DEADLINE EXTENDED: 01 August 2022

The United Nations Capital Development Fund (UNCDF) makes public and private finance work for the poor in the world’s 46 least developed countries. With its capital mandate and instruments, UNCDF offers “last mile” finance models that unlock public and private resources, especially at the domestic level, to reduce poverty and support local economic development.

UNCDF ‘s Financial Health programme (FHP) has partnered with the Government of Odisha to strengthen the financial lives of women entrepreneurs under the aegis of Mission Shakti Programme- a state government initiative to empower women through organizing them in self-help groups (SHGs). The initiative provides the women livelihood promotion opportunities through better market access and access to resources for enhanced financial health. Under the partnership, FHP has set up the Mission Shakti Living Lab in the state that aims to define and improve the financial health of these women by designing and rolling out a suite of financial health-centric (digital) products and tools in the state. One of the key digital intervention to be rolled out under Mission Shakti Living Labs is Financial service marketplace for SHG women/ low and moderate income households in the state. Through the establishment of this digital platform, FHP aims to improve access to financial services and products for the SHG women and low-moderate income households in the state.

Comprehending the needs of the target users for the financial service marketplace, it is envisioned to develop/ customize a financial product which can cater to of saving needs of the users. This product is expected to provide single stop saving solution to its users for their long-term and short term financial goals and shall also provide financial security in case of immediate and urgent financial needs. The product will be co-branded with Mission Shakti and would be rolled out through Financial service marketplace.

The purpose of this Request for Applications (RFA) is to invite financial institutions, Non-Banking Financial Companies (NBFC), development banks, or a consortium of firms (regulated and approved organisation which can create financial product) to develop a financial product targeted toward SHG women and poor/middle income households in Odisha. The scope of work for the selected partner would be to design and create blueprint, undertake all regulatory and legal compliances for registration and ensure operationalisation of the financial product. The selected applicant (s) will be supported by the Programme Management Unit (PMU) of FHP for development of the product blueprint. The insights of the PMU will be supplemented by behavioural science experts that have partnered with UNCDF. Additionally, PMU will support the selected applicant in liaisoning with Mission Shakti, facilitate exchange of data, documents, clarifications, share insights from other interventions on-going in the state and support in execution.

Specifically, the selected applicant would be responsible for undertaking the following activities:
• Development of the blueprint of the financial product in consultation with FHP and Mission Shakti
• Preparation of Financial Product Documentation as per legal and regulatory compliances
• Registration of Financial product
• Operationalisation of the financial product
• Marketing of Financial product

The applicant/ lead applicant must be a registered entity with a local presence in India either through a registered entity or a branch office. The applicant/ lead applicant must fulfill all the legal and regulatory compliances required by government of India to create and operationalise financial products and services in India. The ideal firm will have demonstrated experience in development financial products and services, deployment of digital financial products, marketing of financial services and products in India.

Applicants may apply independently or in a consortium. The selected applicant/ lead applicant will sign a commercial agreement with a producer company identified by FHP based in Odisha.

The applicant/ lead applicant will work together with FHP and Mission Shakti in a joint effort to develop and deploy the financial product in Odisha.

UNCDF’s contributions can range from USD 80,000 to USD 100,000. UNCDF will award one applicant depending on the potential of the solution proposed. UNCDF’s contribution will not exceed more than 60% of the total project cost in cash.

Inquiries to this request for applications may be submitted by email to financial.health@uncdf.org and uncdf.rfa@uncdf.org by 11 July 2022.

All applications must be submitted by 23:59 hours (IST) on 01 August, 2022 using the UNCDF e-investment platform.