A. BACKGROUND

Mongolia received a credit from the International Development Association (IDA) for the Strengthening Fiscal and Financial Stability Project (SFFSP). The objective of the SFFS Project is to contribute to the Government of Mongolia’s efforts to strengthen fiscal and financial stability and improve the quality of expenditure. The project is designed into five components: (A) Strengthening Macroeconomic and Fiscal Management; (B) Improving the Efficiency of Public Financial Management; (C) Enhancing Financial Sector Stability; (D) Strengthening the Social Protection System; (E) Project Management and Monitoring. For more details, please refer to the Project Appraisal Document Report No. PAD2269 .

Sub-Component B.1 aims at improving budget credibility, predictability, and execution for better delivery of services by strengthening the Medium-Term Fiscal Framework (MTFF) preparation process, and its management and compliance; improving budget preparation and planning functions including regulations and processes to ensure preparation of realistic expenditure plans; supporting adequate implementation of the MTFF; improving budget execution processes; as well as enhancing budget control, internal audit, and risk management functions. The Ministry of Finance (MOF) is responsible for implementation of the Sub-Component B.1 of the SFFS Project.

The second phase of Mongolian Public Finance Management reform was initiated with approval of Fiscal Stability Law (FSL) in 2010 and the Integrated Budget Law (IBL) in 2011, respectively, aiming to improve the framework for budgeting and budget relations and to enhance fiscal management and fiscal discipline within all budget levels. Both laws were the first steps of budget reform towards decentralization by optimising intergovernment relations covering fiscal relationships between budget levels, the local development fund and participation in the local budgeting process. 

Since enacted, these laws have been revised a number of times to further promote fiscal discipline at the local government level. However, the MOF is still facing several challenges that require thorough analysis and assessment of the current progress and lessons learnt in order to make further progress on enhancing the fiscal decentralization framework including aspects concerning the LDF management, the local budget allocation mechanism and enhancement of fiscal discipline at the local government.

Thus, under the SFFS Project, the MOF wishes to hire two (2) consultants (a senior national consultant and a national consultant) to make an assessment of the current status on compliance of the special fiscal requirements of the FSL for local budget and prepare a proposal for enhancing fiscal discipline of local government.  

B. OBJECTIVE OF THE ASSIGNMENT

The objective of the national consultant’s assignment is to support and cooperate with the senior consultant on the assignment as well as the MOF team by (i) constructing a consolidated local budget database by reconciling budget classifications at the local government level; and (ii) conducting an assessment to reveal issues emerging in enhancing fiscal discipline of local government.

C. SCOPE OF WORK

Key responsibilities under this assignment will include, but not be limited to, the following:

   1. Construct a consolidated database consisting of approved and executed budget data at the local government level by reconciling budget classifications and cleaning inconsistencies between the data;

   2. Update the local budget consolidated database with the annual budget data following the annual budget approvals by the local Citizens’ Representative Khurals with consideration to the above points on budget classifications and data consistency;

   3. Conduct a comparative analysis of local budgets by each aimag in terms of their enforcement of the IBL and identifify issues that lead to weak fiscal discipline; 

   4. Make an assessment on the current status of compliance with the special requirements of the FSL for local budget; and 

   5. Undertake such other tasks as reasonably requested and/or assigned by the Head of the Budget Consolidation Division (BCD) of the FPPD and the Director-General of the FPPD.

D. DELIVERABLES

   1. Consolidated budget database of local government (approved by the Parliament and the Citizen’s Representative Khurals and executed);

   2. Comparative analysis of local budgets by each aimag (using the consolidated database);

   3. Comprehensive report on enforcement of the IBL (since enactment in 2013) at the local government level including identification of areas leading to weak fiscal discipline and recommendations for improvement in fiscal discipline; and 

   4. Assessment report on each aimag’s compliance with the special requirements of the FSL (since full enactment in 2013). 

E. CONSULTANT’S QUALIFICATIONS/ SELECTION CRITERIA

   - Education: The suitable candidate should preferably have a degree in a relevant field: applied science, arts, mathematics, public finance, economics, finance and/or public/business administration;

   - Experience: The incumbent should have at least 2 years relevant professional experience and be a team player with strong analytical and quantitative skills. Knowledge of technical terms of finance and budget; familiarity with financial and fiscal issues would be an advantage;

   - Language skills:  Fluent written and spoken skills in both English and Mongolian languages;

   - Other skills: 

     a. Excellent interpersonal skills with the ability to function effectively and collaboratively in a team environment; 

     b. Be proficient in PC-based applications such as Word, Excel and data management, and have excellent web research and navigation skills;

     c. Familiarity with IT system particularly, with fiscal management information system is essential; and

     d. Be able to work overtime if required.

G. CONTRACT DURATION 

The assignment is expected to commence in August 2019 for an initial duration of 8 months. The total duration of the consultancy service to be rendered is, however, estimated to be twenty four (24) months. For each fiscal year, the Client will review the consultant’s performance and, if necessary, will make changes to the scope of work in the Terms of Reference, contract amount and/or duration.   

If you possess the above qualifications, please submit following documents:

     ·  Cover letter indicating why she/he considers her/himself suitable for the position,

     ·  Detailed CV highlighting relevant skills/experience,

     ·  Copy of diplomas or certificates and,

     ·  2 reference letters from previous last two employers no later than 17:00, July 29, 2019.

The submitted documents will not be returned to the applicants. Please note that incomplete applications would not be considered for evaluation. Only selected candidates will be contacted. Candidates can be interviewed. Detailed terms of reference can be requested from procurement@edp.mn.

Contact address: Attn: Ms.L. Bayarmaa, Procurement Specialist, Strengthening Fiscal and Financial Stability Project. Room #204, Negdsen undestnii 8/2, 4th khoroo, Chingeltei District, Ulaanbaatar, Mongolia; Tel: 70120582

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