mefmi · mefmi dmfas 5.3 training guide by denis elton barigye ministry of finance, planning &...

MEFMI

DMFAS 5.3 TRAINING GUIDE

BY

DENIS ELTON BARIGYE MINISTRY OF FINANCE, PLANNING & ECONOMIC

DEVELOPMENT UGANDA

MENTORED BY Ms MARIA CECILIA CALIGIURI

A TRAINING GUIDE SUBMITTED IN PARTIAL FULFILLMENT OF

THE AWARD OF MEFMI FELLOWSHIP

OCTOBER 2009

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TABLE OF CONTENTS

ABBREVIATIONS….……………………………………………………………………………... 4

ABOUT PUBLIC DEBT MANAGEMENT ....................................................................................... 5

ABOUT DMFAS ................................................................................................................................ 6

1: GENERAL NOTES FOR THE TRAINER ................................................................................. 7

1.1.INTRODUCTION ...................................................................................................................... 7

1.2TRAINING METHODOLOGY .................................................................................................. 8

1.3. DRAFT OUTLINE FOR THE WORKSHOP ........................................................................ .11 1.3.1. OBJECTIVES ................................................................................................................... 11 1.3.2. OUTPUTS ......................................................................................................................... 11 1.3.3. TARGET GROUPS .......................................................................................................... 11 1.3.4. RECOMMENDED PREREQUISITES FOR THE WORKSHOP ................................... 12 1.3.5. OUTLINE OF THE WORKSHOP ................................................................................... 12 1.3.6. DURATION ...................................................................................................................... 14 1.3.7. WHAT THIS WORKSHOP IS/IS NOT ........................................................................... 14 1.3.8. LOGISTICS ...................................................................................................................... 15

2. WORKSHOP ACTIVITIES ....................................................................................................... 19

2.1. INTRODUCTION/COUNTRY PRESENTATION/S ............................................................. 19 2.1.1. CEREMONIAL SESSION................................................................................................ 19 2.1.2. PRESENTATION OF OBJECTIVES AND OUTLINE OF THE WORKSHOP ........... 19 2.1.3. PARTICIPANTS’ INTRODUCTIONS ............................................................................ 19

2.1.4. PARTICIPANTS EXPECTATIONS……… ………………………………………... 20

2.2. MODULE 1 INTRODUCTION TO DMFAS ....................................................................................... 21 2.2.1. DMFAS OVERVIEW ....................................................................................................... 21 2.2.2. DMFAS CONFIGURATION,MENU & REFERENCE FILES ....................................... 22

2.3 MODULE 2 REGISTERING AGREEMENTS……………………………………………..23 2.3.1 REGISTERING LOANS………………………………………………………………23 2.3.2 REGISTERING BONDS………………………………………………………………25 2.3.3 AMORTISATION TABLE, REVOLVING CREDITS, LOCAL GOVERNMENT….27 2.3.4 REGISTERING GRANTS & ONLENT LOANS…………………………………… 27

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2.4 MODULE 3 MOBILISING FUNDS……………………………………….….…….. .…... .28 2.5 MODULE 4 DEBT SERVICE…………………………………………………………… ….29 2.6 MODULE 5 DMFAS REPORTS………………………………… .. ……… .......................30 2.7 MODULE 6 DMFAS ANALYSIS FUNCTIONS……………………………………… ……. . 32 2.8 MODULE 7 DMFAS SUPPORT FUNCTIONS……………………………………………..33

2.9.CLOSING CEREMONY ............................................................................................................ 34 2.9.1. COURSE EVALUATION ................................................................................................ 34 2.9.2. CLOSING REMARKS: PARTICIPANTS REPRESENTATIVES ................................. 34

2.9.3 CLOSING REMARKS: FACILITATORS…………………………………….….……..34 2.9.4 CLOSING REMARKS: SPONSORS……………………….………………..………….34

3. AFTER THE TRAINING COURSE ................................................................................... 35

4. REFERENCE …………………………………………………………………………………...36 4. ANNEXES………………………………………………………………………………………..

ANNEX 1. DMFAS Training Modules 1-7 ………………………………………………………… ANNEX 11. Tutorial A……………………………………………………………………………… ANNEX 111. Loan Agreement …………………………………………………………………….. ANNEX 1V. ADF Disbursement Schedule…………………………………………………………

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ABBREVIATIONS

DMFAS Debt Management and Financial Analysis System

MEFMI Macroeconomic and Financial Management Institute of Eastern and Southern Africa UNCTAD United Nations Conference on Trade & Development CSDRMS Common Wealth Secretariat Debt Recording & Management System. HIPC Heavily Indebted Poor Countries PV Present Value DSM Debt Sustainability Model IBRD International Bank for Reconstruction and Development IMF International Monetary Fund IDA International Development Association ADF African Development Fund DBA Database Administrator SDR Special Drawing Rights SQL Structured Query Language

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ABOUT PUBLIC DEBT MANAGEMENT

Sovereign debt management is the process of establishing and executing a strategy for managing the government's debt in order to raise the required amount of funding, achieve its risk and cost objectives, and to meet any other sovereign debt management goals the government may have set. Prudent debt management calls for an accurate and comprehensive management information system with proper safeguards. The need for accurate debt data was more apparent during the Highly Indebted poor Countries (HIPC) Period. Debt data was a hindrance to the progress of the delivery of relief especially when it came to accurately determining the levels of relief and assessing the progress and gains made under the initiative. Governments have since grown acutely aware of the need for maintaining a comprehensive, accurate and up-to date debt databases. For example all the 13 member states of MEFMI have installed debt databases particularly DMFAS and CSDRMS. Five member states have installed DMFAS in their respective debt management units. Therefore there is a need to give a high priority to developing accurate debt recording and reporting systems. This involves installation of the system and comprehensive training of users.

