1

REQUEST FOR PROPOSAL (RFP) for purchase of Stress Testing

Model for Credit Risk

Bid Ref No: IFCI-CRMD/ST/2016-17/01

Corporate Office:

IFCI Tower, IFCI Ltd, 61 Nehru Place, New Delhi- 110019

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Key Events & Dates

Bid Reference Number

IFCI-CRMD/ST/2016-17/01

Date & Time of issue of RFP

24.01.2017, 9:30 A.M.

Tender Fee (Non-Refundable) Rs.5,000/- (Rupees Five Thousand Only)

Earnest Money Deposit (EMD) Rs.50,000/- (Rupees Fifty Thousand

Only)

Last Date for submission of queries 28.01.2017

Last Date for response by IFCI 03.02.2017

Last Date & Time for submission of Bids 14.02.2017, 5:30 P.M.

Date & time of opening of Technical Bids 15.02.2017, 3:30 P.M.

Date & time of opening of Commercial Bids 21.02.2017, 3:30 P.M.

Communication details at IFCI

Mr. Pawan Kumar

General Manager,

Credit Risk Management Department,

IFCI Ltd,

IFCI Tower, 61, Nehru Place, New

Delhi- 110019

Phone: 9990725926, 011-41732192

e-mail: pawan.kumar@ifciltd.com

Ms. Shrabani Nayak

Assistant Manager,

Credit Risk Management Department,

IFCI Ltd,

IFCI Tower, 61, Nehru Place, New

Delhi- 110019

Phone: 8527497841, 011-41732149

e-mail: shrabani.nayak@ifciltd.com

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Communication details (for technical

support on participating in e-tender)

(Technical Support)

Mr. Sanjay Kumar : +91 8743042801

Mr. Tinku Singh : +91 9310335475

Nextenders (India) Pvt. Ltd.

IFCI eProcurement Help Desk

Email : support.ifci@nextenders.com

(*) IFCI reserves the right to change the dates mentioned in this document. The bidders

are advised to visit the aforesaid e-tender website on regular basis for checking

necessary updates

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CONTENT

Sl No Particulars Page No.

1 Section I- Introduction & Overview 5-6

2 Section II- General Terms & Conditions 7-13

3 Section III- Evaluation Process 14-16

4 Annexure I 17

5 Annexure II 18

6 Annexure III 19

7 Annexure IV 20

8 Annexure V 21

9 Annexure VI 22

10 Annexure VII 23

11 Annexure VIII 24

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SECTION- I

Introduction & Overview

1.1. Introduction

IFCI Ltd. having its Head Office at IFCI Tower, 61, Nehru Place, Delhi- 110019 is one of the

leading NBFCs of India having its presence throughout the country. It is an undertaking of

the Government of India & was set up in 1948 as the first Development Financial Institution

in the country. The main objective of IFCI is to provide medium and long term financial

assistance to the corporates. IFCI offers a wide range of products to the target customer

segments to satisfy their specific financial needs.

1.2. Objective & Scope of work

Stress testing is the evaluation of a NBFC’s financial position under a severe but plausible

scenario to assist in decision making. It enables a NBFC in forward looking assessment of

risks & helps senior management to understand the condition in stressed time. Moreover,

stress testing outputs are used in decision making process in terms of potential actions like

risk mitigation techniques, contingency plans, capital & liquidity management, etc in

stressed conditions.

As part of risk management practices, IFCI is in process of implementing Stress Testing

framework for Credit risk. The two categories of stress tests are Sensitivity Analysis & Scenario

Tests. Sensitivity analysis estimates the impact on IFCI’s financial position due to predefined

movements in a single risk factor. Scenario analysis is the process of forecasting the likely

outcomes of a variety of possible scenarios.

On implementation of the stress testing framework, the relevant stress shocks & scenarios

shall be tested on credit portfolio of IFCI. As there is no separate guidelines for NBFCs issued

by RBI on Stress Testing for Credit Risk, guidelines for Banks w.r.t to shocks & scenarios to be

tested may be followed by IFCI. In this regard, a tender document has been prepared, to

invite bids from bidders through an open tendering process (e-tendering) for purchase of

software/ Excel based stress testing model & services by IFCI. The contract shall be for a

period of 3 years.

