Loan Guarantees Risk Management Specialist at United Nations Development Programme (UNDP)

Lusaka, Full Time

United Nations Development Programme (UNDP)
Location: Zambia
State: Lusaka
Job type: Full-Time
Job category: Accounting Jobs in Zambia

Job Description

Job Description
Background
UNDP is committed to achieving workforce diversity in terms of gender, nationality and culture. Individuals from minority groups, indigenous groups and persons with disabilities are equally encouraged to apply. All applications will be treated with the strictest confidence.
UNDP does not tolerate sexual exploitation and abuse, any kind of harassment, including sexual harassment, and discrimination. All selected candidates will, therefore, undergo rigorous reference and background checks.
The United Nations Capital Development Fund (UNCDF) makes public and private finance work for the poor in the worlds 46 least developed countries. With its capital mandate and instruments, UNCDF offers œlast mile finance models that unlock public and private resources to reduce poverty and support local economic development. UNCDFs financing models work through three channels:
inclusive digital economies, connecting individuals, households, and small businesses with financial eco-systems that catalyze participation in the local economy, and provide tools to climb out of poverty and manage financial lives;
local development finance, that capacitates localities through fiscal decentralization, innovative municipal finance, and structured project finance to drive local economic expansion and sustainable development; and
investment finance, that provides catalytic financial structuring, de-risking, and capital deployment to drive SDG impact and domestic resource mobilization.
SMEs play an important role in Zambias economy, contributing significantly to GDP, employment, and the private sector. Despite their important role, SMEs face challenges in operating and growing their businesses. SMEs therefore are an important target group for UNCDFs activities. UNCDF is setting up a loan guarantee and technical assistance facility in collaboration with the Swedish International Development Cooperation Agency (SIDA) and the Embassy of Sweden in Zambia. The objectives of the facility are;
To scale up SME financing significantly and on a sustainable basis in Zambia. This includes financing for SMEs in sectors such as digital-first enterprises, renewable energy, agriculture, water and sanitation, women-owned enterprises, eco-tourism, and nature conservation;
Improve the capacity of commercial banks to better serve SMEs, particularly through digital approaches;
Support SMEs to run their businesses better and more efficiently using digital tools.
Support the SME ecosystem in Zambia, including policy makers and regulators, in improving the operating and financing environment for small businesses.
Duties and Responsibilities
The Loan Guarantees Risk Management Specialist will be responsible for identifying, measuring, controlling, and reporting on all risks related to the loan guarantee facility. She / he will work closely with UNCDFs Least Developed Countries Investment Practice (LDCIP) team based in UNCDFs head office in implementing the risk management activities.
The scope of work covers the following specific areas:
1. Develop guarantee risk management policies, procedures, and processes.
Work closely with the UNCDF country and head office teams to design risk management policies, procedures, and processes for the loan guarantee facility;
Working with the country and head office teams, develop tools and dashboards to be used for risk management.
2. Guarantee issuance.
Participate actively in the due diligence and onboarding process of financial institutions;
Working together with internal teams, review guarantee applications (individual and/or portfolio) to ensure viability and compliance with internal guidelines;
Ensure that loans placed under the guarantee facility comply with the eligibility criteria and UNCDF internal guidelines.
3. Guarantee portfolio credit risk management.
Perform periodic risk analysis of guarantee portfolio reports submitted by / received from financial institutions;
Perform independent post-disbursement checks to ensure that loans placed under the guarantee comply with the agreed eligibility criteria and recommend remedial measures in cases of non-compliance.
4. Management of the guarantee claims