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The Debt Management & Financial Analysis system (DMFAS) is software that can be used for recording, monitoring and analysing purposes. It can be used to manage both external & domestic public debt (loans& securities) whether it’s short, medium or long term debt. It can also be used for private debt, grants and on-lent loans.

DMFAS 5.3 training is intended to build capacity of public debt managers in the Ministry of

Finance and /or Central Bank so as to produce accurate, up-to-date debt data for reporting and analysis purposes. The trained debt managers would be able to use DMFAS software to develop a debt database containing detailed and aggregated data on loan contracts, bonds & grants, real operations (disbursements & debt service) as well as future operations.

This training is a complete package with contextual material, tutorials, tools to be used and related

material. The training is majorly on the use of the software. The output of the training will be highly trained DMFAS users. The outcome of this set of

activities will be an accurate, up-to-date debt database. It is recommended that this training be held for 3 weeks and should be carried out by 2-3

presenters/facilitators. These should not only be general debt management experts or DMFAS trainers. In addition, they should be conversant with the issues relating to debt statistics and abreast of the latest issues in this area. Local support presenters/ facilitators are useful but in some cases difficult to find, as these may not have the necessary background and/or experience. There will be local presentations from participants, however. These will vary, depending on the countries and institutions involved.

The target group for the training is primarily new & existing DMFAS users. This training takes

into consideration the experienced users who require a deeper understating of DMFAS. This training is highly recommended for first time users of the system.

ABOUT DMFAS 5.3 TRAINING

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1: GENERAL NOTES FOR THE TRAINER 1.1. INTRODUCTION This Trainer’s Guide has been developed to support the trainers in delivering the Debt Management-DMFAS 5.3 version. This training guide is intended to assist DMFAS trainers to deliver a comprehensive training to both first time users and experienced users of DMFAS so as to improve their capacity to manage debt. It explains how to use DMFAS to manage debt and other financial instruments throughout all phases of their life cycle. These phases include registration, mobilization of funds, debt service operations, statistics and reporting It is not prescriptive; the intention is that it should be used only as a guide, and the materials can be used with some degree of flexibility and adapted, as necessary. The trainer brings to the course a unique style of training as well as particular experience in debt management. The trainer can expand/tailor the modules attached to his/her own style and expertise and to local needs. The important point that needs to be transmitted, however, is the logic and flow of the exercise. To effectively train participants, this training guide is structured in a modular form systematically arranged to follow the life cycle of debt/grants. This training guide is divided into seven Modules: Module 1 Introduction to DMFAS Module 2 Registering agreements. Module 3 Mobilizing Funds. Module 4 Debt service operations. Module 5 Generating Reports Module 6 DMFAS Analysis Functions. Module 7 Support functions.

These modules are attached to this guide. A tutorial on a multi currency loan is also attached. Participants should be able to refer to this tutorial at the end of each module, and they should test their capabilities by entering the loans going through up to reporting and analysis. The attached modules will be useful in the following situations:

Participants will use it to review the subjects after training. It will allow the participants to concentrate on and partake in the training during the training session

instead of taking detailed notes. They will serve as a reference documents in the debt offices.

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1.2. TRAINING METHODOLOGY The DMFAS version 5.3 training is to be delivered by highly experienced debt management advisers with extensive practical experience of working with countries to implement DMFAS through building comprehensive debt databases. This training package is designed to be highly practical, addressing real issues through classroom training, individual exercises, case studies and working group discussions not just presentations. Encouraging participants to share their experiences, opinion and input should be stressed. The training is divided into different sessions, each which will involve different levels of participation. The modules covering the life cycle of the loans and securities will involve the trainer presentations. However, even in these cases, participants should be encouraged to participate; for example, by asking them to comment on the material presented or are seeking their experiences in areas presented. Ice Breakers and Energisers In addition, energisers and icebreakers should be used as some topics can be very detailed/tiring/exhausting, and participants may want a digression from 3 weeks of DMFAS training. The following should be noted on icebreakers and energisers: These can be effectively used to get participants talking, interested, attentive, relaxed, etc.

They work best when they are simple, not too personal and are not embarrassing.

They can be doubly useful when directly related to the subject. For example, asking officials to

describe the personality of their debt office in terms of certain characteristics: animal for a logo, car it would drive, hobby, and place/town it would live in. This gives useful information on how the official/s perceives themselves and the office in which they work.

