fsvc insights - Financial Services Volunteer Corps

FSVC INSIGHTS
May 2014 / www.fsvc.org
Dear Friends of FSVC,
Albania: Developing Mobile Payments
The first four months of 2014 have been an
extremely busy and productive period for
FSVC. We have begun new programs in
Jordan, Morocco and Zambia, as well as
continued important work in Egypt, Tunisia,
Albania and East Africa, among other places.
Some of our most exciting project activity has
taken place in Albania, where we are helping
to introduce mobile payments, and in Kenya,
where FSVC’s Volunteer experts are helping
to build local institutional capacity to combat
criminal financial activity. In Egypt,
important recent projects have helped
strengthen the capacity of small businesses,
including women-owned businesses in rural
regions.
FSVC, in partnership with the U.S.
Agency for International Development
(USAID) and the Volunteers for
Economic Growth Alliance (VEGA), is
providing a program of technical
assistance to facilitate the
development of mobile payments in
Albania. Mobile payments could have
a far-reaching positive impact in
that country by making financial
services available to previously
unbanked populations, decreasing the
grey economy and improving
municipal tax collection.
This issue of our newsletter contains some
success stories that I hope you will find of
interest.
Bank of Albania (BoA) Governor Ardian Fullani and FSVC President and
CEO Andy Spindler recently co-chaired a high-level FSVC workshop in
Tirana for various stakeholders on the benefits of developing a mobile
payments system. The keynote Volunteer expert for the project was
Nicholas Sullivan. Mr. Sullivan is Co-leader of The Fletcher School
Leadership Program for Financial Inclusion and Co-author of Money, Real
Quick: Kenya’s Mobile-Money Innovation.
Thank you, as always, for your ongoing
support of FSVC's work.
J. Andrew Spindler
President and CEO
The workshop raised the level of
awareness among Albanian regulators,
commercial banks and non-bank financial
institutions of international best
practices and current trends in the
mobile money sector, as well as the
potential role that mobile payments
could play in Albania.
In This Issue
Uganda: Banks Tackling Money
Laundering and Terrorist Financing
Jordan: Facilitating Small Business Registration
Egypt: Promoting the Growth of Women-Owned
Businesses in Rural Egypt
New FSVC Programs in 2014
Zambia: Improving Public Financial Management
FSVC Volunteer expert Nick Sullivan during his
keynote presentation at the high-level
workshop on mobile payments, Tirana, April
2014.
From left: Ardian Fullani, Governor of the
Bank of Albania, with Andy Spindler,
President and CEO of FSVC, Tirana, April
2014.
Interview with FDIC Secondee Frank Hartigan
www.fsvc.org
Click here to learn more about our work
in Albania
FSVC INSIGHTS
PAGE 2
May 2014 / www.fsvc.org
About FSVC
The Financial Services Volunteer Corps (FSVC)
helps build the sound financial systems
needed to support robust market economies
in transitional and developing countries.
FSVC structures practical, results-oriented
technical assistance and training missions
staffed by senior financial sector practitioners
who serve as unpaid Volunteer experts.
FSVC's core work concentrates on strengthening commercial banking sectors, developing
central bank capabilities, expanding access to
finance and building capital markets.
Since the organization’s inception in 1990,
FSVC has provided more than $210 million in
technical assistance, principally through the
donated services of Volunteer experts. Over
8,500 Volunteer experts from the
international financial, legal and regulatory
communities have taken part in more than
2,800 missions, reaching more than 35,000
counterparts in 50 developing and transitional
countries.
Uganda: Banks Tackling Money Laundering and Terrorist
Financing
With support from the U.S.
Department of State, FSVC
has been strengthening
the capacity of regulators
and financial institutions in
Kenya, Tanzania and
Uganda to combat money
laundering and terrorist
financing. Effective
anti-money laundering/
From left: Nathan Kutt and Hans Salzmann, FSVC Volunteer
combating the financing
experts; Dr. Louis Kasekende, Deputy Governor of the Bank
of terrorism (AML/CFT)
of Uganda; Emmanuel Kikoni, CEO of the Uganda Bankers
Association; and Courtney Wallen, FSVC Regional Program
policies and procedures
Advisor during implementation of the project "Workshop
are critical to protecting
on AML/CFT For Commercial Banks" Kampala, November
the integrity and stability 2013.
of financial sectors. These
efforts also provide essential support for broader initiatives to create
healthy market economies, governed by the rule of law.
