A. BACKGROUND   

Mongolia has 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: (I) Strengthening Macroeconomic and Fiscal Management; (II) Improving the Efficiency of Public Financial Management; (III) Enhancing Financial Sector Stability; (IV) Strengthening the Social Protection System; (V) Project Management and Monitoring. The objectives are to: Strengthening fiscal responsibility and implementing relevant policy measures, improving fiscal discipline, strengthening the resiliency of the banking system, improving public expenditure quality in social protection, providing support for Project implementation, coordination, monitoring and evaluation, including, inter alia, audit arrangements, reporting requirements, procurement and financial management activities respectively. For more details, please refer to the Project Appraisal Document Report No. PAD2269. 

The Ministry of Finance (MoF), the Financial Regulatory Commission (FRC) and the Bank of Mongolia (BoM) had jointly developed “Financial sector development plan 2025” which was approved by the Government resolution #299, 2017. The main purpose of the development plan is to improve Mongolian financial sector framework, structure and infrastructure in the midterm, define the strategic goals and implement it to build more balanced and diversified financial sector instead of bank dominant financial sector, and put into action the prudential method to regulate the sector and prevent the systemic risk. 

The Mongolian capital market is still developing which translates into securities market legislation and enforcement that can be further strengthened. There is already the legal framework in place which ensures issuance and circulation of basic products (mostly shares and government securities) and functioning of basic infrastructure. Issuance of local corporate debt securities is rare and needs to be made more efficiently. There is nascent demand for derivatives in Mongolia. While appropriate legal framework alone is not enough to create a developed and efficient market, it is a prerequisite and certain legal reforms may lift existing barriers for market participants. In 1994, the Securities Market Law of Mongolia (the “Securities Market Law”) was enacted. On May 24, 2013, Parliament enacted the Revised Securities Markets Law with effect from January 1, 2014. The purpose of the Revised Securities Market Law was to introduce effective and clear guidance with respect to initial public offerings of shares and to define the distinction between primary and secondary securities market activities while providing measures preventing insider dealing and market abuses. In addition, the Revised Securities Market Law imposes higher standards and registration requirements for securities markets participants as well as advisory service providers, including law firms and audit firms. The Revised Securities Market Law defines securities broadly to include derivatives, depositary receipts and warrants.

Therefore, the Ministry of Finance (MOF) is seeking to hire a professional legal expert (National Individual Consultant) for reviewing and finalizing the amendments for the “Securities market law” and improve the legal framework of this law in line with the current market needs and international best practices. The consultancy service will be closely supervised by the MOF throughout the period of the consultancy service and in addition, the consultant is expected to coordinate the work with the Financial Regulatory Committee and other related organizations. 

B. OBJECTIVES OF THE ASSIGNMENT 

The main objective of the National Individual Consultant is to provide professional legal consultancy to the Financial Market and Insurance Division (FMID) of Financial Policy Department of Ministry of Finance (MOF) for finalizing the draft concept of amendments to the Securities Markets Law and Law of Insurance. 

C. SCOPE OF WORK

The consultant shall carry out the following tasks, but not limited to:

Task 1. Provide legal assistance for finalizing the draft document of “Securities Markets Law” and its related regulations: 

        a) Provide professional legal consultancy and advice to the Financial Markets and Insurance division’s team and the working group on drafting law amendments and changes to the Securities Markets Law of Mongolia;

        b) Identify the key aspects relevant to the draft law and liaise, discuss and cooperate with the key working groups related to the draft law of Securities Markets; 

        c) Prepare report on social and economic consequences of adopting the amendments to the law;

        d) Prepare report on cost analysis of adopting the amendments to the law;

        e) Identify potential loopholes or gaps of the amendment draft and formulate necessary draft of amendments to other related “laws” and “regulations”;

        f) Conduct training for the staff at the Ministry of Finance regarding to new amendments;

        g) Prepare a handout and manual for the amendments;

Task 2. Others 

        a) During the consultancy service the legal consultant shall provide other all necessary professional legal assistance to the FMID, FPD, MOF;

        b) Undertake such other tasks including coordination of other activities relating to the assignment as reasonably requested and/or assigned by the Head of FMID and the Director of Financial Policy Department, MOF;

        c) The consultant may required to work in working groups to prepare legal drafts for parliamentary session;

D. DELIVERABLES

Based on the contracted assignments and detailed contract implementation plan approved by the client, the National Individual Consultant’s deliverables will include:

        I. Detailed periodic reports on professional legal consulting service during the contract term.

       II. Comprehensive report on social and economic consequences of adopting the amendments to the Securities Markets Law.

      III. Report on cost analysis of adopting the amendments to the Securities Markets Law.

       IV. Developed draft law of amendments and changes into Securities Markets Law of Mongolia in accordance with requirements of the Law on Legislations of Mongolia;

        V. Draft amendments necessary to other relevant laws and regulations arising from the amendment of the Securities Markets law. 

       VI. Handout and manual for the law amendment (Securities Markets Law).

      VII. Other written outputs - consistent with the scope of work - as reasonably requested by the Head of FMID.  

E. CONSULTANT’S QUALIFICATIONS/ SELECTION CRITERIA

      - Education: At least a master’s degree in the relevant fields: Law, Business and Public Administration;   

      - Experience:  Minimum of 10 years of experience in advisory services in fields related to law, legal consultancy and securities market, as well as at least 5 years of law drafting experience relevant professional experience with the skill of developing legislation; and an excellent understanding of Mongolian capital market’s current condition, and its challenges, laws, and regulations. Previous experience drafting of laws and legislation approved by Parliament would be an advantage; 

      - Language skills: Fluent written and spoken skills in English and Mongolian. 

      - Other skills:

        a. Excellent skills in research, facilitation of workshops, and consultations.

        b. With excellent skills and abilities to function effectively and collaboratively in a team environment.

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

F. CONTRACT DURATION 

The consultant is expected to commence working effective from October 2020. The duration of the assignment is 5 months.

If you possess the above qualifications, please submit following documents via email to procurement@sffs.mn:

    1. Cover letter indicating why she/he considers her/himself suitable for the position;

    2. Detailed CV highlighting relevant skills/experience;

    3. Copy of diplomas or certificates; and,

    4. 2 reference letters from previous last two employers no later than 17:00, November 20, 2020.

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@sffs.mn Contact address: Attn: Ms.Bayarmaa, Procurement specialist, Strengthening Fiscal and Financial Stability Project.