These should be situation and culture specific, however. For example, an energiser, which required

men and women holding hands, may not be accepted in some cultures. Chocolates or other small gifts can be used as incentives/rewards/encouragements for participants

who answer questions correctly. Section 3: Hand on Training on the system. This section may be quite long, intensive and exhausting. A few approaches to make the session easier and more interesting to the participants are presented below: Presenters explain the details of the system

Divide participants into groups of 2-3 and ask them to test them selves on the system. You can

prompt by asking questions. Use energisers, as required.

The presenter/s will of course bring their own approaches and experience to these situations. In addition, you may consult material on energisers and icebreakers.

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Quotable quotes:

‘People retain:

20 percent of what they hear 30 percent of what they see 50 percent of what they see and hear 70 percent of what they see, hear, and say (e.g. discuss, explain to others) 90 percent of what they see, hear, say, and do’

Arnold et al. (1991)

Training principles:

‘Participants learn best when... The role of the trainer is to...

They feel valued and respected for the experiences and perspectives they bring to the training situation

Elicit participants' experiences and perspectives

The learning experience is active and not passive

Actively engage participants in their learning experience

The learning experience actually fills their immediate needs

Identify participants' needs and tie training concepts into these identified needs

They accept responsibility for their own learning

Make sure that training content and skills are directly relevant to participants' experiences so that they will want to learn

Their learning is self-directed and meaningful to them

Involve participants in deciding on the content and skills that will be covered during the training

Their learning experience addresses ideas, feelings, and actions

Use multiple training methods that address knowledge, attitudes, and skills

New material is related to what participants already know

Use training methods that enable participants to establish this relationship and integration of new material

Participants learn best when... The role of the trainer is to...

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The learning environment is conducive to learning

Take measures to ensure that the physical and social environment (training space) is safe, comfortable, and enjoyable

Learning is reinforced Use training methods that allow participants to practice new skills and ensure prompt, reinforcing feedback

Learning is applied immediately Provide opportunities for participants to apply the new information and skills they have learned

Learning occurs in small groups Use training methods that encourage participants to explore feelings, attitudes, and skills with other learners

The trainer values their contributions as both a learner and a teacher

Encourage participants to share their expertise and experiences with others’

Source: U.S. National Cancer Institute: Trainer’s guide for Cancer Education

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1.3. DRAFT OUTLINE FOR THE TRAINING The draft outline of the training and related details is attached below 1.3.1. OBJECTIVES

To Train System Users In DMFAS Countries on DMFAS 5.3 To Develop A Pool Of Experts in The use of The Tool To Impact Skills On how To Conduct Training on DMFAS To Train Participants on the Various Types of Instruments.

1.3.2. OUTPUTS

Highly Trained DMFAS Users 1.3.3. TARGET GROUPS

LOWER TO MIDDLE LEVEL OFFICIALS DEALING WITH PUBLIC EBT

MANAGEMENT. As these would be directly involved in debt recording into the system.

THOSE WITH SOME FAMILIARITY ON THE USE OF DMFAS FOR REPORTING PURPOSES, as these may be required to support the production of the debt statistical bulletin/s.

SENIOR/MID-LEVEL OFFICIALS WHO USE DEBT INFORMATION, in order to develop appreciation of the different types of reports and classifications use in producing debt reports, and who can influence the production and dissemination of debt reports.

NEW SYSTEM USERS. This covers new cadres in the debt offices who haven’t used the

system before.

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1.3.4. RECOMMENDED PREREQUISITES FOR THE TRAINING

The recommended prerequisites for this workshop are:

A debt database for an imaginary country/institution. This can be on any category of debt (central government external, total external, total public, etc.), as may be relevant for the institution/country.

The participants should have some degree of familiarity with basic debt management

concepts.

Participants should also have some degree of familiarity with DMFAS, specifically for production of reports, or the computerised debt management system that is used by the institution/s.

Commitment by the institution/country to consider establishment/review of statistical

publication/s on debt.

A representative from each institution/country to prepare a 20-30 minute presentation on the overview of debt management in his/her institution/country with more emphasis on debt databases.

Proficiency in the Microsoft Windows operating system. It also encourages a good

knowledge of other Microsoft Office products such as Word or Excel 1.3.5. OUTLINE OF THE TRAINING

1. INTRODUCTION (1 session – ½ day):

a. Ceremonial Opening

B. Objectives and Outline of DMFAS Training

C. Participants’ Introductions

D. Country/Countries Presentations

2. MODULE 1 DMFAS General Overview (1 ½ days) a. Introduction

b. Key System Capabilities

c. Configuration

d. DMFAS Menu

e. Reference Files

3. MODULE 2 REGISTERING AGREEMENTS (4 days)

a. Loan Agreements : Introduction

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General Information Menu Syndicated Loans Tranches Commissions

b. Bonds: Introduction General Information Menu

Series Estimated Subscriptions Interest Terms Commissions

c. Amortization Table d. Revolving Credits e. Local Government Debt f. Grants : Introduction

