Financial Negotiation and Techniques
BACKGROUND
A country’s negotiating capacity has a direct bearing on the terms, conditions and cost of borrowing. Through adequate preparation and appropriate negotiation skills and strategies, governments can effectively influence the outcome of loan agreements. This requires putting in place negotiation teams that have the necessary competencies for effective negotiation. Effective negotiation is based on understanding the other side’s strengths, weaknesses and needs. It aims to ensure a win-win situation which meets the legitimate interests of each party to the extent possible as well as building relationships. This understanding is partly enhanced by conducting thorough research before the negotiation takes place. However, governments in developing countries face the challenge of ensuring the appropriate mix of skills to undertake effective negotiations. It is therefore imperative to train officials on loan negotiation techniques and strategies taking into account the dynamics of the financing landscape.
This E-learning course will provide an opportunity for officials to be exposed to the concepts of negotiation, international negotiation practices, practical negotiations skills and key considerations in negotiating loan agreements.
OBJECTIVES
The objectives of this course are to:
a. Equip participants with practical skills to negotiate debt instruments.
b. Create awareness on various financing options available for development.
c. To assist officials to effectively participate in loan negotiations and obtain favourable funding terms for their governments.
CONTENT
The course will cover the following topics:
1. Introduction: Loan cycle
2. Negotiation theory and practice
3. Evaluating sources of financing and donor and government procedures
4. Anatomy of project and legal agreements
5. Loan/financial negotiation basics
TARGET GROUP
The course is targeted at middle to senior level officials responsible for financial negotiations in Central Banks, Ministries of Finance, Planning, and Justice or Attorney General’s Chambers.
