 2. Leveraging technology for enhancing access of financial services for enterprise growth and inclusion

of poor and financially excluded regions (Digital Financial Inclusion); 3. Enhanced access to and usage of appropriate financial services by small growing businesses (SGBs); 4. Improvement in financial & economic policy, governance & infrastructure, especially that which

improves the climate for private sector investment & doing business Programme managed effectively, based on the use of evidence, effective monitoring and learning processes.

5. Efficient, visible, professionally managed and sustainable Special Purpose Vehicle (SPV) (i.e., KRN).

In recent times, the business context for KRN has evolved and its expanded portfolio includes new business lines: InfraZamin Pakistan (IZP), Parwaz Financial Services (PFSL) and Green Investments. These will be included in the revised EAGR logframe, which will be finalised by December 2021. Details of the identified new interventions are as follows:


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InfraZamin Pakistan (IZP) is a for-profit credit enhancement facility funded with equity capital from Karandaaz Pakistan and InfraCo Asia Investments. InfraZamin is an initiative of the Private Infrastructure Development Group (PIDG), and aims to fill current gaps in the local credit markets, to catalyse greater private sector participation in long-term, local currency financing of infrastructure in Pakistan. IZP will do so by providing guarantees to enhance the credit quality of local currency debt instruments to finance creditworthy infrastructure projects in Pakistan. More specifically, the IZP is expected to participate in smaller-scale power projects (including renewables); logistics including storage, warehouses, industrial parks, pipelines, smaller port developments etc.; secondary roads with some demand risk; hospitals; education; housing; wastewater/water including desalination; local transportation; and inputs to infrastructure. The existing results framework of IZP is not adequate to reflect the potential outputs, outcomes and impact of IZP.

Similarly, to fill the significant gap in access to finance for SMEs, Karandaaz has set up Parwaaz Financial Services Ltd. (PFSL), a wholly-owned subsidiary of Karandaaz set up as a Non-Bank Financial Company (NBFC). PFS will be offering short-term and long-term loans, running finance, and cash finance for the SMEs in Pakistan. In the future, other services such as invoice discounting, supply chain finance, and leasing will be added. Convenient service provision, through digital channels, will be at the heart of PFSL’s strategy to support outreach and enhance the customer experience. In addition, it will help in ensuring speed of service, focus on un(der)served, tailored product offering, and ease of service. The PFSL is expected to make significant contributions to the development goals of Karandaaz. The PFSL is recently operationalized and has not developed an entity level results framework.

For its Green Investment initiative, Karandaaz Pakistan has initiated financing for sustainable and climate-friendly projects using the green financing framework on such projects including, but not limited to; renewable energy, energy efficiency, green buildings, clean transportation, and waste management. The current investments falling under this initiative are to be measured against FCDO’s International Climate Finance (ICF) methodologies, more information can be accessed https://www.gov.uk/government/publications/uk-climate-finance-results.

The Digital Financial Services (DFS) workstream is implementing a diverse range of projects, especially in the digital financial services infrastructure and innovation and incubation workstreams. Karandaaz is actively engaged in the digital transformation of entities like the Securities and Exchange Commission of Pakistan (SECP), Benazir Income Support Program (BISP) and Central Directorate of National Savings. In addition to output 2 of EAGR Logframe, the current results framework for DFS interventions of Karandaaz is tabulated below:

The aforementioned BMGF results framework for KRN DFS interventions only measures the volume of transactions but not the results from its strategic interventions and the digital transformation projects.

https://www.gov.uk/government/publications/uk-climate-finance-results


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Moreover, the MEL unit conducted a mid-term assessment (MTA) of KRN’s EAGR programme that was primarily focused on the alignment of the KRN service delivery to strategic objectives of EAGR. The MTA has listed a series of recommendations for KRN and areas that the MEL unit needs to incorporate given KRN’s changing business and operating contexts.

Scope of Work In lieu of KRN’s broadening portfolio, findings and recommendations from the MTA and subsequent MEL requirements, Karandaaz Pakistan intends to commission an assessment of its MEL functions. The assessment has the following 3 key requirements:

a) Review Karandaaz MEL Strategy and its implementation ● Conduct a critical review of MEL instruments used by Karandaaz, produce a clear analysis

sharing strengths, weaknesses, and suggest improvements in the light of on ground conditions and data limitations.

● Map the existing MEL tools/ instruments prescribed in the MEL strategy against the existing programmes/ projects/ investments of KRN.

● Review MEL outputs produced to measure impact of Karandaaz interventions and meeting requirements of its sponsors and internal programme implementation needs.

● Assess the effectiveness of the MEL strategy, emerging gaps due to KRN portfolio expansion, reliability of the instruments used, and recommend changes required.

b) Develop a revised MEL Strategy and Implementation Plan that encapsulates the entirety of KRN portfolio and its investment interests ● Conduct review of MEL strategies of similar international and relevant local entities, suggest

a framework that is best suited to KRN requirements and meets international standards for results measurement.

● Develop a clear M&E implementation plan for evolving business requirements of KRN along with a clear justification for changes proposed

● Identification and design of new M&E instruments proposed and human resource requirements/planning to deliver the plan.