Main Menu G. On lent Loans

4. MODULE 3 MOBILISING FUNDS (I day) a. Loan Drawings b. Bond Subscriptions c. Grant Drawings

5. MODULE 4 DEBT SERVICE(2 days)

a. Budget Period Allocations b. Principal & Interest Operations c. Commission Operations d. Penalty Interest Operations e. Capitalised Interest

6. MODULE 5 DMFAS REPORTS ( 3 Days)

a. General Overview b. Oracle Browser c. Query Files d. Operational Reports e. Analytical Standard Reports f. World Bank Reporting g. User Defined Reports h. Cleaning Work Tables

7. MODULE 6 DMFAS ANALYSIS FUNCTIONS (2 Days)

a. Present Value Calculations b. Projections On Outstanding c. Penalty Interest Calculations d. Accrued Interest

8. MODULE 7 DMFAS SUPPORT FUNCTIONS ( ½ Day) 9. CLOSING CEREMONY ( ¼ Day)

a. Course Evaluation b. Speech By A Participant’s Representative

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c. Closing Remarks: Course Facilitators d. Closing Remarks: Sponsor’s Representative

1.3.6. DURATION

This Training Is Designed to Last for a Period Of 15 Days. This Should Give Trainees Enough Time to Fully Understand All the Fundamentals Of Dmfas.

1.3.7. WHAT THIS TRAINING IS ABOUT

1. THIS IS TRAINING ON HOW TO USE DMFAS TO RECORD & MANAGE A COMPLETE PORTFOLIO OF DEBT INSTRUMENTS & GRANTS.

This training will provide users detailed training on DMFAS fundamentals including more advanced topics like the use of query builder and debt analysis techniques. The users should be able to learn how to use the DMFAS in managing debt and other financial instruments throughout all phases of their life cycles. These phases include registration, mobilization of funds, debt service operations, statistics and reporting.

2. OTHER RECOMMENDED TRAINING COURSES.

A REGULAR STATISTICS COURSE on statistical techniques, forecasting, etc.

A GENERAL DEBT MANAGEMENT course to discuss general debt management issues,

introduction to Debt management, etc.

A COURSE ON DEBT ANALYSIS OR ON DATA VALIDATION.

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1.3.8. LOGISTICS The workshop will be organised into two types of settings: presentations and working groups. Presentations. For the presentations, a U-shaped seating arrangement is preferred, as this will facilitate communication among participants and with the presenters, and visual aids are easier to use (compared with a circle or classroom setting). Working Groups. For the working group setting, seating around a table is preferred, but if this is not possible, having the groups at some distance from each other may be necessary, so that each group’s discussions is not interrupted by the discussions among the others. The number of working groups depends on the number of countries and/or institutions represented. Generally, there should be two per country/institution: Equipment: Multimedia system, flip-charts (one for each working group) and possibly an overhead projector will be required. Computers (ideally one for each working group). Printers and stationery will also be required. Name Tags: For larger groups, nametags are recommended.

OUTLINE OF A COMPRHENSIVE USER TRAINING ON DMFAS 5.3 WEEK 1

MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY

09.00-10.30

Registration Opening Remarks: Introduction &

Overview Group Photograph

DMFAS : Configuration

Registering Agreements: Loans: Introduction General information

menu

Registering Agreements: Bonds: Introduction & General information

menu

Registering Agreements: Amortization Table

10.30-10.45 COFFEE BREAK COFFEE BREAK COFFEE BREAK COFFEE BREAK COFFEE BREAK

10.45-12.30 Participants Experience & Expectations

Country’s experience Presented by a delegation from each country

DMFAS : Menus

Registering Agreements:

Syndicated Loans Tranches window


Bonds: Series


Revolving Credits

12.30-14.00 LUNCH LUNCH LUNCH LUNCH LUNCH

14.00-15.30 DMFAS: General Overview: Introduction.

DMFAS: Reference Files


Tranches window Cont’d

Registering Agreements: Estimated Subscriptions

Interest terms


Local Government debt


15.45-16.45 DMFAS: General Overview Key System Capabilities

DMFAS: Reference Files


Commissions menu Tutorial A :Entering

a loan agreement


Bonds: Commissions

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OUTLINE OF A COMPRHENSIVE USER TRAINING ON DMFAS 5.3 Week 11 MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY

09.00-10.30

Registering Agreements: Grants: Introduction

Main Menu

Mobilizing Funds Loan Drawings

Debt Service Budget Period Allocations Principal & Interest operations

Debt Service: Commission Operations

DMFAS Reports General overview

10.45 COFFEE BREAK COFFEE BREAK COFFEE BREAK COFFEE BREAK COFFEE BREAK

10.45-12.30 Registering Agreements: Grants: Main Menu

Mobilizing Funds: Loan Drawings

Bond Subscriptions

Debt Service Principal & Interest

operations

Debt Service: Commission Operations

Penalty Interest

DMFAS Reports Oracle Browser


14.00-15.30 Registering Agreements: On lent Loans

Mobilizing Funds: Bond Subscriptions


operations

Debt Service: Capitalized Interest

DMFAS Reports Oracle Browser


15.45-16.45 Registering Agreements: On lent Loans

Mobilizing Funds: Grant Drawings

Tutorial A Registering

Loan drawings


operations Tutorial A

Registering Interest operations

Debt Service: Capitalized Interest

DMFAS Reports Query Files

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OUTLINE OF A COMPRHENSIVE USER TRAINING ON DMFAS 5.3 Week 111

MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY

09.00-10.30

DMFAS Reports Operational Reports

DMFAS Reports User defined Reports

DMFAS Analysis Functions:

Present Value Calculations

DMFAS Analysis Functions: Penalty Interest Calculations

DMFAS Support: Support Functions


10.45-12.30 DMFAS Reports Analytical Standard Report


DMFAS Analysis Functions: Present Value

Calculations


Penalty Interest Calculations

DMFAS Support: Support Functions


14.00-15.30 DMFAS Reports World Bank Reporting


Tutorial A Generating

User defined Report


Projections on Outstanding


Accrued Interest

CLOSING CEREMONY Course Evaluation Closing remarks: Participants Closing Remarks: Facilitators Closing remarks: Sponsors


15.45-16.45 DMFAS Reports World Bank Reporting

DMFAS Reports Cleaning Work Tables


Accrued Interest

2. WORKSHOP ACTIVITIES 2.1. INTRODUCTION/COUNTRY PRESENTATION/S (1 session ½ day) This session should last for 1-2 sessions, depending on if the workshop is national or regional. The workshop starts with Participants registration, and this should involve participants giving their names, institutions they work for, schedule of duties, job title and contact address including emails & telephone contacts. The objectives of this session are ceremonial; to introduce the objectives and outline of the workshop and to enable participants and resource persons introduce themselves. 2.1.1. CEREMONIAL SESSION

(1/2 hour)

The ceremonial component will involve an opening speech one delivered by senior official (Permanent Secretary, Governor, or other senior official), as well as one by the lead resource person for the workshop. A Chairperson will introduce those seated on the head-table and then ask:

- Lead national organiser to give opening statements - Resource person to give a summary of the workshop objectives and outputs (so that the

senior official and other invitees who will not stay beyond the introduction will have an appreciation of the objectives and content of the workshop. This could be the workshop outline and the workshop programme.

- The opening speech by the senior official. 2.1.2. PRESENTATION OF OBJECTIVES AND OUTLINE OF THE TRAINING (10

minutes) The next component will involve a resource person showing again the detailed objectives and outline of the workshop. The workshop outline and the workshop programme should be referred to. Comments and questions should be requested from participants, to clarify expectations and related issues. 2.1.3. PARTICIPANTS’ INTRODUCTIONS

(1 hour) This session is a more facilitatory and ‘ice-breaking’ session. It objective is

- To allow participants to introduce themselves, their background in debt management and their present role in the debt office, as well as expectations from the workshop Resource persons should also introduce themselves (maximum 1 minute each). Maximum (30 minutes).

This could be followed by a group photo session, as the senior official/s may leave soon after. Tea can follow

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2.1.4. PARTICIPANTS’ EXPECTATIONS & EXPERIENCE

(1hour 45 Minutes)

- The objective of this session is to : - To allow one participant from each country (if the workshop is regional) or each institution

or department (if the workshop is national) to give a presentation on general debt management in their respective debt offices and particularly debt management systems including the debt reports being published by the country/institution. This presentation can include background, coverage; developments in debt management debt recording, reporting which have/will/could affect debt recording and other issues which the presenter may deem relevant.

Each presentation can be 10 minutes, followed by 10 minutes of discussions.

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2.2 Module 1 Introduction to DMFAS

For all the modules, Power Point presentations will be used and participants should be allowed to work on the system to so as to learn the basics of DMFAS. Power point presentations will be derived from the attached modules. This module can be customised to suit your background and experiences, country status, and other factors. The message of each session should be brought out, however.

2.2.1. DMFAS Overview (½ day)

Main Units/steps/aids/

Slides (S)

Contents: - Summary of activities, points to be emphasized, etc.

T1: Introduction T2 Summarise Main components of the presentation T3 Why DMFAS?

Ask : Participants how DMFAS has enabled them perform their functions at their debt offices. (Use the flipchart, if necessary.)

T4

Cover the factors for the success of DMFAS Ask : Participants to give a few examples of key factors for the success of DMFAS in any debt office. (Use the flipchart, if necessary.) Possible answers: Technology, Human resources, institutional & legal framework

T5:

Key Capabilities Describe the key capabilities of the DMFAS. Mention that these will be covered later in the course.

T6 What the workshop is /is

not

Ensure that that the expectations of the workshop are clear. What the workshop is and is not

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2.2.2. DMFAS Configuration, menu & Reference Files (1 day)


Slides (S)


T1 DMFAS Configuration Introduce Participants on how to access DMFAS, User accounts, DMFAS parameters, the cut off dates & User Parameters. Allow participants to create user accounts and access DMFAS. Take them through the creation of system parameters, and setting up Cut off dates.