Most recently, with the passage of the AML Act in Uganda, the
Uganda Bankers Association requested FSVC's assistance in
implementing a workshop for local banks on how to establish and
maintain an effective risk-based AML/CFT compliance program. FSVC
sent two Volunteer experts to Kampala to provide practical guidance
to banks on how to identify suspicious financial behavior, analyze
transactions, file suspicious transaction reports and effectively
conduct sanctions screening.
In addition to banks, key representatives from the Central Bank of
Uganda participated in the workshop, and conducted follow-on
consultations with the FSVC Volunteer experts. The project helped
strengthen the capacity of Ugandan banks to implement risk-based
AML/CFT compliance programs in accordance with international best
practices and in anticipation of the enforcement of Uganda's new
AML Act.
Hans Salzmann, FSVC Volunteer expert,
advising workshop participants on AML/CFT
risk-based methods in Kampala, November
2013.
Emmanuel Khisa, FSVC Volunteer expert (standing right),
presenting at the high-level workshop on mobile
payments, Tirana, April 2014.
Click here to learn more about our work in East Africa
www.fsvc.org
FSVC INSIGHTS
PAGE 3
May 2014 / www.fsvc.org
Upcoming Volunteer
Opportunities
Jordan: Facilitating Small Business Registration
Albania
Consultations on AML Practices for Mobile
Payments
Consultations on Improving the Bank Resolution
Framework Based on EU Directives (for the Bank of
Albania)
Consultations on Risk-Based Supervision of Insurers
Follow-up Consultations on Over-the-Counter
Market Trading Regulations
Assessment of Financial Inclusion in Albania
Azerbaijan
U.S. Study Tour for Bankers from Azerbaijan on
Sales, Branch Management and E-Commerce
(Seeking Host Institutions)
East Africa
Training on Implementation of New Regional RTGS
Payment & Settlement System
Training on IFRS and IAS Financial Reporting
Training on CFT Risk Assessments for Commercial
Banks
Jordan
Workshop on Components of a Citizens Budget and
Mid-Year Review
Consultations on Strengthening the SME Coalition
and Establishing Common Goals and Timelines for
SME Registration Policy Reforms
Consultations on Use of Public Meetings, Dialogue
Between Citizens and the Government and Media
for Open Budget
Clarify and List Advocacy Tools for Public Budget
Transparency
Consultations on Creation of a Business Registry
Although SMEs produce
90% of Jordan's
economic output, over
60% are not registered
with the Jordanian government. To address
this issue, FSVC, in partParticipants from the Jordanian Companies Control
nership with the U.S.
Department (CCD) and the Amman Chamber of Commerce
Department of State's
(ACC) with FSVC Volunteer experts Neil Polansky (2nd row left
Middle East Partnership back); Lisa Ocampo (front row 3rd from right); and FSVC Regional Director Moez Dalloua (1st row right front) during the
Initiative (MEPI),
project, "Assessment of Existing 'One-Stop-Shop' Business
is helping the Jordanian Registration Model," in Amman, December 8-12, 2013.
government and civil society organizations streamline the SME
registration process.
To kick off this new program, FSVC recently sent two Volunteer
experts to Amman to conduct an assessment of one-stop-shops (OSSs)
established by the Jordanian Ministry of Industry and Trade and the
Amman Chamber of Commerce. As a result of this project,
representatives from the OSSs obtained expert recommendations on
how to streamline business registration procedures for SMEs at OSS
locations. Strengthening the capacity of OSSs to provide clear and
consistent information to SMEs will encourage SMEs to register as well
as facilitate the process.
Egypt: Promoting the Growth of Women-Owned
Businesses in Rural Egypt
Since 2011, FSVC has been
implementing a MEPI-funded
program of technical
assistance to strengthen the
availability of finance to SMEs
and entrepreneurs in Egypt.
As key drivers of job creation,
SMEs and entrepreneurs can
play a significant role in the
economic recovery of Egypt,
and their success rate is
significantly improved when
they receive targeted
assistance.
