Assisting the Government of Trinidad & Tobago develop debt management procedures manual

Reference: PG/CAR/056
Location: Port of Spain, Trinidad & Tobago
Duration: 29 person days over the period September to November 2013
Closing Date: 26 Aug 2013

Background

The Debt Management Section (DMS) which implements the Commonwealth Secretariat’s capacity building programme in debt management in its member countries, is an arm of the Special Advisory Services Division (SASD) of the Secretariat. In accordance with the mandate from the Commonwealth Heads of Government and the principles of the Millennium Development Goals to ensure sustainable debt of member countries, the central feature of the Secretariat’s debt management programme is to build capacity as well as to provide advisory support on debt strategies and institutional aspects. The programme has benefited a large number of developing countries both low and middle income.

Towards this end, DMS has developed and continuously maintains Commonwealth Secretariat - Debt Recording and Management System software CS-DRMS ) which allows the user countries to record the portfolio of their public debt (external and domestic). Since its first launching in 1985, CS-DRMS has grown over the years in both Commonwealth and non-Commonwealth member countries to achieve leadership status in the area of debt information management solutions. CS-DRMS is currently actively used in more than 61 countries. As part of the advisory services, the Secretariat provides training to the debt management personnel and economists in Research Departments, Economic Policy Units, Debt Managements offices, etc. in the use of the software for debt recording, management and analysis. | Read more about the software>>

DMS also provides advisory services in debt management to member countries in developing prudent debt strategies, restructuring debt portfolios, reviewing institutional arrangements for debt management, and strengthening the domestic debt market. In addition, DMS carries out in-depth studies on sovereign debt management and makes recommendations on broad areas of reforms and corrective actions for strengthening debt management policies, institutional arrangements, legal framework and capacity building in debt management.

The Assignment

The Commonwealth Secretariat is currently assisting the Government of Trinidad and Tobago build public and publicly guaranteed debt database using the Commonwealth Secretariat Debt Recording and Management System as well as build sustainable capacity within the Government to maintain and update the database. With good progress having been made in building the database, the Secretariat, as the next step under the project, plans to assist the Government of Trinidad and Tobago develop Debt Management Procedures Manual to ensure: 1) that strong controls and well documented procedures on recording debt instruments, disbursements and debt service in the CS-DRMS exists for all borrowings covering all creditors and market based funding sources, loan guarantees, on-lending, processing of transaction and maintenance of up to date financial records and secure CS-DRMS database; 2) there is clear understanding of the tasks and duties for key debt management operations; and 3) enhance institutional memory for the benefit of new staff in the Debt Unit and existing staff when there is reassignment of responsibilities within the Unit.

The Commonwealth Secretariat plans to undertake this project during September – October 2013 and it is in that regard that the Secretariat is seeking the services of a consultant with the requisite technical expertise and professional experience in developing Debt Management Procedures Manual to undertake the assignment. Specifically, the successful candidate will be expected to document procedures for:

Recording in the CS-DRMS database, instrument details, terms and conditions of loans, disbursements, market rates and ledger transactions (principal, interest, commitment fees and other charges).
Recording in the CS-DRMS database, debt securities, terms and conditions on the instruments and ledger transactions (principal repayment, interest payments and other charges).
Updating the database with information on secondary market trading of debt securities.
For the approval and issuance of loan guarantees.
The recording of government guaranteed debt in CS-DRMS database.
Approval and lending of borrowed funds.
Recording of Government on-lending in the CS-DRMS database and updating the database with ledger transactions (principal repayment, interest payments and other charges).
Capturing disbursement in the database.
Withdrawal of funds
Processing of debt service.
Validation of CS-DRMS database.
Controlling access to the CS-DRMS.
Maintaining the hardware
Outline performance standards/indicators to be observed with respect to production and dissemination of reports including accuracy, periodicity and timeliness of reporting.
Document the functional groups involved in the flow of information in the debt cycle.
Outline disbursement performance standards and indicators
Document circulation policy of statistical, operational and analytical reports, their contents, users and frequency of circulation.
Document best practice database back up with respect to frequency and off-site secure storage.
Develop Work Plan defining frequency of activities to be carried out on daily, weekly, monthly quarterly and annual basis.

Required Technical Expertise and Professional Experience

Prospective candidates should possess:

A degree in Economics or Finance
At least 10 years of relevant practical experience in public debt management area
Good working knowledge of CS-DRMS 2000+ version 1.3
Good understanding of debt instruments and their characteristics
Proven experience in developing Debt Management Procedures Manual
Good understanding of the legal, institutional and governance requirements for debt management.
Good presentation skills

Level of Effort

The level of effort anticipated for the assignment is 29 person days:

10 days fact finding mission to facilitate collecting comprehensive information for developing the Debt Management Procedures Manual.
15 days off site (in Consultant’s home country) drafting the Manual.
2 days mission to Trinidad to present the draft Manual to country officials for comments and to clarify issues that may arise during drafting of the Manual offsite.
2 days offsite to finalise the Manual taking on board feedback from country officials.

Start Date

The assignment will be carried out through field missions to Trinidad and drafting of the Manual by the Consultant in home country between September 23, 2013 and November 15, 2013. The Consultants will work closely with authorities in the Ministry of Finance, Trinidad and Tobago and an official from the Debt Management Section of the Commonwealth Secretariat.

Budget

The successful consultants will be provided with the following by the Commonwealth Secretariat:

Fees at £11,600 at the rate of £400 per day.
Subsistence allowance (based on UN rates), if applicable, for not more than 16 nights in Trinidad.
Economy class return air fare from normal place of residence to Port of Spain, Trinidad.

Reports

The Consultant will be required to submit the Debt Management Procedures Manual to the Director, Special Advisory Services Division, Commonwealth Secretariat through Head, Debt Management Section by not later than 15 November 2013.