T2 DMFAS Menus Introduce Participants to the DMFAS Interface. Show Participants how to navigate through menus and let the participants have a walk through test on system menus. Explain what each menu does, how to perform a search in DMFAS , standard buttons and the use of short cut keys on the key board.

T3 Reference Files Explain to the participants the different reference files, their purpose and how to generate reports on reference files. Also touch on the Budget line and how to link it to payments and drawings. Show: Participants how to enter the reference files Stress: The key Reference files that is the exchange rates and participants. Show the participants how to obtain the exchange rates.

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2.3 MODULE 2 Registering Agreements 2.3.1: Registering Loans (1 day)


Slides (S)


T1 Introduction & General Information Menu

Define a loan & a tranche Explain the management of loan tranches Show: Participants how to access general information window Explain : All the sub windows found in the general information window. All the fields in the 1st & 2nd pages of the general information window explaining all the options available in the system e.g. different Status options. Emphasise: Other Participants sub window & Amendment history Conclude: By showing participants how to change loan status, copying loans general information, deleting a loan & Printing loan information sheet Allow: Participants to access the system’s general information window to fully appreciate what you are lecturing them.

T2 Syndicated Loans

Explain What syndicated loans are and how DMFAS handles them Enter a syndicated loan together with the participants into the system with imaginary participants

T3: Tranche Window Estimated Drawings Interest Terms Principal Repayments

Show: Participants how to access the Tranche window Explain : All the sub windows found in the tranche window. All the fields in the tranche window explaining all the options available in the system. Tranche Participation Also: Show participants how to retrieve a specific tranche, copying a tranche, deleting a tranche & Printing a report on tranches. Allow: Participants to access the system’s tranche window to fully appreciate what you are lecturing them Estimated Drawings Explain How to access the estimated drawings window

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Methods for estimating drawings All the fields of the estimated drawings window. Rolling forward estimated drawings Interest Terms Explain How to access the interest terms window All the fields of the interest terms window. All the fields of the sub- windows Other penalty rates Principal Repayments Explain How to access the principal repayment window Principal repayment schedules Annuities All the fields of the principal repayment window.

T4:Commission Menu

Explain What Commissions are Regular or one- time commissions Different Types of Commissions Loan or tranche level commissions? All the fields of the commissions window Entering new commissions and deleting a commission.

T 5 : Tutorial Let the participants enter general information data, principal, interest terms and commission terms from tutorial A attached to this guide into the DMFAS.

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2.3.2 Registering Bonds (1 day)


Slides (S)


T1 : Introduction General Information Window Syndicated Bond

Define A bond & Elements of a bond issue Explain The 3 options for managing bond series Re openings When a bond is external or domestic debt. Participants in the bond issue. All the sub windows found in the general information window. All the fields in the 1st & 2nd pages of the general information window explaining all the options available in the system. Show: Participants how to access general information window How to change the status How to change the amounts, date effective limit and or issue end date. Copying a bond’s general information Deleting a bond Printing a report on bonds Syndicated Bond Explain What syndicated bonds are and how DMFAS handles them Enter a syndicated bond together with the participants into the system using participants given in module 2 attached to this guide. Allow: Participants to access the system’s general information window to fully appreciate what you are lecturing them.

T2: Series Explain The concept of yield: Explicit & implicit All the sub windows found in the tranche window. All the fields in the tranche window explaining all the options available in the system e.g. Financing types Also: Show participants how to retrieve a specific series, copying a series, deleting series & Printing a report on series. Allow: Participants to access the system’s tranche window to fully appreciate what you are lecturing them

T3:Estimated Subscriptions Interest Terms Bond Repayments

Estimated subscriptions Explain That this is similar to the estimated drawings under loans How to access the estimated subscriptions window Usefulness of estimated subscriptions

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Can use Energiser

Methods for estimating subscriptions All the fields of the estimated subscriptions window. Rolling forward subscriptions Interest Terms Explain How to access the interest terms window Differences between interest and coupon The different types of coupon All the fields of the interest terms window. All the fields of the sub- windows Other penalty rates Bond Repayments Explain What callable & puttable bonds are? How to access the principal repayment window Principal repayment schedules All the fields of the principal repayment window. Ask participants to describe their office personality: sex, age, income, place it lives, hobby, animal for logo, the car it would drive. This can illustrate the degree of importance attached to the office, resources, dynamism, etc.

T4 Commissions Explain What Commissions are Regular or one- time commissions Different Types of Commissions Note: some of these are different from the loan commission. All the fields of the commissions window Entering new commissions and deleting a commission

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2.3.3 Amortisation Table, Revolving Credit, Local Government Debt (1 day)


Slides (S)


T1 Amortisation Table ( 1 ½ hours)

Define: What the Amortisation table is? Explain: How to access the amortisation table? The details of the amortisation table. Emphasise that real operations are indicated by an asterisk(*) Calculation of the amortisation table & Production on an amortisation report. Viewing amortisation tables Production of a report on the commissions amortisation table Updating common Interest rates ion all amortisation tables

T2: Revolving Credits ( 1 ¾ hours)

Define: What revolving credits are? Covering the common elements of the revolving general agreements and revolving credits. Explain: The difference between revolving general agreements and revolving credits Show: Participants how to record the loans general information & conditions of the Revolving facility Explain: General information window details. How to produce the loan information sheet

T3: Local Government Debt ( 1 ½ Hour)

Define: What Local Government debt is? Explain: How to create a fund Daily periodicity and conversion Fund Usage Show: Participants how to record the local Government dent into DMFAS covering all the mandatory fields that must be filled in. Explain: Recording Debt Service Operations.