Continued on next page...
www.fsvc.org
From left: AWTAD Programs Development
Coordinator, Esraa Saleh, with FSVC Volunteer experts
Lisa Delp and Patricia Gibson during the
implementation of the project, "Training in Optimizing
SME Product Distribution: Marketing and Distribution
Channels for Micro and SME Enterprises," in Cairo,
December 8-11, 2013.
FSVC INSIGHTS
PAGE 4
May 2014 / www.fsvc.org
Upcoming Volunteer Opportunities (cont’d)
Morocco
Consultations on Creating an Organizational
Framework for Bankruptcy Trustees
Training on Best Practices in SME Bankruptcy
for Financial Institutions
Training on Compilation of Data and
Statistics on Bankruptcy Practices
and Trends
Southern Africa
Strengthening Practical Utilization of SAPbased IFMIS Software (Zambia)
U.S. Study Tour for Angolan Bankers on SME
Banking Practices (Seeking Host Institutions)
Egypt: Promoting the Growth of Women-Owned
Businesses in Rural Egypt (continued)
Recently, FSVC sent two Volunteer experts to Cairo to assist the
Association of Women's Total Advancement and Development
(AWTAD) in promoting the growth of women-owned micro, small and
medium-sized enterprises (MSMEs) in rural Egypt. To do so, FSVC
delivered a train-the-trainer program to trainers participating in
AWTAD's "A Village at a Time," an initiative to strengthen the
entrepreneurial skills of women and youth in rural villages. The FSVC
Volunteer experts helped strengthen the capacity of AWTAD trainers to
train rural MSMEs to communicate effectively with prospective and
existing clients about their products in order to improve client service
and retention. The FSVC Volunteer experts also helped develop the
main content for training modules on sales, marketing and customer
service that will be integrated into AWTAD's training program.
Click here to learn more about FSVC’s work in Egypt
For a complete listing
please visit our website
New FSVC Programs in 2014
The U.S. Department of State's Middle East Partnership Initiative (MEPI)
recently awarded FSVC three new grants:
Improving Bankruptcy Process for Small Businesses in Morocco
(15 projects over two years) - FSVC will help strengthen the capacity of
bankruptcy trustees and judges, as well as educate SMEs on bankruptcy
issues and assist civil society organizations in advocating for an improved bankruptcy and insolvency framework for SMEs.
Increasing Transparency in Budget Process in Jordan (14 projects over
two years) - FSVC will help strengthen the capacity of civil society
organizations in gaining access to budget information, monitoring
public expenditures, advocating for reforms and effectively
participating in the official budget process.
FSVC Volunteer expert Khairil Anuar Mohd Noor, Senior
Vice President and Head of Product Management and
Structuring at Al Hilal Bank, Abu Dhabi, UAE, addressing
participants during the project, "Training on Islamic
Finance for SMEs," for the Egyptian Banking Institute,
Cairo, January 2014.
Reducing Hindrances to Small Business Registration in Jordan (20
projects over two years) - FSVC will work with government and civil
society representatives to facilitate the process of business registration
and licensing for SMEs.
www.fsvc.org
FSVC INSIGHTS
PAGE 5
May 2014 / www.fsvc.org
FSVC's New Programs in 2014 (continued)
In addition, FSVC obtained two other new grants in late 2013:
Improving Public Financial Management in Zambia (5 projects) - With
support from the U.S. Department of State, FSVC will help the
Zambian government improve its ability to collect and analyze fiscal
data through its Integrated Financial Management Information System
(IFMIS). IFMIS is a software system that relies on SAP software to
enhance transparency and information sharing across government
institutions.
From left: Barry Lefkowitz and Bill Stutts, FSVC Volunteer
experts; Moez Dalloua, FSVC Regional Director; Rachid
Ghafir, CGEM representative; Loic Gogue, Director of Siyaha
Advisors; and CGEM representative during the project,
"Training and Roundtable on Insolvency and Bankruptcy
Tools for SMEs," conducted in Marrakech and Casablanca,
March 2014.
Strengthening Cooperation in Addressing Problems in the
International Financial System, Energy Security and Climate Change With support from Carnegie Corporation of New York, FSVC will
continue its multi-year effort to bring together leading experts from the
United States, Russia, China and India to address financial, energy
security and climate change issues and identify areas of potential
collaboration. FSVC's next symposium is scheduled to take place in
Hong Kong, June 13-15, 2014.