The scope of the work under the tender for the contract period is as mentioned below:

i. Install framework for stress testing (sensitivity analysis & scenario analysis) of IFCI’s

loan portfolio (credit risk) with shocks specified by RBI (Shocks for sensitivity analysis

are mentioned in Annexure VII) & other shocks & scenarios as specified by IFCI.

ii. Identify principal scenarios incorporating possibility of multi-level stress, change in

portfolio composition, new information & emerging risk possibilities for scenario

analysis.

iii. Install framework that allows IFCI to build more scenarios/ shocks in future.

iv. Carry out stress testing & scenario analysis of identified factors based on last

available half-yearly results/financials of IFCI.

v. Provide procedure for setting up stress tolerance limits & process for monitoring the

same.

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vi. Provide relevant actions to be taken at the relevant stages.

vii. Provide reports (pertaining to stress testing) prescribed by RBI & carry out

modifications (if any) as & when required as per RBI directives.

viii. Other requirements if any as per RBI Guidelines on stress testing required in case of

NBFCs like IFCI.

ix. Training of staff on stress testing & support/ hand holding for undertaking the activity

for 5 working days.

x. Provide on-going support service during the contract period of 3 years.

All other activities that are necessary for the above implementation but not specifically

mentioned above.

Bidders are required to quote for either excel based framework or software solution. The

vendor may during implementation of the product visit IFCI’s Head Office during the

working hours to understand the systems.

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SECTION II

General Terms & Conditions

The terms & conditions presented are indicative in nature & not exhaustive. Bidders should

note that these conditions & the responses are expected to form the basis of the contract

between IFCI & the Bidder.

2.1. RFP Document

This RFP is intended solely to invite Techno-Commercial Bids from bidders under open

tender for purchase of stress testing model & services. This document is a Request for

Proposal from bidders to participate in the IFCI evaluation exercise.

The RFP is intended solely for the information of the party i.e. the bidder & no other person

or organization.

The RFP document is not a recommendation, offer or invitation to enter into a contract,

agreement or any other arrangement in respect of the products &/or services. The

provision of the product & services is subject to observance of selection process and

appropriate documentation being agreed between IFCI & any successful bidder as

identified by the IFCI on completion of the selection process.

2.2. Procurement of RFP Document

The RFP shall be available on IFCI’s website: www.ifciltd.com. The RPF can be downloaded

from the e-tendering section: https://ifci.etenders.in.

2.3. Amendment of RFP

At any time prior to the deadline for submission of Bids, IFCI, for any reason, may modify

the Bidding Document by amendment. The amendment will be posted on IFCI’s websites-

www.ifciltd.com & https://ifci.etenders.in. All Bidders must ensure that all

amendments/enhancements (if any) in the RFP have been considered by them before

submitting the bid. IFCI will not have any responsibility in case some omission is done by

any bidder. The bidders are advised to visit the aforesaid website on regular basis for

checking necessary updates.

2.4. Language of Bid

The bid prepared by the Bidders, as well as all correspondence, supporting documents

printed literature relating to the Bid & proposed to be exchanged by the Bidder & IFCI shall

be written in English.

2.5. Period of Validity of Bids

Prices & other terms offered by Bidders must be valid for a period of 3 months from the

date of opening of Commercial Bid. In exceptional circumstances IFCI may solicit the

Bidders consent for extension of the period of validity. The request & response thereto shall

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be made in writing. The Bid security provided shall also be extended in such

circumstances.

2.6. Formats of Bid

The bidders should use the formats prescribed by IFCI (in the RFP & the e-tendering site) for

submitting pre-qualification eligibility, technical, commercial bids & other undertakings.

The bid shall be rejected if it is not submitted in the prescribed format.

