IFC-MPDF is seeking a consulting firm or consultants to assist in delivering its Vietnam provincial simplification project !
TERMS OF REFERENCE FOR CONSULTING SERVICESVietnam Provincial Simplification Project
I. INTRODUCTION
The Mekong Private Sector Development Facility (MPDF) is a multi-donor funded initiative set up by the International Finance Corporation (IFC) in Vietnam, Cambodia, and Lao PDR, to reduce poverty through sustainable private sector development. Our goal is to help small and medium-sized enterprises to solve common operational and management problems and compete more successfully in the global economy.
The IFC-MPDF is seeking a consulting firm or consultants to assist in delivering its Vietnam provincial simplification project.
The objective of the project is to simplify or remove unnecessary administrative/regulatory barriers which impede investment at the local level. The scope of the project encompasses a review of the local administrative procedures to start and operate a business with a particular focus on business registration and licenses.
The consultancy services in the preliminary phase (phase 1) will include quantitative and qualitative research to identify the key administrative barriers to start and operate a business and to measure the impact of these barriers on businesses. If the contract is extended to the implementation phase (phase 2) of the project, the consultant will be working intensively with selected local governments in providing technical assistance to develop and prioritize appropriate solutions, and facilitating of the implementation process.
II. BACKGROUND AND PROJECT SUMMARY
The high costs of doing business in Vietnam are well-documented; the World Bank’s Doing Business 2005 Report and the Investment Climate Assessments reveal barriers and challenges faced by the private sector in all three countries; however, these reports focus at the national level and do not address the fact that the ease and/or difficulty of doing business depends to a large extent on the province in which a business is located. The USAID-funded Vietnam Competitiveness Initiative (VNCI), in collaboration with the Vietnam Chamber of Commerce (VCCI), released a Provincial Competitiveness Index (PCI) in mid-2005 that ranked 46 of Vietnam’s provinces based on local economic governance to raise awareness about the importance of provincial level governance. A number of provinces throughout the country have expressed the desire to improve their investment climates following the release of the PCI.
In response to this demand, IFC-MPDF has developed a Provincial Simplification Project which will help a select number of provinces identify regulatory and administrative barriers that are obstacles for business growth and implement a number of specific improvements to the business environment at the provincial (municipal) level.
The pilot provinces selected are Bac Ninh, possibly Binh Dinh and Long An or Ben Tre. The major components of the projects are:
1. Undertake in-depth research of the business administrative procedures in the province with particular focus on (a) business registration (b) business compliance reporting and (c) availability and disclosure of public information for business. This research will provide base-line information and identify particular administrative constraints that can be simplified or removed. For example, in business registration, the research should detail each step of the process, from filling an application, to receiving and verifying by the business registration officials, through getting the company seal made and approved, receiving the tax code, etc. … until a company is fully able to start operations with all procedures completed.
2. Provide recommendation and solution design for the province to simplify or enhance transparency of these procedures.
3. Provide direct technical assistance and capacity building for selected provincial agencies to implement the adoption of simplified procedures or enhance the transparency of those procedures.
The project will be implemented in two phases. The first phase is expected to last for twelve (12) months, starting from November 2005 to November 2006 and comprises of only two first components. The second phase will start a year from the start of first phase, on the condition that there is a continued political will to change and the buy-in of the provincial government for the recommendations made in the first phase.
This approach of implementation will be applied to all other provinces in the pilot as well as replication efforts.
III. QUALIFICATION OF CONSULTANTS
The consultant(s)/consulting firm will:
* have in-depth understanding of of business regulations in Vietnam, in particular business licensing and registration procedures that regulate establishment of firms
* be familiar with best practices and preferably have experience in designing and implementing quantitative and qualitative research
* have experience in working with a range of public/private stakeholders in Vietnam including specifically provincial governments
* have experience in facilitating solution design and change management processes
IV. APPLICATION PROCESS
Submission of a proposal which includes the following items:
o A statement on why you or your firm is qualified to do the work
o A proposed methodology for the work. The methodology does not need to be absolutely complete. It should provide a good understanding on how you or your firm would work to complete the Terms of Reference were you or your firm awarded the contract
o A proposed schedule for the work
o CVs of key consultants that would work on the project, and profile of the consulting firm and relevant experience
o A proposed budget
o Contact information, including principal name, address, phone, fax and email
A proposal should be submitted according to the interest of the consultant in the work; by 5 pm, Monday, February 3, 2005 to:
Nguyen Hanh Nam
Business Development Officer
Business Enabling Environment Program
IFC-MPDF
63 Ly Thai To, Hanoi, Vietnam
Phone: 84 4 8247 892
Fax: 84 4 8247898
www.mpdf.org