● Address and incorporate in relevant instruments the MEL-centric recommendations made in the MTA evaluation.

c) Develop the Results Framework for new entities that will feature in the EAGR logframe

● Develop/ update Results Framework of the new business entities (IZP and PFSL) including methodology notes and assumptions;

● Develop a KRN wide Results statement that encapsulates the impact/ outcomes of different interventions of KRN.

● Align/ update KRN’s EAGR logframe to reflect additional development results stemming from new work streams (IZP, PFSL, Green Investments and DFS interventions). Develop methodology notes and assumptions for the new results indicators.

● Update MEL and VfM strategies to reflect the inclusion of the new business streams and ensure the strategies are updated to align them with KRN’s growing business portfolio.

To this end, KRN is inviting proposals from consulting firms to conduct an assessment of its MEL function and develop the requisite tools to address the gaps and strengthen the MEL implementation.


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Specific Tasks of the Consultant

As mentioned above, the assessment has multiple objectives, which can run in parallel or sequentially. While this call for proposal narrates a broad scope of work, the shortlisted applicants will be requested to submit technical and financial proposals.

Phase 1: Inception - Background Research The consultant/s will:

● Hold an inception meeting with KRN’s MEL team for any clarity on the scope of work. ● Desk review literature (including MEL and VfM Strategies, EAGR’s logframe, PFSL and IZP related

documents, MTA etc.).

The following table summarizes relevant stakeholders and key sources for desk research for each objective.

Objectives Key Stakeholders Potential Sources of Information

Develop Results Framework of the new business entities (IZP and PFSL) that will feature in the EAGR logframe.

IZP and PFSL Board and management, KRN management and MEL team

Consultative sessions with IZP and PFSL management/ Board and programme teams, review of existing literature on IZP and PFSL.

Align/ update KRN’s existing logframe to reflect additional development results stemming from new work streams like IZP, PFSL, Green Investments and DFS interventions including methodology notes and assumptions.

KRN Management, program teams, MEL team, FCDO

EAGR Mid Term Assessment; KRN MEL and VfM Strategies, EAGR Logframe, BMGF Results Framework, KRN Green Investments, UK Climate Finance and Results reporting to FCDO and consultations with KRN MEL team

Update MEL and VfM strategies to reflect the inclusion of the new business streams and ensure the strategies are updated to align them with KRN’s growing business portfolio.

KRN MEL team KRN MEL and VfM Strategies, EAGR Business Case, EAGR MTA, existing MEL assessments and consultations with the KRN MEL team

Develop a revised MEL Strategy and Implementation Plan that encapsulates the KRN portfolio and its investment interests.

Most of the information is the sole property of KRN. The consultant/s will be required to maintain the confidentiality of any information provided by KRN.

Deliverables: Summary of the proposed assessment methodology and work plan.

Phase 2: Consultation with Stakeholders

The consultant/s will be responsible for holding consultative sessions with KRN management, programme teams, MEL team and with the management and Board of IZP and PFSL and FCDO private sector team to


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develop an in-depth understanding and perform a comprehensive assessment. At this stage, the consultant/s are expected to submit a stakeholder engagement plan to be conducted.

The consultant/s will be required to have progress review meetings with the KRN MEL team during/after different phases of the consultative sessions. Findings and discussion points emanating from consultative sessions will be discussed during these meetings.

Deliverables: Progress report on consultative meetings and work plan.

Phase 3: Submission of Deliverables

● Results Framework for New Business Entities (IZP and PFSL): The consultant/s to submit Results Frameworks for both business streams. While PFSL is solely sponsored by Karandaaz, the IZP programme is jointly sponsored by two donors, KRN and InfraCo Asia Investments. It will be critical to developing a results framework that aligns with KRN and InfraCo Asia Investments priorities and objectives. The MEL unit will share feedback/comments for the consultants to address/incorporate to submit a final version of the frameworks.

● Updated EAGR Logframe: After the development/ update of two new Results Frameworks (for IZP and PFSL), consultants will be expected to update EAGR’s logframe to reflect the inclusion of additional development results stemming from IZP and PFSL results frameworks (including methodology notes and assumptions). The consultants are expected to develop a KRN wide results statement that encapsulates the impact/ outcomes of different interventions of KRN. Additionally, the consultants are expected to address and incorporate MEL-centric recommendations from the MTA which may include updating MEL’s performance measurement tools (theory of change and results frameworks). The consultants are also required to map the existing MEL tools/ instruments with existing programmes and develop a clear M&E Plan for the evolving business of KRN.

● Updated MEL and VfM Strategies: The consultant/s to submit revised and updated MEL and VfM strategies that are aligned with KRN’s ongoing activities and changing needs of the organisation. The MEL strategy needs to be updated to refine the parameters and timelines of the ongoing KRN’s programmes that require baselines and/or assessments. The consultant/s will also review the MEL instruments and assess their validity with the current KRN’s portfolio and current MEL requirements. The VfM Strategy requires it to be updated to include indicators on additional business streams and address concerns raised in the MTA (such as the inclusion of youth-centric equity and allocative efficiency indicators). The review and approval of the MEL and VfM strategies may involve multiple rounds of comments and editing to arrive at the final versions.

