Establishment of a Development Finance Institution

Hudson Financial Consulting Ltd. was engaged by a local investment bank, as a joint sponsor with a national government, to conduct an independent study assessing the feasibility of a public-private national development finance institution (DFI). We developed a comprehensive business model, financial plan and institutional framework to operationalize the de novo entity. A detailed overview and analysis of the market and the parameters and key considerations by which a DFI could operate were reviewed with relevant stakeholders. The report identified a significant gap in the supply of and demand for financial services across the country’s economic sectors, particularly for industrial infrastructure and SMEs and start-ups. An updated assessment provided the rationale for the DFI and outlined the risk management and capitalization plans.