2.7. Tender Fee

The Bidders shall furnish, as part of its Bid, the tender fee (non-refundable) in the form of

Banker’s Cheque/ Demand Draft of Rs.5,000/-, issued by a Scheduled Commercial Bank,

drawn in favour of IFCI Limited payable at Delhi & valid for a period of 3 months. Tender

fee has to be submitted along with the hard copy of bid & associated documents.

2.8. Bid Security – Earnest Money Deposit (E.M.D)

The Bidders shall furnish, as part of its Bid, the Bid security (refundable & interest free) in the

form of Banker’s Cheque/ Demand Draft of Rs.50,000/-, issued by a Scheduled

Commercial Bank, drawn in favour of IFCI Limited payable at Delhi & valid for a period of

3 months.

i. Any bid received without EMD & not in the prescribed format & manner shall not be

considered.

ii. Request for exemption from Bid security will not be entertained.

iii. The EMD amount of all unsuccessful bidders would be refunded on completion of the

tendering process.

iv. The EMD amount to the successful bidder will be refunded after execution of

agreement/ contract.

v. The bid security may be forfeited:

If a Bidder withdraws its bids during the period of bid validity

If a Bidder makes any statement or encloses any form which turns out to be

false/incorrect at any time prior to signing of the contract

In case of successful Bidder, if the Bidder fails to Sign the contract.

The bid security has to be submitted along with the hard copy of bid & associated

documents.

2.9. Submission of bids

I. Bidders who wish to participate in this tender will have to register online

https://ifci.etenders.in. To participate in the e-tendering process, bidders will have to

procure Digital Signature Certificate (Type-II or Type-III from the list of supporting E

Tokens given on the same website) as per information Technology Act-2000 by the use

of which they can sign their electronic bids. Bidders can also procure the same from

any CCA approved certifying agency etc. Bidders who already have a valid Digital

Certificate (from the list of supporting E Tokens given on the same website) do not need

to procure a new Digital Certificate. The bidders are requested to read carefully the

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user manual available on website https://ifci.etenders.in before initiating the process of

E-Tendering.

II. The online bid will have to be digitally signed and submitted within the time specified

on website https://ifci.etenders.in the following manner:-

Bidders shall submit their offers online in an electronic format for ‘Pre-qualification

eligibility’’, ‘’Technical’’ & ‘’Commercial’’ Bid & upload all the required documents

& undertakings (as per the format prescribed in the RFP)

Before electronically submitting the tenders, it should be ensured that all the tender

papers are signed by the bidders.

If the online submission does not include all the information required or is

incomplete, the proposal is liable to be rejected

Bids submitted by Fax or E-mail or any form other than mentioned above will not be

acceptable and liable for rejection by IFCI

The evaluation of the bid will be based only on the documents uploaded online on

e-Tendering portal https://ifci.etenders.in

III. Tender fee and Bid security (in the form of Demand Draft/Banker's Cheque

addressed to IFCI Ltd, Payable at New Delhi), to be submitted along with a hard

copy of Bids by the bidders.

IV. The bidders are requested to submit their bids prior to last date of submission to avoid

non submission of their bids due to non-availability of/hanging of website in last

moments or any reason whatsoever.

V. Neither IFCI nor the E-Tendering service provider shall be responsible for any issues

such as internet connectivity or internet browser etc. The last date of submission of

bids will not be extended if system is hung up at the last hours or congestion due to

internet at the end of the bidders at the time of filling of tender. IFCI reserves the right

to reject all or any tender wholly or partly without assigning any reason whatsoever.

VI. The bidder submitting the proposal in response to RFP, shall hereinafter be referred

to as ‘’Vendor”. IFCI will not be liable for any costs incurred by the bidder in the

preparation of the response to this RFP.

VII. Along with online submission of the bids, the bidders are also required to submit the

hard copies of the bids along with the other required documents. The bid documents

should contain duly filled in one pre-qualification eligibility sheet, one Technical Bid

& one Commercial Bid (to be kept in separate sealed envelopes) in the formats

prescribed by IFCI super scribing ‘’Pre-Qualification Eligibility for Stress Testing model:

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Bid Reference No. XXX’’, “Technical bid for Credit Risk Stress Testing model: Bid

Reference No. XXX” & “Commercial bid for Credit Risk Stress Testing Model: Bid

Reference No. XXX”.