2.3.4 Registering Grants & on lent loans (1 day)


Slides (S)


T1 Grants ( 3 ¼ hours)

Define: What a grant is? Emphasise: A Grant module is similar to the loans module but a grant has no tranches Explain: How to access the grants module? The grants window fields and how to update them in DMFAS Changing the amount, the date effective limit, the date drawing limit & status.

T2: On lent Loans ( 2 ½ hours)

Define: What on lent loans are? Explain: How to access the On lent loans module Debt classification of the on lending of borrowed funds The fields of the main on lent window & the on lending source sub window.

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2.4.0 Module 3 Mobilising Funds (1 day)


Slides (S)


T1 Loan drawings ( 2 ½ hours)

Define: Loan Drawing Explain: How to access the drawings module? Real drawings Emphasise: The preconditions for recording a real drawing Explain: Loans drawings for loans with one tranche, known tranche & unknown tranches Fields of the drawings window Creation of a new tranche by recording a real drawing Viewing real drawings Changing a real drawing entered in a wrong loan Changing or correcting the amount of real drawings, date of real drawing, effected currency Cancellation of the undisbursed amounts

T2: Bond Subscriptions ( 2 ¼ hours)

Define: A bond subscription. Explain: How to access the bond subscriptions module? Explain: Fields of the bond subscriptions window Viewing real subscriptions Production of a report on a series’ discount by subscriptions Correcting the amount or currency of real bond subscriptions

T3: Grants ( 1 Hour)

Explain: How access the grants drawings Real drawings Checking amounts Automatic calculation of amounts Grants mobilisation window fields Producing a grants information window

Tutorial: Participants to enter the drawings for the loan in tutorial A attached to this guide. The loan terms would have been entered in 2.2.3

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2.5.0 MODULE 4 Debt Service (2 days)


Slides (S)


Day 1

T1 Budget Period Allocations ( 1 hours)

Define: Budget Allocations Explain: How to access the Budget period Allocations module? Linking the debt service payments to budget line accounts Fields of the Budget period Allocations window Creating a budget period and allocated budget. Viewing budget periods

T2: Principal & interest operations (4 ¾ hours)

Define: debt service operations & what it entails. Explain: How to access the debt service operations Historical Debt Service The fields of the main debt service window The fields of the debt service sub windows Key procedure for accurate & timely debt service Retrieving only maturities with a given status. Retrieving maturities using the date or amount as a criterion. Automatic check for consistency in amounts Pool Adjustment factors( use the example in module 4 attached to this guide) Recording a real payment, partial payment & Partial re organisation Deleting, Modifying and checking details of a payment Handling amounts in arrears.

Tutorial: Participants should enter the interest operations for the loan in Tutorial A into the system

Day 2 : T3: Commissions (2 ¼ Hours)

Note: this module is similar to the principal & interest debt service module Explain: How to access the Commissions window. Commissions main window fields Commissions payments sub window fields Amount in arrears, rescheduled, written off or swapped.

T4: Penalty Interest ( 1 hour)

Explain: How to access the penalty interest operations module Fields of the commission’s window. Using the windows of the module

T5: Capitalised Interest ( 2 ½ hours)

Define: Capitalised Interest Explain: data for capitalised interest Formula for calculating capitalised interest Recording the terms for capitalised interest Specifying how to handle capitalised interest Calculating the capitalised interest schedule Applying capitalised interest operations Creation of amendments Changing a capitalised interest operation Deferring a capitalised interest operation Printing a report for capitalised interest

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2.6.0 MODULE 5 DMFAS Reports (3 days) Main

Units/steps/aids/

Slides (S)


Day 1

T1: General Overview (1 ½ Hours)

Explain: The importance of reports Types of DMFAS reports Reports menu DMFAS libraries Copying reports Reading, printing & saving reports. Saving reports in different file format

T2: Oracle Browser (3 ¼ Hours)

Define: Oracle browser Explain: Relational databases Structured Query language ( SQL) Technical concepts of Browser –Tables, Views, Synonyms Show: Participants how to run a query in browser. This should be a step by step exercise in query builder right from launching the browser through creating a new query to inserting a condition & executing the query. This should be hands on test on the system. Explain: Formatting reports Changing column titles Adding a report title Print preview Using operators in browser ( logical operators & Relational operators) Creating a query Types of criteria

T3 : Query Files ( 1 hour)

Explain: what this utility does Accessing this utility Query Statement & Removing the query