Deliverables: Updated MEL and VfM strategies, results framework for IZP and PFSL, updated KRN/ EAGR logframe, M&E plan, result statement.

All the data collected and outputs will be the intellectual property of Karandaaz Pakistan.

Deliverables & Timelines

The assessment will be conducted in different phases, starting from the signing of the contract. Deliverables include:

Deliverable Description Timeline

PHASE 1

Inception meeting with Karandaaz

An inception meeting will be held in the first week to kick off the assignment and clarify any questions on the scope of work, the project itself and any other details.

Week 1


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Deliverable Description Timeline

Literature and document review This will aim to gain an in-depth understanding of the Karandaaz results framework, project documents and any other relevant literature relevant to delivering the above scope of work. Mapping of initiatives resulting from this scoping exercise will be included in the inception report.

Week 1-2

Inception report The consultant will submit an Inception Report to Karandaaz, which will include a detailed work plan and timelines: a consultation plan to be engaged during the assessment, and revisions in research methodology if any.

Week 2

PHASE 2

Stakeholder consultations The consultant is to undertake discussions with relevant stakeholders as identified above.

Week 3-4

Progress review meeting The consultants will deliver a presentation to the Karandaaz team outlining the recommended changes in the deliverables. The two results frameworks will also be presented in this meeting.

Week 5

PHASE 3

Submission of draft deliverables (Updated MEL and VfM strategies, results framework for IZP and PFSL, updated EAGR logframe, M&E plan, result statement)

After incorporating the feedback from the presentation (on all deliverables), the consultant will submit draft versions of the deliverables for review by the Karandaaz team.

Week 6

Submission of final deliverables The consultant is responsible for incorporating the feedback and submitting final versions of the deliverables to the project manager.

Week 7


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Technical Competencies

KRN seeks potential applicants both from local as well as international consulting firms. However, the international consulting firms must have a local partner or be registered in Pakistan, have a valid National Tax Number (NTN) and can travel and work across Pakistan. KRN expects consulting firm and project team members to demonstrate the following competencies:

Knowledge and experience of M&E methodologies and instruments applicable to private sector development and financial sector.

Knowledge and experience in financial inclusion (SME, digital financial inclusion and microfinance) landscape, key stakeholders, financial sector infrastructure, operating and regulatory context and challenges of developing economy of Pakistan.

Demonstrated experience in designing and implementing M&E systems, results framework, theory of change, evaluation/ assessment and research methodologies applicable to the international development programmes and value for money (VfM) assessments, preferably for not-for-profit entities.

Knowledge/understanding of lines of work for Karandaaz’s strategic platforms such as InfraZamin Pakistan, Parwaz Financial Services and Green Investments.

Knowledge/ understanding and experience of programmes implemented in other countries but similar to Karandaaz in context and direction.


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Annexure A

PROPOSAL SUBMISSION LETTER Dear Sir/Madam, Having examined the Solicitation Documents, the receipt of which is hereby duly acknowledged, “THE BIDDER NAME” undersigned, offer to provide consulting for “INSERT REFERENCE NUMBER” to Karandaaz Pakistan in accordance with the Price Schedule attached herewith and made part of this proposal. “THE BIDDER NAME” undertake, if our proposal is accepted, to commence and complete delivery of all services specified in the contract within the time frame stipulated. “THE BIDDER NAME” agree to abide by this proposal for a period of 120 days from date fixed for opening of proposal in the invitation for proposal, and it shall remain binding upon us and may be accepted at any time before the expiration of that period. We understand that you are not bound to accept any or all proposals you may receive. We also accept all terms of conditions RFP. We undertake that we will initiate the delivery of /Services as per the client’s request, if our proposal is accepted. The contractor hereby confirms that it has not been involved and has no association in any manner what

so ever related to any act of terrorism or terrorist organization(s)/person(s) listed in any country and also

in NACTA Schedules I & IV lists for proscribed companies and individuals and UN terror list.

We understand that you are not bound to accept any proposal you receive. Dated: this------day of -------2021 Yours sincerely, Signature Name and title of signatory Name, Designation and Signature of the “firm authorized Representative”


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Annexure B

REFERENCE FORMAT

Name of Bidder: __________________________________

Name of Organization and Address:

Name and Title of Point of Contact: (provide 2)

Telephone Number:

Email Address:

Period of Performance:

Location where project services were performed:

Contract Value:

Reasons for Termination (if applicable):

Description of Products & Services and their relevance to the requirements under this RFP:


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Annexure C

CONFLICT OF INTEREST

1. Confirm that your firm/organization is not having any potential or existing conflict of interest with

Karandaaz:

Confirm Yes _____; No _____

2. Confirm that your firm/organization is not having any conflict of interest defined but not limited to conditions in clause #35“Avoidance of conflict of interest” of the RFP:


3. Confirm that your firm/organization has disclosed any actual or perceived conflict of interest situation/condition:


4. Confirm that in case a potential or existing conflict of interest is identified, your firm/organization shall not be allowed to participate further in the procurement process:


Name

Designation

Signature& Stamp

Date