The cheque/ Demand Drafts w.r.t tender fee & E.M.D & the undertakings/information

mentioned in Annexure I, II, III & IV are to be put in the envelope containing the pre-

qualification eligibility sheet. These 3 separate sealed envelopes should be put

together in another sealed envelope super scribing with “Bids for Credit Risk Stress

Testing Model: Bid Reference No. XXX”. The supporting documents wherever

required shall be furnished by the bidder along with the bid. IFCI shall not entertain

any document separately from the bidders.

The bids complete in all respect should reach The General Manager, Credit Risk

Management Department (CRMD), 7th Floor, IFCI Ltd, IFCI Tower, at 61, Nehru Place,

New Delhi- 110019 within the due date & time.

VIII. The bids should have the name of the bidder, authorised signature, seal, bid reference

number & date on all the pages of the bid formats, all the supporting documents &

undertakings for offline submission & on all documents required to be uploaded for

online submission.

IX. Last date & time of Bid Submission: 14.02.2017; 5:30 P.M.

X. IFCI shall not entertain any bids after the specified date & time. IFCI shall not be

responsible for non-receipt of Bid within the specified date & time due to any reason.

IFCI may, at its discretion, extend the deadline for submission of Bids by amending the

Bid Documents, in which case, all rights & obligations applicable to IFCI & Bidders will

be applicable for the extended period also.

2.10. Request for Information

All queries/clarifications relating to the bid, technical or otherwise must be addressed only

to shrabani.nayak@ifciltd.com as per the schedule indicated below:

Sl. No Section No. Clause No. Reference/ Subject Clarification Sought

No queries shall be entertained after 28.01.2017. The queries not adhering to the above

format shall not be responded.

IFCI will respond in writing, to any request for clarification queries on the RFP, received not

later than the dates prescribed in Key events & dates. IFCI at its discretion may send the

clarifications (including the query but without identifying the source of inquiry) to all

prospective Bidders.

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2.11. Opening of Bids

The technical bids of the bidders will be opened in the presence of bidders’

representatives who choose to attend the opening of bid on the scheduled date. The

commercial bids of the bidders who qualify under the minimum marks of the technical

evaluation will be opened in the presence of bidders’ representatives who choose to

attend on the scheduled date.

2.12. Rejection of Bid

i. Pre-Qualification Rejection Criteria

If the information provided by the Bidder is found to be incorrect / misleading

statement & deliberately suppressed the information in the forms, Statements &

enclosures at any stage / time during the Tendering Process.

Any effort on the part of a Bidder to influence the bid evaluation, bid comparison or

contract award decisions.

Bids received by IFCI after the last date & time prescribed for receipt of bids.

ii. Technical Bid Rejection Criteria

Technical Bid containing commercial details.

Revelation of Prices in any form or by any reason before opening the Commercial

Bid.

Failure to furnish all information required by the RFP Document or submission of a bid

not substantially responsive to the Tender Document in every respect.

Bidders not quoting for the complete scope of Work as indicated in the Tender

documents, addendum (if any) & any subsequent information given to the Bidder.

Bidder’s not complying with the Technical & other Terms & conditions as stated in the

RFP Documents.

If the bid does not confirm to the timelines indicated in the bid.

Bid is not presented/ or submitted in the format or in the mode prescribed by IFCI.

iii. Commercial Bid Rejection Criteria

Incomplete Price Bid.

Price Bids that do not confirm to the Tender’s price bid format or submitted in the

mode (physical as well as electronic).

Any conditional bid.

2.13. General Instructions to the Bidder

i. The Bidder is expected to examine all instructions, forms, terms & specifications in the

bidding documents. Failure to furnish all information required by the bidding

documents may result in the rejection of its bid & will be at the bidder's own risk.

ii. All costs & expenses incurred by bidders in any way associated with the development,

preparation, & submission of responses, including but not limited to the attendance at

meetings, discussions, demonstrations, etc. & providing any additional information

required by IFCI, will be borne entirely & exclusively by the bidders.