Questions & Answers

Day 2 T4: Operational

Reports ( 1 ½ hours)

Define : Operational Reports Explain: Accessing the operational reports Using the operational reports window Show: Participants how to generate the operational report Explain: Account statement fields Revolving general agreements

T5: Analytical Standard Reports

( 1 ¾ Hours)

Define: Analytical standard reports Explain : Accessing the debt status reports Accessing Statistical bulletin reports Finding a report

T6: World Bank reporting ( 2 ½ Hours)

Explain: Accessing the world bank reporting menu The world bank Debtor’s Reporting system Reports: Frequency & deadlines First time reporting with DMFAS

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Using the fields in the windows & Explaining the purpose of each field Buttons in the world bank reporting window Generating form 1 & 2 report Code mapping schemes for form 1

Day 3 T7: User- Defined

Reports ( 4 ¾ hours)

Define: User defined reports and what this report entails Explain: Accessing user-defined reports User defined reports & libraries Fields of the main window and sub windows of user defined reports Emphasise: The 4 report formats Explain: difference between stocks and flows giving examples of each such as debt stock as at 30.06.09 being a stock and payments for the year being a flow. Exporting user defined reports to MS Excel

Tutorial : Let the participants generate a user defined report for the loan in tutorial A using DMFAS

T8: Cleaning Work Tables

(1 hour)

Explain: How DMFAS cleans tables Accessing work tables Running The utility

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2.7.0 MODULE 6 DMFAS Analysis Functions (2 days)


Slides (S)


Day 1

T1: Present Value Calculations ( 3 ¼ Hours)

Define: Present Value & the calculation Explain: How to access the present value facility Calculation of the present value Considerations for Present value calculations Why present value Measuring the degree of concessionality Present value methods Present Value window fields and all the sub window fields Creating a Present Value file & Updating it Changing a Present value file Creating a report showing present value

T2 : Projections on Outstanding (1 ½ hours)

Define: Projections on outstanding & the projections on outstanding calculation Explain: Accessing the projections on outstanding How Projections on outstanding are used? Types of projections on outstanding Fields in the projections on outstanding window Creating a projections file and delaying its calculation Updating & changing the projections file Creating a report showing projections on outstanding

Day 2 : T3 : Penalty Interest

Calculations ( 3 ¼ Hours)

Define: Penalty interest and how its calculated Explain: Accessing the penalty interest module How DMFAS calculates penalty Interest SQL file

T4: Accrued Interest Calculations (2 ½ hours)

Define: Accrued Interest Explain: Accessing the Accrued interest module Accounting Treatment for accrued interest SQL File Creating a report showing accrued interest

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2.8.0. DMFAS Support (1 day)


Slides (S)


T1: Support Functions ( 3 ¼ hours)

Explain: Using the support functions Basic concepts of the security module Users & User groups Data sets Changing the user password Coding Codes and code groups Countries & Currencies Reports DMFAS messages Translations

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2.9. CLOSING CEREMONY Senior officials plus those officials who were present in the opening sessions, but who chose to leave during the presentations and the working groups should be invited to this last session. There should be additional participants, in this closing session, or else this session would make no sense (officials would already have made their presentation). 2.9.1 COURSE EVALUATION Participants should fill in the course evaluation forms giving their individual opinions about the

course management, general logistics, accommodation, and adequacy of course materials and the

course facilitators.

2.9.2 CLOSING REMARKS: PARTICIPANTS’ REPRESENTATIVE The participants should select one person to comment about the course and give a word of thanks to the sponsors and course facilitators for the job well done. 2.9.3 CLOSING REMARKS: FACILITATORS The course facilitators should also give a summary of what they covered during the 3 weeks and what they expect of the newly trained DMFAS users. 2.9.4 CLOSING REMARKS: SPONSORS The course sponsors need to highlight the achievements of the course, the way forward and close the 3 weeks training course.

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3. AFTER THE TRAINING COURSE The course sponsors and facilitators will have to follow-up the trained DMFAS users on how they are maintaining the debt databases back home after the workshop. This support can take several forms, depending on the country’s/institution’s circumstances. Immediate support after the workshop, which can extend for a few days to a week can include: Responding to the user’s concerns on the system as they use the system in their respective

institutions. Supporting officials to produce the debt reports.

In addition, there should be one additional mission (or a follow-up mission) to the institutions to review user performance. Of course this depends on resource availability.

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REFERENCE

1. UNCTAD Website( Retrieved July 2009) : http://www.unctad.org/dmfas.html 2. MEFMI Website ( Retrieved August 2009): http://www.mefmi.org

3. UNCTAD (2005): DMFAS User’s Guide.

4. Staff of the IMF and World Bank, “GUIDELINES for Public Debt Management”, IMF

Publication Services/World Bank Publications, 2001.

5. IMF (2003): The External Debt Statistics: Guide for Compilers and Users.

6. UNCTAD ( 2005): Debt Statistical Bulletin Trainers Guide

7. World Bank Publication (2009) - Global Development Finance

mefmi · mefmi dmfas 5.3 training guide by denis elton barigye ministry of finance, planning &...

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