| Урилгын дугаар: | C11/CS/014 |
| Захиалагч: | Сангийн яам |
| Зарын төрөл: | Зөвлөх үйлчилгээ |
| Зарласан огноо: | 2019.03.21 |
| Дуусах огноо: | 2019.04.04 17:00:00 |
REQUEST FOR EXPRESSION OF INTEREST
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 Mongolian capital market is still under development and therefore securities market legislation and its enforcement should be further strengthened. There are some legal framework in place which ensures issuance and circulation of basic products, mostly shares and government securities, and basic infrastructure for capital markets. Issuance of local corporate debt securities is relatively rare, and it needs to be made more efficiently. Appropriate legal framework alone cannot sufficiently create a well-developed and efficient markets, and it is a prerequisite that bringing a certain level of legal reforms may lift existing barriers for various market participants.
In 1994, the Securities Market Law of Mongolia (the “Securities Market Law”) was enacted. On May 24, 2013, the Parliament of Mongolia enacted the Revised Securities Markets Law and it took 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 for preventing insider dealing/trading and market abuses. The Revised Securities Market Law defines securities broadly to include derivatives, depository receipts and warrants, and expressly permits over-the-counter trading of securities. Even though the legal and regulatory framework is developed, and basic infrastructure and capital markets’ basic instruments such as equity, government bonds and corporate bonds are in the markets since 1991, the last 28 years of capital markets development was unsatisfactory, and it needs to be developed further. Domestic private corporations are lacking long-term low-cost financial resources and therefore they are interested in raising funds through capital markets and individual investors interests on investing in the capital markets have relatively increased these days as well. Thus, as a measure to attract more companies to utilize the capital markets as well as investors to participate in investing in the capital markets, the Government of Mongolia should take initiatives for creating some tax concessions environment for the capital markets to become more attractive and dynamic.
Moreover, the Government of Mongolia has approved “Financial Sector Development Plan 2025” by Resolution #299, dated on October 2017. The main objective of the plan is to promote sustainable growth of the financial sector and to create favorable legal and regulatory framework for balanced financial sectors and also to stimulate economic growth through preventing the financial crisis. With this master plan for developing capital markets, the Government should define taxation policies on the capital markets in line with the development objectives. The tax policies have a strong influence; they can support, hamper, or distort the development of capital markets. The first importance is not to harm markets development.
Therefore, in order to implement the policies and defining the tax policy to encourage the development of capital markets, the Ministry of Finance (MOF) is seeking to hire a national individual consultant to prepare recommendations for developing and supporting Mongolian capital markets through tax incentives. The assignment will be closely supervised by 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.
OBJECTIVES OF THE ASSIGNMENT
The main objective of the National Individual Consultant is to assist the Financial Markets and Insurance Division (FMID) of Financial Policy Department of Ministry of Finance (MOF) for conducting research on international good practices of tax incentives for supporting capital markets development and prepare recommendations on Mongolian capital markets related legal environment.
SCOPE OF WORK
The consultant shall carry out the following tasks, but not limited to:
I. Preparing recommendations on developing and supporting Mongolian capital markets through tax incentives:
1. Based on the current tax legislation and its rates, carry out an analysis and detailed estimation on the tax revenue related to the capital markets activities such as capital gains, dividend, tax and fees on transactions;
2. Conduct research on international best practices of tax incentives for the capital markets development and effectiveness of tax incentives for corporations and investors’ capital markets participation behavior;
3. Provide recommendation, based on the international best practices, on various types of suitable tax concessions that the Government should introduce for promoting the capital markets activities;
4. Prepare the relevant legal documents, research papers and other supporting documents for introducing capital markets tax incentives policy and making amendments to the related laws;
II. Recommendation on Institutional arrangement for FMID
1. To consult with stakeholders and organize the working group meetings and public discussion;
2. To provide advice and support the FMID with issues related to financial markets throughout the consultancy service;
3. Undertake such other tasks including coordination of other activities relating to the assignment as reasonably requested and/or assigned by the Director of Financial Policy Department and the Head of Financial Markets and Insurance Division;
CONSULTANT’S QUALIFICATIONS/ SELECTION CRITERIA
v Education: A suitable candidate should have a bachelor’s degree (or higher) from an accredited university and in the fields of Finance, Economics, Investment and Public Policy. Additional academic or professional background on specializing the capital markets would be highly preferable.
v Experience: Incumbent should have at least 5 years of relevant professional experience with the skill of developing legislation, conducting financial and economic analysis; and an excellent understanding of Mongolian capital market’s current condition, and its challenges, laws, and regulations.
v Language skills: Fluent written and spoken skills in English and Mongolian.
v 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.
The consultant will be selected in accordance with the World Bank’s Procurement Regulations for IPF Borrowers (July 2016).
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, April 04, 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@sffs.mn Contact address: Attn: Ms.Bayarmaa, Procurement
Specialist, Strengthening Fiscal and Financial Stability Project
Room #204, Negdsen undestnii 8/2, 4th khoroo, Chingeltei District, Ulaanbaatar, Mongolia; Tel: 70120582
70120582