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iii. No binding legal relationship will exist between any of the respondents & IFCI until

execution of a contractual agreement.

iv. Each bidder acknowledges & accepts that IFCI may in its absolute discretion apply

selection criteria specified in the document for evaluation of proposals for short listing

/ selecting the eligible vendor(s).

v. IFCI may, in its absolute discretion, engage in any discussion, seek additional

information or material from any bidders after the RFP closes & all such information &

material provided must be taken to form part of that respondent’s response.

vi. Bidders should provide details of their contact person, telephone, fax, email & full

address to ensure that replies to RFP could be conveyed promptly.

vii. All entries in the bid shall either be typed or be in ink. Erasures without proper

attestation by the Authorised signatory of the bidder shall render such bid for rejection.

All cancellation & insertions shall be duly attested. If there is discrepancy between

words & figures in the commercial bid, the amount in words shall be accepted.

viii. If IFCI, in its absolute discretion, deems that the originator of the question will gain an

advantage by a response to a question, then IFCI reserves the right to communicate

such response to all respondents.

ix. Queries / Clarification if any, may be taken up with the contact person/s (of IFCI)

detailed in the RFP before the deadline specified between 9.30 am to 5.30 pm on

working days.

x. IFCI will notify all short-listed bidders in writing or by mail or by uploading in its website

as soon as possible about the outcome of their RFP. IFCI is not obliged to provide any

reasons for any such acceptance or rejection.

xi. IFCI reserves the right to ascertain information from the banks & other institutions to

which the bidders have rendered their services for execution of similar projects.

2.14. Termination & Penalty Clause

i. IFCI reserves its right to terminate the contract partially or fully in the event of one or

more of the following situations:

Bidder fails to complete the project within the stipulated time as per contract or

within any extension thereof granted by IFCI.

Bidder fails to perform any other obligation(s) under the contract.

However either party, in the case of termination, will give 3 months’ notice to the

other party.

ii. IFCI may, at any time terminate the contract by giving written notice to the vendor if

the vendor becomes bankrupt or otherwise insolvent. In this event, termination will be

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without compensation to the vendor, provided that such termination will not prejudice

or affect any right of action or remedy which has accrued or will accrue thereafter to

IFCI.

iii. Penalty will be charged as 2% of the total project cost per week of delay in project

completion with a maximum of 10% of the project cost. If the delay exceeds 2 weeks,

contract / Order may be cancelled & IFCI may claim entire advance amount with

interest from the vendor with additional 10% of the project cost as penalty. Penalty will

also be applicable for delay in resolving of problem during the contract period of 3

years. Any problem reported to the vendor is to be resolved within 7 days of 1st

reporting. Penalty will be charged at 1% of the total Project cost for per day delay in

trouble shooting with a maximum of 10% of the total project cost. In no circumstances

delay in a single incident should not be more than 7 days. In that case IFCI may cancel

the order & claim entire amount paid to the vendor.

2.15. Arbitration

In the event of a dispute or difference of any nature whatsoever between IFCI & the

bidder during the course of the bid process arising as a result of this RFP, the same shall

settled through the process of arbitration conducted by a Board of Arbitration. This Board

shall be constituted prior to the commencement of the arbitration & will comprise of two

arbitrators & an umpire. IFCI & Bidder shall nominate an arbitrator each to the Board &

these arbitrators shall appoint the umpire. Arbitration shall be carried out at IFCI's office

that placed the order. The provisions of Indian Arbitration Act 1996 shall apply to the

Arbitration proceeding.

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SECTION- III

Evaluation Process

Setting of evaluation criteria for selection purposes shall be entirely at the sole discretion

of IFCI. IFCI’s decision w.r.t. selection of the successful bidder based on the evaluation

criteria shall be final & binding on all the bidders. IFCI shall not entertain any

correspondence in this regard. Incomplete bids, conditional bids, bids not conforming to

the terms & conditions are liable for rejection by IFCI.

