Capital Markets &
Financial Sector Projects

ARMENIA - Sale of State Savings Bank

Ministry of Economy

IOS Partners was engaged in a project to assist in the sale the State Savings Bank in Armenia. Activities completed included:

• Performed diagnostic study and developed privatization strategy;
• Entered into negotiations with Armenian Government and EBRD to purchase the bank;
• In the end, our negotiations were not successful and the bank was sold to a higher bidder.

BARBADOS - Barbados Development Bank & Barbados National Bank - Analysis & Restructuring

Inter-American Development Bank

The objective of the consulting assignment was to provide the IDB with an independent review of the two major state owned banks - the Barbados Development Bank and the Barbados National Bank.  The team reviewed the restructuring options for the two Banks as well as their internal operations and strategic plans. The team also assisted the client (IDB) in proposing specific conditionality addressing the need to materially reform these two financially troubled institutions as part of the proposed IDB Investment Sector Loan (ISL) for Barbados.

CENTRAL AFRICA (Cameroon, the Central African Republic, Chad, the Republic of the Congo, Equatorial Guinea and Gabon) - Restructuring of the Banque de Developpement des Etats de l’Afrique Central (BDEAC) - Development of Long Term Finance Capacity

CEMAC

IOS Partners defined restructuring options for the Banque de Developpement des Etats de l’Afrique Central (BDEAC) so that financial markets in the CEMAC region better serve the needs of commerce and industry” and the project purpose was the development of long term finance instruments and availability in the CEMAC region.

LITHUANIA - Review of Commercial Banks

World Bank

IOS Partners carried out a comprehensive review of commercial banks financial statements, loan portfolio reviews and problem loans and calculated banks capital adequacy, adjusted for realistic loan loss provisions.  We made recommendations for restructuring and recapitalization as well as Collaborated with other team members on issues relating to bank supervision, existing and recommended bank regulations, and other central bank issues. 

MACEDONIA - Bank and Non-Bank Financial Institutions Strengthening in Macedonia

Emerging Markets Group, Ltd.

IOS Partners, as sub-contractors, assisted in the re-design of the pension system for Macedonia and the strengthening of the country’s emerging private pension fund system. In addition this project focused on advising the government in their efforts to stabilize the state-run pension systems and therefore reduce the government’s burdens on enterprises and government budgets.

MACEDONIA – Drafting of Pension Fund Legislation

Ministry of Labour and Social Policy of Macedonia

IOS Parnters prepared law regulating a new mandatory second pillar pension fund law through regular meetings with a reform team, the preparation of and discussion of several drafts of law, review and comment on draft regulations, and a preparation of justifications of law.

MACEDONIA – Review of Stopanska Bank

Admiralty

IOS Partners completed a comprehensive review of Stopanska Bank’s financial statements, loan portfolio reviews and problem loans.  Calculated banks capital adequacy, adjusted for realistic loan loss provisions.  Interviewed senior bank executives and government officials. As a result of the scoping study, Admiralty concluded that Stopanska Bank was not viable.  Nonetheless, EBRD commissioned a study which was undertaken by others (a Big Five accounting firm).  By the time the study was completed, Stopanska Bank entered bankruptcy, as we had predicted. 

MOLDOVA – Fiscal Reform Project

The Treasury, Debt Department, Ministry of Finance

IOS Partners proposed an organizational structure for the creation of the Debt Department as well as the core functions associated to it. The Debt Department was created in the second half of 2001. A debt sustainability analysis that included alternative scenarios and effects was carried out with the involvement of local staff with results presented to the Minister of Finance, a paper on the structure of the domestic market and options to promote increased placement of securities was developed and use of the existing debt data processing system was reviewed and promoted, an analysis of the origin of the debt crisis the country was going through was developed and presented at an IMF-World Bank conference in Budapest, a closer coordination between the use of debt instruments and the Treasury/Budget was promoted.

MOLDOVA – Bilateral Debt Negotiations

Debt Department, Ministry of Finance

IOS Partners assisted the authorities in charge of debt management to contact creditors, explain the situation of public finances and of the country, request renegotiation of set of maturities, propose conditions for renegotiation, provide technical assistance in the renegotiation process and monitor the results and debt service reduction resulting from the process.

MONGOLIA – Strengthening Mongolia’s Financil Sector Development

Asian Development Bank

IOS Partners acted as advisors with responsibility for developing a more competitive, stable and broad based financial system by increasing the efficiency of financial intermediation in the country. The TA was specifically aimed at strengthening the supervisory framework for NBFI; the framework for secured collateral; the legal and regulatory framework for developing capital markets; and the legal, regulatory and institutional framework for developing contractual savings institutions.

MONTENEGRO – Reorganization and Operational Reform of the Central Bank of Montenegro (CBM)

Central Bank of Montenegro

IOS Partners was in charge of the development of a Functional Bank Supervision Capability, the Reorganization and operational reform of the Central Bank of Montenegro (CBM) and technical assistance on the International Accounting Standards (IAS) accounting conversion. The particular focus areas for our team were: (1) organizational development, (2) bank supervision, (3) liquidity and payments operations, (4) IAS accounting conversion; and (5) research and statistics. 

MONTENEGRO – Economic Reform Project

Cash and Debt Management Department, The Treasury, Ministry of Finance

IOS Partners worked to support the modernization of the Montenegrin Public Sector. The Debt Management component included assessing the debt management situation at the Treasury, evaluating the legal, institutional and organizational structure and data processing capability for Central Government debt management. We proposed an integral debt management framework (in the form of a draft law) and an implementation strategy, draft a Law for the Central Government Assumption of Foreign Debt and Frozen Foreign Exchange Deposits, and propose the adoption of a data processing system for debt management, etc.

NEPAL - Re-engineering Nepal Rastra Bank and Supervision of Commercial Bank Restructuring

Nepal Rastra Bank/World Bank

IOS Partners acted as technical advisors to the Nepal Rastra Bank (Central Bank) as it underwent an extensive re-engineering program. This project involves the complete re-engineering of the Nepal Rastra Bank.  A critical component of the project is the restructuring of the two main commercial banks of Nepal, RBB and NBL. IOS Partners is tasked with the oversight of the two management consultancies currently conducting the restructuring of said banks. 

ROMANIA – Review of Six Commercial Banks

World Bank

IOS Partners conducted a comprehensive review of financial statements, internationally audited financial statements, loan portfolio review and problem loans of six largest commercial banks and calculated banks' capital adequacy, adjusted for realistic loan loss provisions.  We visited major borrowers and analyzed their financial strength, debt service and interest coverage abilities, made recommendations for restructuring and recapitalization and developed a method of adjusting statutory financial statements of state owned enterprises and presented to Central Bank, allowing it to reform its own methods of review.  

SERBIA – USAID Economic Reform Project

Serbian National Assembly

IOS Partners provided technical advisory services under direct contract to IBM Business Solutions New Agency to fight against corruption and financial crimes, including money laundering and terrorist financing in Serbia.