1. Background

HAUS is currently implementing the African-Finnish Partnerships on Taxation Capacity in Africa (AFP-TCA) project (2023–2025), funded by the Ministry for Foreign Affairs of Finland. The objective of AFP-TCA is to strengthen the capacity of African governments and pan-African organizations to increase Domestic Resource Mobilization (DRM) through informed policymaking.

The AFP-TCA programme is structured around three defined outcomes:

1. Enhanced understanding of best practices in taxation policy and implementation for improved DRM. This includes the dissemination of lessons learned, as well as facilitating dialogue among policymakers to adopt innovative, transparent, and effective tax governance models.
2. Increased knowledge on taxation in the African context through strengthened African research capacity. The programme actively supports the generation of research outputs—such as macroeconomic analyses, randomized control trials, and policy studies—which can feed into training materials, evidence-based policymaking and informed tax reforms.
3. Improved organizational capacity and tools for tax-related capacity building through the African Capacity Building Foundation (ACBF), particularly in leadership development, digital learning, data analysis, and communication. ACBF’s Ubora Academy serves as a platform for scalable training delivery and supports regional efforts in building robust and adaptive tax systems.

HAUS manages the programme and coordinates both long- and short-term technical assistance, collaborating with African Capacity Building Foundation (ACBF) on capacity building and training, and with the VATT Institute for Economic Research on research. Additional stakeholders include African Tax Administration Forum (ATAF), Tax Justice Network Africa (TJNA), African Tax Research Network (ATRN), Finnish Tax Administration VERO, the Finnish Ministry of Finance, and the Finnish Ministry of Economic Affairs and Employment.

Following the conclusion of the current phase, the Ministry for Foreign Affairs of Finland has decided to launch a project formulation process for the  second phase of the AFP-TCA Programme. Phase II will focus on leveraging digitalization to modernize and streamline tax processes, thereby improving compliance and enhancing revenue collection efficiency.

A key focus of the second phase is to foster partnerships  between Finnish and African continental organizations such as the African Union Commission (AUC), African Development Bank (AfDB), African Tax Administration Forum (ATAF) and African Capacity Building Foundation. These institutions can contribute to enhanced policy coherence, domestic resource mobilization, and strategic alignment with continental frameworks. Such collaboration is expected to promote experience sharing, strengthen regional ownership, and support investment-ready initiatives that advance  taxation capacity strengthening, including through digitalization across Africa.

The project may also build on research cooperation by engaging academic institutions and research networks like the African Tax Research Network (ATRN). This collaborative approach is expected to foster research-informed dialogue and support the co-creation of context-specific, scalable solutions for African tax administrations, including exchange and inter-operability with related fiscal oversight functions e.g. in customs and supreme audit institutions. By grounding these efforts in high-quality, policy-relevant research, the programme aims to contribute to evidence-based policymaking that reflects regional priorities and institutional realities.

Phase II aims to support African institutions in identifying, analyzing and articulating their needs and opportunities for further digitalization of their internal functions and external collaboration, and in crafting investment-ready proposals attractive to development banks, donors, and private investors.

African Tax Administration Forum (ATAF) and The African Capacity Building Foundation (ACBF) may serve as the strategic anchor institutions for the Programme. ATAF is the umbrella organization of the African national revenue authorities, and ACBF is the African Union specialized agency for capacity development

During Phase-1 AFP-TCA has supported the creation of the ACBF Ubora Academy, which now offers a platform through which taxation related digital learning and training activities can be offered and tailored to diverse stakeholder groups across the continent. During Phase-1 ATAF has provided taxation related intellectual guidance to the ACP-TCA.

In the 2^nd phase the AFP-TCA work will increasingly focus on the taxation of the digital economy and on the digitalization and inter-operability of revenue processes. ATAF will be coordinating this work together with other relevant pan-African organization, e.g. in customs, supreme audit, etc.

Finland will be providing core support to ATAF’s Strategic Plan 2025-2030 through another parallel project. ATAF’s primary role is to create opportunities for African-African co-operation between African tax administrations. As the name of the AFP-TCA programme says, the AFP-TCA will be creating opportunities for African-Finnish partnerships in the area of taxation, particularly digitalization of the revenue systems in the context of increasingly digital economies of Africa.

The purpose of the AFP-TCA is to strengthen domestic resource mobilization, particularly taxation in Africa through partnerships with Finnish partners (experts, authorities, companies, CSOs and training and research institutions).  Technical assistance and secondments from Finland will be mobilized to strengthen African local capacity and to support peer-to-peer learning between African officials and professionals e.g. in areas such as AI, data analytics, ICT management, and digital services delivery.  This investment in human capital aims to enhance operational efficiency and responsiveness. These efforts will be based on local needs assessments and guided by expressions of interest from tax administrations and other relevant African institutions, thereby ensuring that Finnish expertise contributes to demand-driven capacity development in Africa.