IFCI reserves the right to accept or reject any/all bids in whole or in parts without assigning

any reason thereof. Any time during the process of evaluation, IFCI may seek specific

clarification from any or all bidders. IFCI may add/remove any relevant criteria for

evaluating the proposals received in response to this RFP at the sole discretion &

determination of IFCI.

The formats for pre-qualification criteria, technical & commercial bid containing the

evaluation parameters is provided in Annexure V, VI & VIII respectively.

3.1. Pre-qualification criteria

The criteria of pre-qualification eligibility is mentioned in Annexure V.

3.2. Techno- Commercial Evaluation Process

The evaluation/selection process will be done with combination of, technical

competence and commercial aspect. A comprehensive “Score” will be arrived at after

the technical evaluation & commercial evaluation with relative weights of 70% for

technical criteria & 30% for commercial criteria.

The bidder with the highest score will be declared successful.

3.3. Technical Bid Evaluations

Bidder’s qualifying in pre-qualification evaluation will be technically evaluated. A

maximum of 100 marks shall be allocated for the technical evaluation with individual marks

allotted for each parameter fixed by IFCI for technical evaluation. The minimum marks to

be scored in technical evaluation to be eligible for commercial bid evaluation is 50 marks

out of 100.

The parameters of technical bid evaluation are mentioned in Annexure VI.

3.4. Commercial Bid Evaluation

Bids of only those bidders shall be evaluated who score a minimum of 50 marks in the

technical evaluation. The bidder shall provide the price quote for 3 years i.e. the entire

contract period & inclusive of the scope of the work as per the commercial bid format

provided in the Annexure VIII.

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Price should be mentioned in Indian Rupees. No additional out of pocket expenses or for

any other matter any other expenses shall be admissible /payable by IFCI. In order to assist

in the examination, evaluation & comparison of Bids, IFCI may at its discretion ask Bidder’s

for a clarification regarding its Bid. The clarification shall be given in writing immediately,

but no change in the price shall be sought, offered or permitted. However, while giving a

clarification, a Bidder may offer a higher specification or model without any impact on

commercial bid.

3.5. Techno-Commercial Evaluation Process

The Scoring methodology adopted will be as under:

C: stands for commercial bid price of the bidder;

C low: stands for the lowest commercial bid price amongst all bidders;

T: stands for technical evaluation score of the bidder.

T High: stands for maximum technical evaluation score obtained by any bidder.

Sample Example:

Sl.

No.

Bidder Technical

Score (T)

Commercial

Bid Price (C)

(T/ T High )*

0.70

(C low / C )*

0.30

Score

(S)

1. X 80 60 0.842*0.70 =

0.589

1.00 *0.30 =

0.30

.889

2. Y 95 71 1.00* 0.70 =

0.70

0.845* 0.30 =

0.253

.953

In the above example, C low is 60 and T high is 95. In the above example, Y, with the

highest score becomes the successful bidder.

Highest scores so obtained using the above method shall be declared L-1. In case of tie-

up in Techno-Commercial evaluation score, the Bidder scoring higher technical score will

be declared L-1 Bidder.

3.6. Notification to Bidder

IFCI shall notify the successful Bidder in writing that bid has been accepted along with the

contract terms & conditions. The Bidder shall acknowledge in writing his acceptance

within Five (5) days of receiving the notification.

3.7. Award of Contract

The notification of the award of contract by IFCI & acceptance of the award by selected

Bidder shall constitute signing of the agreement. The signing of agreement will amount to

award of contract & bidder will initiate the execution of the work as specified in the

agreement. Bidder has to provide details of single point of contact viz. designation,

address, email address, telephone /mobile No.

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If L1 Vendor fails to accept the contract or execute the order, IFCI will be free to award

the contract to L2 Vendor provided L2 matches L1’s price & if L2 does not agree, it will be

awarded to L3 subject to L3 matching L1’s price & in that order.