Zambia: Improving Public Financial Management
Participants in the project ,"Training and Roundtable on
Insolvency and Bankruptcy Tools for SMEs," Casablanca,
March 3-6, 2014.
Zambia was ranked by the International
Budget Partnership 97th out of 100
countries in 2012 in terms of budget
transparency.
FSVC, with funding by the U.S.
Department of State’s Domestic
Standing right: FSVC Volunteer expert
Kerry Dunn, Senior Financial Management
Finance for Development (DF4D)
Advisor, Government of Canada,
initiative, is providing technical
presenting to participants in the project,
“Workshop to Improve Public Financial
assistance to the Government of the
Management” in Lusaka, March 2014.
Republic of Zambia (GRZ) to help
address its public financial management issues.
FSVC Volunteer experts Bill Jannace (standing center) and
Richard Chase (seated right) conducting training session for
participants from the Bank of the Republic of Burundi during
the project, "Training on Capital Markets Development,"
Bujumbura, February 10-14, 2014.
As its initial project, FSVC held a two-day workshop in Lusaka in March
2014. FSVC Volunteer expert Kerry Dunn provided instruction in the
use of a new Integrated Financial Management Information System
(IFMIS).
A total of 44 participants attended the workshop, including the chief,
principal and senior accountants from 18 of Zambia’s Government
ministries. Individual training sessions will be conducted for many of
these GRZ ministries in the coming months.
www.fsvc.org
FSVC INSIGHTS
PAGE 6
May 2014 / www.fsvc.org
Interview with FSVC's FDIC Secondee
Frank Hartigan, San Francisco-based Deputy Regional Director at the U.S.
Federal Deposit Insurance Corporation (FDIC), recently completed a ninemonth secondment to FSVC as part of a collaborative program between the
FDIC and FSVC. During his secondment, Frank volunteered on several projects,
including "Consultations on the Albanian Deposit Insurance Agency Mandate
and Strategy," "Consultations on Capacity Building for Savings Banks," with the
East African Community (EAC) Secretariat, and "Consultations on Structuring a
Risk Department" with Banco Keve, Angola, among others.
Q: What did you like most about volunteering with FSVC?
A: All of the project scopes were well-defined. I also liked the screening
process in place for the Volunteers. FSVC staff took the time to match my
expertise and talents with each opportunity. There was a clear intent to
use Volunteer resources where they were most needed.
FSVC Volunteer expert Frank Hartigan, Deputy
Regional Director at the FDIC, Division of
Depositor and Consumer Protection. Mr. Hartigan
oversees 400 financial institutions in the Western
United States and territories in the Pacific Islands.
Q: During your time with FSVC, you worked on projects alone and also with other Volunteers experts. How was
your experience working with other Volunteer experts?
A: In Uganda, I worked with another Volunteer expert, Tom Branch, a recently-retired Senior Vice President,
Manager of Alternative Financial Services at Union Bank of California. Tom had very current, real experience
working in commercial banking. As a team, I think we had an excellent blend of talent and experience from both
a banking and regulatory perspective. That is a real testament to FSVC. You know your Volunteer experts and
their background well, which is a big contributing factor to making each project work.
Q: During your time in Uganda, or during any of your other assignments, how did you think your contribution
impacted the counterpart?
A: Sometimes people hire consultants for an outside perspective and nothing more. That wasn't the case with
my FSVC assignments. In every case, the counterparts were open to my advice. For example, in Albania, I had
the opportunity to return to the Albania Deposit Insurance Agency (ADIA) to do a follow-up set of
consultations. When I returned, the ADIA had already implemented half a dozen recommendations from my
previous trip and was in the process of working on more.
Q: When working on projects as a Volunteer expert, what energized you and why?
A: All of the assignments were varied and unique. There was flexibility and autonomy in my projects. FSVC
provides a strong infrastructure for the Volunteers. The scope of the projects was always well-defined, and the
field staff did a great job of managing logistics. I also had autonomy in how I prepared for the projects,
which I liked.
Q: Is there anything else you would like to share with potential Volunteers?
A: If you’re interested in the developing world, this is an excellent opportunity to volunteer. FSVC did a great job of
matching Volunteers with resources and managing ground support and logistics. If anything, had I known how
interesting every assignment would be, I would have asked for a longer secondment!
More Information on Secondment to FSVC
www.fsvc.org