The final decisions regarding the scope and responsibilities of the various African partners will be further defined during the project formulation phase.

The project aspires to support African efforts to establish a sustainable and effective ‘Digitalization of Taxation’ framework for Africa and required capacity development across Africa. The goal is to support the digitalization of tax administrations and their connectivity, exchange of information and inter-operability with private sector companies and  other tax payers, and with the various other revenue and fiscal oversight administrations  (e.g. taxation, customs, supreme audit, social insurance, central banks, etc.) so as to improve service delivery, strengthen administrative efficiency and to curb illicit financial flows (IFF). By enhancing user friendliness, transparency and trust in tax systems, the project seeks to foster a more responsive and accountable fiscal environment, and gradually growing strategic fiscal autonomy based on strong social contracts within African societies.

 

2. Digitalization and Tax Administration

Efficient public finance management increasingly relies on digital systems to enhance financial reporting, manage cash flows, and deliver public services. These systems not only reduce administrative costs but also reinforce economic sovereignty by automating data collection and exchange, enabling transparency.

Tax systems are progressively shifting toward the use of electronic data transfers from business and administrative registries, allowing for real-time data processing and improved interoperability across private and public sector platforms. This integrated approach enhances user friendliness of tax systems for the private sector  as well as governments’ capacity to monitor taxpayer activities, assess economic trends, and make timely, evidence-based decisions. Automatic Exchange of Information (AEoI) between national revenue authorities across countries is a critically important way to control for illicit financial flows (IFF).

By leveraging modern ICT tools and analytics, tax administrations can better plan policies, manage risks, and allocate resources efficiently. Automated systems help minimize human error, streamline procedures, and ensure that services are accessible and user-friendly. Ultimately, digitalized tax systems contribute to economic resilience and fairness by fostering trust, legitimacy, willingness to pay tax and accountability between governments and citizens.

In Phase-1 the AFP-TCA has played an important role in facilitating joint situation analysis and cooperation on the digital transformation of revenue administrations among a consortium of pan-African organizations.

The African Union (AU) Finance Ministers’ Sub-Committee on Taxation and IFFs provides the political leadership in formulating African common approaches and positions. The AU Commission ‘ETTIM’ Department[1] convenes the finance ministers and draws guidance from the technical subject matter expertise of ATAF (African Tax Administration Forum), TJNA (Tax Justice Network Africa) and the UN Economic Commission for Africa (UN-ECA). African Development Bank (AfDB) has a role in providing loans to African governments who decide to reform (incl. digitalize) their revenue administrations and fiscal oversight systems. The African Organization of Supreme Audit Institutions (AFROSAI) builds capacity among the national audit offices in AU member states.

The ACBF Ubora Academy could serve as a platform to host e-learning modules on the (increasingly digital) African tax systems, policy design, and other practical training for tax administrators.

The final decisions regarding the roles of ACBF, ATAF and the other relevant pan-African organizations will be considered during the project formulation, and decided upon later. One of the key expected outputs will be ‘investment ready’ (‘bankable’) project concept papers for the AfDB and other development finance institutions.

3. Digitalization of Tax Administrations in Africa

Digital infrastructure varies significantly across African countries. While some tax administrations still rely on manual or partially digitalized processes, countries such as South Africa, Rwanda, Kenya, Zambia, Uganda and Ghana have made significant strides in implementing electronic tax systems. These systems enable functionalities such as online tax filing, digital payment processing, and automated taxpayer services, reflecting substantial progress in digital transformation within the tax sector.

There is a pressing need to enhance the capacities of tax administrations across Africa in order to increase revenues, promote inclusive economic growth, and strengthen public trust in governance. Leveraging ICT and data analytics is essential to achieving these aims, as they play a critical role in combating tax evasion, enhancing fairness, and enabling more effective decision-making.

To be successful, digital transformation must be accompanied by targeted investments in human capital development and digital infrastructure. Capacity-building initiatives should equip tax officials with the skills needed to operate and innovate within increasingly digitalized environments. Finland, with its recognized expertise in both tax administration and digital governance, stands out as a valuable partner in this transition, offering opportunities for technical assistance, peer exchange, and institutional collaboration.