3.8. Delivery & Implementation Schedule

Software/ product Implementation 4 weeks from date of signing of contract

Carry out Stress test & scenario analysis of

based on last available results/financials.

4 weeks from the date of software

implementation

Training of staff members 4 weeks from the date of signing of

contract

Maintenance & Support Services On-going for a period of 3 years

3.9. Payment Terms

a) 50% of the total project cost as first payment which shall be released on the installation

of the software & providing training to IFCI staff.

b) 50% of the project cost after the carrying out of stress test & scenario analysis, of based

on last available results/financials & training of the staff members by the vendor.

IFCI shall make the payment (after deduction of applicable TDS) due to the bidder within

30 days on raising of invoice by the vendor, on being satisfied of the milestone based

performance,

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Annexure I

Bidders General Information

Sl No. Information Required Information to be filled by Bidder

1 Name

2 Date of Incorporation

3 Legal Status- Pub Ltd/ Pvt. Ltd./ Firm

4 Registration No. & date of Registration

(Copy of Registration Certificate to be

submitted)

5 Name of Directors/ Partners as applicable

6 Address of the Directors/ Partners

7 Bidders Registered Office

8 Bidders Head Office

9 PAN No. & Service Tax no.

10 Contact Details of Bidder

FY2014

(Aud)

FY2015

(Aud)

FY2016

(Aud)

11 Total Turnover (Rs. in crore)

12 Net Profit (Rs. in Crore)

Name of Bidder:

Authorised signature of bidder:

Designation:

Seal:

Date:

Bid Reference No:

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Annexure II

Letter authorizing representing executive(s)

(To be submitted on Bidder’s letter head)

Ref: IFCI Tender No. ______________________

<Name>, <Designation> is hereby authorized to attend meetings & submit pre

qualification information, undertakings, technical & commercial information as may be

required by you in the course of processing the above said Bid.

For the purpose of validation, his/ her verified signature is as under. We undertake to abide

by any acceptance given by him under his signature.

Name of Bidder:

Seal:

Date:

Place:

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Annexure III

Acceptance to Terms & Conditions & Scope of Work

(To be submitted on Bidder’s letter head)

To

General Manager (CRMD)

IFCI Limited,

IFCI Tower, 61 Nehru Place, New Delhi – 110019.

Dear Madam/Sir,

Ref: IFCI Tender No. ______________________

With reference to the above RFP, having examined & understood the scope of work,

instructions & terms & conditions forming part of the RFP, we hereby enclose our offer as

detailed in your above referred RFP.

We further confirm that the offer is in conformity with the terms & conditions& the entire

scope of work as mentioned in the RFP & all required information.

We understand that IFCI is not bound to accept the offer either in part or in full & that IFCI

has right to reject the offer in full or in part without assigning any reasons whatsoever.

Yours faithfully,

Name of Bidder:

Name & Signature of Authorised signature of bidder:

Designation:

Seal:

Date:

Place:

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Annexure IV

Confidentially Agreement

(To be submitted on Bidder’s letter head)

Ref: IFCI Tender No. ______________________

The undersigned, a duly authorized officer of

________________________________________________, does hereby represent, warrant

& agree to the following statement:

Subject to confidentiality exclusions, all financial, statistical, personal, technical or other

data or programs & information relating to the IFCI’s operation which are designated

confidential by IFCI & made available to the undersigned shall be protected by the

undersigned from unauthorized use & disclosure.

Name of Bidder:

Name & Signature of Authorised signature of bidder:

Designation:

Seal:

Date:

Place:

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Annexure V

Pre- Qualification Eligibility Criteria

Sl.

No. Description

Bidder

Compliance

Details of

Proof *

1 The Lead bidder or its parent (as applicable) must be

registered in India Yes/ No

2

The prospective bidder should not be on the list of

Defaulting Contractors of the Government of India or

of IFCI or of any Statutory Government Corporation or

Board.