As part of the planning for Phase II, the intention is to encourage close collaboration between ATAF, ACBF, AfDB and other key continental organizations to ensure a coordinated and results-oriented approach to programme design and implementation.  These plans remain under refinement and will be further shaped in consultation with stakeholders during the formulation process. Through collaboration, these institutions can pool their respective strengths—ranging from policy advocacy to capacity building—to facilitate knowledge sharing, enhance institutional resilience, and establish a sustainable platform for advancing tax-related development across the continent.

4. Objectives of the Consultancy

The objective is to design a credible Project Document for AFP-TCA Phase II, to be submitted to MFA-Finland’s Quality Board by November 2025. This document should include a detailed budget, a Year 1 work plan, and results and risk frameworks.

The consultant will develop a draft Project Document to support decision-making at MFA and among partner institutions. If deemed viable, it will also guide the drafting of a financing agreement.

The consultant is expected to formulate a strategy and approach to support implementation, management, and evaluation in a results-oriented manner. This includes identifying strategic priorities for the growth and operational strengthening of ACBF’s Ubora Academy as a platform through which scalable, cross-border training in taxation and public finance management can be channeled, avoiding duplication and promoting additionality with other training providers (e.g. AfDB Public Management Academy, ATAF Tax Academy, TJNA International Tax  Justice Academy and UNU-WIDER Winter School at Stellenbosch University and its free online tax e-learning courses).

As part of the planning for Phase II, particular emphasis will be placed on ensuring effective collaboration between ATAF, ACFB, AfDB and other pan-African networks. Each network serves a different primary stakeholder community – e.g. ATAF’s target audience consists of tax professionals in national tax administrations, AfDB’s participants come primarily from ministries of finance and central banks, and the UNU-WIDER trains mainly tax researchers. The aim of the African-Finnish Partnership on Taxation Capacity in Africa is twofold: 1) To identify optimal ways for Finnish partners to participate in and contribute to 2) the establishment of a coordinated and mutually reinforcing African framework for taxation capacity strengthening that serves well all target groups and draws on the comparative strengths of each institution—ranging from research and policy advocacy to digital training delivery—to maximize the programme’s impact and relevance across the continent.

5. Methodology and Scope

The planning is recommended to be carried out jointly by the consultant and Finnish and African partners, applying inclusive and participatory approaches. Data collection includes stakeholder interviews and a review of relevant documentation, enabling the consultant to synthesize findings into a coherent Project Document for Phase II, including a tentative Year 1 Workplan.

The process should emphasize African partner ownership and encourage broad stakeholder participation throughout. Adaptive planning principles are encouraged to allow for iterative refinement based on input from beneficiaries and partner institutions. The use of digital tools and remote collaboration methods is also recommended, where appropriate, to facilitate timely and efficient engagement.

6. Key Elements of the Planning Process

• Stakeholder Identification and Needs Assessment: Identify key stakeholders and assess their needs, strengths, interests, constraints, opportunities, and potential roles. This should include consideration of existing cooperation arrangements and a gender and inclusion analysis, particularly with regard to marginalized groups. Define the intended beneficiaries of the programme clearly.
• Policy and Strategic Review: Examine relevant tax-related global, continental, regional, and national policies and programmes. This includes analysis of African strategies and donor-supported initiatives to ensure strategic alignment. Evaluate coherence with Finland’s development policy, sector priorities, and cross-cutting objectives.
• Lessons Learned and Institutional Memory: Review relevant experiences and evaluations from AFP-TCA Phase I and other comparable initiatives to inform the design, avoid redundancy, and build on established good practices.
• Needs and Problem Analysis: Conduct a diagnostic assessment of underlying challenges in DRM and digitalization of tax systems. This analysis should form the basis for defining strategic entry points and prioritizing interventions.
• Development Opportunities and Resource Mapping: Map how institutions such as ACBF, ATAF, the African Union Commission (AUC), and the African Development Bank (AfDB) can jointly contribute to global, continental and regional knowledge transfer, policy alignment, and financing of tax capacity initiatives. Consider their comparative roles in normative guidance, advocacy, technical cooperation, and potential support for investment-ready proposals. Where possible, explore complementarities and entry points for collaboration to enhance programme effectiveness and sustainability.
• Interplay Between Taxation and Cross-Cutting Objectives: Assess the relationship between taxation and human rights, gender and social equality, and participation opportunities for marginalized populations. Particular attention should also be given to addressing HIV/AIDS as a development challenge.
• Environmental Considerations: Examine environmental vulnerabilities, climate change impacts, and disaster risk, and propose approaches for integration into the programme strategy. Include the application of the “do-no-harm” principle.
• Strategy Options Analysis: Present and justify different strategic options for programme design, with rationale for the selected approach.

 

7. Programme Formulation

• Scope and Approach Definition: Formulate the programme’s overall purpose, expected outcomes, key activities, and performance indicators. Specify implementing responsibilities where possible.
• Cross-Cutting Objectives Integration: Describe how the programme will incorporate cross-cutting objectives, including gender and social equality, human rights, inclusive participation, and environmental sustainability.
• Intervention Logic Verification: Ensure coherence and feasibility of the programme’s logical framework or results chain, with disaggregated indicators and costed activities.
• Performance Measurement and Learning System: Outline the proposed Monitoring, Evaluation and Learning (MEL)  system, including baseline data requirements, performance tracking tools, and periodic review mechanisms.
• Management, Governance and Coordination Arrangements: Propose a management and governance structure that facilitates collaboration between African and Finnish partners. Consider use of country systems, coordination with other donors, and measures for accountability and anti-corruption.
• Sustainability Analysis: Evaluate financial, technical, institutional, socio-cultural, and environmental sustainability. Propose measures to strengthen long-term impact.
• Resource Requirements and Budgeting: Define programme resource needs and provide a preliminary budget with indicative allocations and sources.
• Supporting Documentation: Prepare additional documents as required for MFA-Finland Quality Board review.

 

8. Deliverables

The consultant is expected to provide the following deliverables:

1. Draft Project Document for Phase II (including theory of change, results framework, budget outline, and risk matrix)
2. Tentative Year 1 Workplan
3. Final Project Document incorporating comments from stakeholders and the Ministry for Foreign Affairs of Finland
4. Executive Summary of the Project Document (2–3 pages)
5. Draft Finnish-language text for MFA Quality Board submission

A template commonly used by the MFA will be provided to structure the Project Document. The document should be no less than 20 pages and not longer than 60 pages (including the draft workplan for Year 1). The Project Document should be in English, using the Calibri font (11p) on Microsoft Office (word and excel).

The consultant will be expected to be available for presentation and feedback meetings after the submission of each of the deliverables.

9. Timeline and schedule

• Contracting: Beginning of June 2025
• Inception discussions and desk review: June–July 2025
• Field visits and stakeholder consultations: August-September 2025
• Submission of Draft Project Document: end of September 2025
• Validation workshop and comments: early October 2025
• Final deliverables: by 15 October 2025

Work starts as soon as possible. Please indicate a starting date in the proposal.

The final deliverables should be handed in and approved by October 15^th 2025.

10. Budget

The maximum budget for this assignment is EUR 40,000 (excluding VAT). The total cost must include all fees, travel, accommodation, per diems, and any other reimbursable expenses.

This consultancy will require traveling to two locations in Sub-Saharan Africa. Potential locations are Pretoria and Nairobi (to be confirmed in the beginning of the consultancy).

Clearly indicate daily rates, travel expenses and other costs in the proposal.

11. Expertise Required

The consultant or consulting team should demonstrate:

• At least 7 years of experience in international development, public finance, taxation, or institutional capacity building, preferably in Africa;
• Knowledge of the international development sector and familiarity with Finnish development policy, public sector reform, and digital governance;
• Proven experience in project design and results-based management;
• Experience in producing high-quality project design and reports that provide actionable insights and recommendations;
• Proficiency in collecting and analysing qualitative and quantitative data, including surveys, interviews, focus groups, and participatory methods;
• Experience working with organizations such as ACBF, ATAF, AUC, AfDB, TJNA or comparable institutions;
• Strong verbal and written communication skills in English, with the ability to present findings and recommendations clearly;
• Expertise in digitalization, taxation and domestic resource mobilization are considered an added advantage;
• Full proficiency in English; French is considered an advantage

 

12. Proposal Submission

Interested candidates should submit:

• Cover letter
• Technical proposal (max. 5 pages) outlining methodology, approach, and work plan
• CV(s) of the proposed consultant(s)
• Financial proposal (in euros, excluding VAT)

The deadline for proposals with annexes (cover letter, technical and financial proposal, CV) is at 12:00 (EEST/UTC+3) on 1st of June 2025.

The proposals should be sent to lotta.fors@haus.fi (cc: nina.niva@haus.fi and sofia.kankama@haus.fi) . Questions related to the assignment can be addressed to Team Leader Lotta Fors, +358 40 358 0043.

Shortlisted applicants may be invited for an interview.

Note:

Proposals and CVs will be shared among the selection panel.

[1] ’ETTIM’ stands for ’Economic Development, Trade, Tourism, Industry and Mining’