Yes/ No

Self-

Declaration

to be

submitted

in bidder’s

letter head

3

The bidder should own the intellectual property rights

of the product/ solution or should have rights from the

owner. If not , the bidder should have in place proper

tie-ups , commercial agreements , authorized

implementation partnership, etc. for

deployment/resale/customization of software with

the product System Integrator or any other third party

, whose software products / consultancy services are

offered.

Yes/ No

4

The bidder should have experience of at least 1

successfully implementing credit risk stress testing

solution in any Bank/FI.

Yes/ No Copy of

work order

Documentary Evidence for compliance to each of the eligibility criteria must be submitted

along with the bid together. Undertaking for subsequent submission of any of the required

document will not be entertained under any circumstances. However, IFCI Ltd. reserves

the right to seek clarifications on the already submitted documents.

* Mention the name of the documentary evidence provided.

Name of Bidder:

Name & Signature of Authorised signature of bidder:

Designation:

Seal:

Date:

Place:

22

Annexure VI

Technical Bid Format

Sl

No. Technical Parameters

Evaluation Criteria &

Maximum marks

Bidder’s

comments

1.

Name the Banks/FIs (operating in India)

where the bidder has provided credit risk

stress testing model.

Banks/FIs for which supporting

documents are not provided shall not be

considered for evaluation

>5 Banks/FIs 50

2-5 Banks/FIs 30

1-2 Banks/FIs 20

< 1 year 0

Maximum Marks= 50

Provide

Name of

banks/ FIs

& the

documents

provided.

2.

The system should be flexible enough to

change the percentages of severity

levels in a given scenario / shock.

S 25

C 15

U 0

Maximum Marks= 25

S/C/U

3.

The stress testing/ scenario analysis

system should be able to access the

impact of micro-economic factors as

well as IFCI specific factors on IFCI’s

financial performance.

S 25

C 15

U 0

Maximum Marks= 25

S/C/U

TOTAL Marks 100

S: Standard feature of the product.

C: Customisation required

U: Unavailable (cannot be provided in the product)

Name of Bidder:

Authorised signature of bidder:

Designation:

Seal:

Date:

Bid Reference No:

23

Annexure VII

List of shocks for credit risk prescribed by RBI for Sensitivity Analysis of Stress Testing

Sl

No

Shocks Shock Severity

1. Increase in NPAs and simultaneously

increase in rate of provision

- Net NPA increase and simultaneous

increase in rate of provisioning to 1% for

Standard Loans, 30% for Sub-Std. Loans

and100% for doubtful loans.

Baseline 50%

Medium 100%

Severe 150%

2. Increase in NPA in Top Five Industries.

Additional 3 and 5 percentage point

increase in Net NPAs

Baseline 3%

Medium 5%

3. Increase in NPA in Specific Sectors

Baseline 3%

Medium 5%

4. Slippage of Restructured Standard Assets

Additional Slippage in standard restructured

assets

Baseline 20%

Medium 30%

Severe 40%

5. Depletion in value of collateral Baseline 10%

Medium 15%

Severe 20%

6. Downgrade in counter-party rating

Uniform Downgrade of borrowers by one

notch across all rating grades

Baseline 5%

Medium 10%

Severe 20%

7. Concentration Risk – Default

by Individual borrowers

Baseline Top borrower

Medium Top 2 borrowers

Severe Top 5 borrowers

8. Concentration Risk – Group

Default by largest group

borrower

Baseline Default by top 3

companies- members

of group

Medium Default by top 3

companies- members

of group

Severe Default by all

companies- members

of group

9. Concentration Risk –Industries/Sectors Baseline Default in top most

industry

Medium Default in top 3

industries

Severe Default in top 5

industries

24

Annexure VIII

Commercial Bid Format

Particulars Price (Excluding taxes)

Total amount of

applicable tax

(Tax rates & type of taxes

to be mentioned ) Total price

A B C (A + B)

Price of the project

(in figures)

Price of the project

(in words)

Name of Bidder:

Name & Signature of Authorised signatory of bidder:

Designation:

Seal:

Date:

Bid Reference No: