MPhil

Development Finance

2018

www.usb.ac.za

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WELCOME TO USB

MESSAGESMessage from the Director of USBMessage from the Programme Head

THE USB ADVANTAGE

USB’S CENTRAL LOCATION

MPHIL IN DEVELOPMENT FINANCEWhat will you gain from this qualification?What stands out about the MDevF?Learning outcomesWho should enrol?FormatHubs of off-campus supportInformation sessions Assessment and Recognition of Prior LearningAdditional information for foreign students

PROGRAMME CONTENT Core modules Electives

TIMETABLES AND DEADLINESDates for 2018Deadline for applications

PROGRAMME FEES

HOW TO APPLYAdmission requirementsHow the online application process works

WHAT DO ALUMNI AND STUDENTS SAY?

MORE ABOUT USBUSB’s portfolio of programmesAccreditation, memberships and acknowledgementsUSB faculty Facilities, resources and services USB Alumni Association

CONTACT DETAILS

CONTENTS

The University of Stellenbosch Business School, located in the Tyger Valley business district in the northern part of Cape Town, South Africa, offers a range of postgraduate business programmes which include an MBA and programmes in Development Finance, Futures Studies and Management Coaching.

USB is recognised as a top school in the international business school network. It was the first school from an African university to receive all three international accreditations: AACSB, EQUIS and AMBA. Overall, we strive to develop responsible leaders through well-grounded business education and research.

USB forms part of the Faculty of Economic and Management Sciences at Stellenbosch University, USB’s mother institution. The history of Stellenbosch University dates as far back as the 17th century, when regular school education was initiated in the town of Stellenbosch in 1685. Stellenbosch University received university status in 1918 and will be celebrating its 100-year anniversary in 2018.

USB, established in 1964, is known for its responsible leadership development, global perspective with unique African contextualisation, international connections, the diversity of its lecturers and students, its social impact, its strong roots and the wide reach of its alumni.

• Proven quality: 3 international accreditations – AACSB, EQUIS and AMBA • Focus on sustainable, African-driven solutions: Develop Africa where it matters• Learn-while-you-earn format: Modular programme over 2 years • Strong roots: Over 50 years of quality business education• Services: Career services, advanced e-learning support• Engagement: Smaller classes, collaborative learning

WELCOME TO USB

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Programme cluster: DEVELOPMENT FINANCE

• Postgraduate Diploma• MPhil• PhD

MESSAGE FROM THE DIRECTOR OF USB

Thank you for your interest in the University of Stellenbosch Business School. We are one of the few so-called Triple Crown schools in the world. These are schools with the three major international accreditations, namely AACSB, EQUIS and AMBA. In addition, our executive education programmes, delivered via our private partner, USB-ED, is ranked among the Top 100 in the world by Financial Times.

You therefore know in advance that the standard of our academic programmes, infrastructure and learner support is benchmarked against the best. We would also like you to know the following about USB:

• We are deeply committed to Africa. At the same time, we educate you to function in a global business world.

• We will lead you to study the latest theories in a particular field while also providing you with opportunities for practical application in your business.

• We will walk the road to sharpen your critical thinking abilities while also igniting your passion for better business skills.

• We will widen your strategic vision while also equipping you with operational skills in fields like responsible leadership, finance and marketing.

• We will carefully select you to enter into one of our programmes, and then engage with you to leave us as a changed person.

USB is a values-driven school. We embed our values – like integrity, inclusivity, excellence and innovation – in everything we do.

We are part of Stellenbosch University – the top research university in Africa – and steer our research agenda to inform business and the content of our curricula. Via our Small Business Academy we create value for entrepreneurs in low-income areas to improve their businesses and create jobs in their communities.

Ultimately, USB aims to bring hope to Africa and to the world. Join us in turning this dream into a reality.

From a business school perspective, social development in SA happens through empowering students to understand their role as responsible leaders when they go back into society. Prof Piet NaudéUSB Director

MESSAGES

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MESSAGE FROM THE PROGRAMME HEAD

Do you as a development finance practitioner want to broaden your knowledge and skills in this dynamic and complex field? Or are you considering changing your career to the exciting field of development finance and want a postgraduate programme to hone your skills? Or do you as a regulator or policy maker want to advance your understanding of the full range of finance policies, programme models and tools used by development finance practitioners to help you do your job better? USB’s unique and internationally recognised Development Finance programmes – a Postgraduate Diploma, MPhil and PhD – have been designed to help you achieve these goals.

The content of these top-quality academic programmes is relevant to the needs of Africa. Hence, this programme equips participants with a thorough understanding of the special problems of finance in developing countries, and in Africa in particular.

Be assured of a fascinating learning experience and the opportunity to think creatively and pragmatically in proffering solutions to development finance challenges in Africa.

Specialise in development finance to help fill the enormous skills shortage in this field. Prof Michael GrahamHead: Development Finance Programmes

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WHY STUDY AT USB?

Triple Crown business schoolUSB was the first school from an African university to receive all three international accreditations: AACSB, EQUIS and AMBA. Together, the three accreditation bodies look at business schools from three different geographical and quality perspectives. EQUIS focuses on the entire school, internationalisation and corporate connections. AMBA evaluates the MBA programme, processes and quality parameters as seen through the eyes of MBA graduates. AACSB uses rigid quantitative measures, which include assurance of learning – or demonstrating that students have achieved the learning outcomes of their programmes. Therefore, these accreditations provide an independent and world-benchmarked view of USB’s programmes. In 2016, Eduniversal ranked USB among the Top 3 schools in Africa while PMR.africa ranked USB as the No 1 school in South Africa.

International statureStellenbosch University, USB’s mother institution, is an international institution of distinction and the top research university in Africa. USB has partnerships with some 80 business schools representing all the continents and has a presence in various parts of the African continent. Joint research, faculty members serving on international boards, memberships of leading bodies in the international and African business school community, jointly presented global conferences and the exchange of faculty members and students contribute to USB’s global perspective of business knowledge. In 2016, USB’s students and faculty members represented 35 different countries. We also host around 30 incoming student groups from all over the world every year.

African contextualisation of business knowledgeUSB’s vision is to be globally distinguished as the business knowledge partner in Africa. The school has become known for its African-focused expertise in areas such as sustainable development, futures research, development finance, ethics and corporate governance, responsible leadership development, management coaching and emerging-country economics. This allows us to contextualise business knowledge in terms of Africa.

Strong focus on responsible leadership developmentUSB’s mission is to develop responsible leaders through well-grounded business education and research. Responsible leadership development is ingrained into USB’s programmes – in particular the MBA. This know-how will enable students to understand their role as responsible leaders when they go back to society, and to hold themselves, their teams and their companies to a higher standard as custodians of society’s institutions and organisations.

Collaborative learning Collaborative learning is a key feature of USB’s programmes, and this intense engagement contributes to the life-changing experience of studying with us. Our students come from different cultures and countries. Each one brings unique management experience, industry know-how and cultural knowledge to the table. This diversity enables students to learn from one another and to work with different perspectives.

THE USB ADVANTAGE

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Career development and other support servicesUSB’s Career Services provides students with career planning and development services. It also gives students exposure to career opportunities and on-campus presentations by a range of companies, and access to career-related resources and job postings. Support is also offered at these touch points: the Marketing Office, Admissions Office, Academic Administration, International Affairs Office, Alumni Relations Office and USBI (library).

Networking and continued learningDuring their studies, students collaborate with people from different industry sectors and geographies. This diversity adds depth to their learning experience and helps them to build valuable networks of business contacts that will last them a lifetime. Upon graduation, students become part of the USB Alumni Association with its more than 26 000 members, offering access to continued learning, business knowledge, networking and more.

Connections with the business sectorUSB’s close cooperation with industry ensures an academic offering aligned with the needs of the world of work. Areas of alliance and collaboration include representation by the local and international business community on the USB Advisory Board. Partnerships between USB and industry include societal initiatives such as the USB Small Business Academy. It also includes the funding of students and involvement of alumni in the school’s activities (e.g. by mentoring students).

Research and the sharing of business knowledgeUSB creates business knowledge through its research centres, academic conferences and seminars, a research fellowship programme, the research undertaken by its faculty members and students, and its partnerships with the business industry and other academic institutions. The school shares its academic research on its research portal and its practitioner research, opinion pieces, articles and videos on USB ThoughtPrint (www.usb.ac.za/thoughtprint) and at speaker events.

Social impactUSB’s ultimate purpose is to develop leaders and managers who will be stewards of society, irrespective of the industry sector or organisation in which they work. For USB, social impact means the societal orientation and impact of our curricula and research, our involvement in social dialogue and public policy making, the social impact of our engagement with stakeholders, our collaboration with partner schools and organisations, and our sustainability and responsibility practices. For USB’s students, this translates into engaged learning. MBA students, for example, can opt to assist small business owners from low-income areas with business plans and to do their Research Assignments in this field.

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USB’S CENTRAL LOCATION

About the campusThe hilltop campus of USB is located in the ever-expanding Tyger Valley business district in the northern part of Cape Town - which is halfway between Cape Town’s central business district and the university town of Stellenbosch. The USB campus is close to main access routes, Cape Town International Airport, shopping malls, sports facilities, entertainment and first-class medical facilities. Also within easy reach are attractions such as the V&A Waterfront, Cape Point, Table Mountain (World Heritage site and one of new Seven Wonders of the World), Robben Island, Kirstenbosch Botanical Gardens and the neighbouring Boland area with its cultural heritage, scenic beauty and world-famous winelands.

About Cape TownCape Town regularly features as one of as Africa’s Top 10 travel destinations. As South Africa’s second main economic centre, the city offers a world of possibilities for business people. The city has a thriving service-based metropolitan economy where growth is often driven by innovation. Cape Town is located in a biodiversity hotspot called the Cape Floral Kingdom which has 9 600 plant species, 70% of which are not found anywhere else in the world.

About Stellenbosch Founded in 1679, Stellenbosch is known for its university, cultural heritage, beautiful buildings, vineyards and surrounding mountains. It has the oldest wine-producing area in South Africa.

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WHAT WILL YOU GAIN FROM THIS QUALIFICATION?

Develop Africa where it mattersWith USB’s internationally accredited MPhil in Development Finance (MDevF), you will acquire an astute understanding of development finance – including the theories and the application of this knowledge in the real world – and know how to apply it in African countries and beyond. You will be able to evaluate development finance projects in terms of feasibility and outcomes. You will also know how to manage the various development finance resources available to poor countries, especially in Africa. This translates into specialisation in development finance to help fill the enormous skills shortage in this area.

Contribute towards sustainable developmentMost finance-related degrees focus on private profit or returns. The MDevF focuses on socioeconomic returns (which captures private and public returns). The MDevF has a strong focus on sustainability and applied micro-economic and macro-economic issues. It therefore focuses on the impact, effectiveness and sustainable development of policy and project interventions, on micro and meso levels, making this a critical-skills degree for Africa.

Shape finance policies and programmesYou will know how to articulate economic development needs and how to formulate, implement and evaluate development finance policies and programmes to address specific development needs in Africa and other developing regions.

Design and implement African-driven solutionsThe MDevF provides a structured approach towards the sustainable economic development of sub-Saharan Africa. The course content and case studies are focused on Africa. This will allow you to structure need-specific solutions for the African continent. However, you will also be able to apply your specialised development finance knowledge in any other developing country in the world.

Acquire critical skillsYou will be exposed to development finance skills that are crucial for Africa’s future – such as economic development perspectives in Africa, project finance, microfinance, governance and ethics.

Conduct in-depth researchYou will learn to conduct advanced and insightful research in development finance. The demanding standard of research required by USB will add depth to your learning experience, and will enable you to communicate your findings effectively to policy-makers and financial role-players.

Understand the key role of DFIs To ensure the relevance of the MDevF and its acceptance in the market, the programme has had advisory forums with senior executives of development finance institutions (DFIs) and financial institutions such as the Development Bank of Southern Africa (DBSA), the Land Bank, the Industrial Development Corporation (IDC) and other continental and global DFIs like the World Bank. This helps to align USB’s academic offering with real-world practice. It also provides you with first-hand information on the role of these institutions in development finance.

MPHIL IN DEVELOPMENT FINANCE

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Build valuable networksOn your MDevF journey, you will collaborate with people from a wide range of cultures and countries. You will walk the road of professional and personal development with them. This will broaden your views and add depth to your learning experience. During all of this, you will build valuable networks of business contacts and friendships that will last you a lifetime.

WHAT STANDS OUT ABOUT THE MDEVF?• It allows you to study while you work: Attend three on-campus blocks of a fortnight each over a

period of two years, and complete a research assignment.• It uses African case studies: You will deal with enterprise-level and applied development finance

issues with cases from African countries. • It can give you access to a PhD in Development Finance: This will allow you to become an expert in

the field of development finance.

OVERVIEW OF THE PROGRAMMEThe aim of USB’s MPhil in Development Finance is to offer an internationally recognised academic qualification with content that is relevant in terms of Africa’s development needs. This critical-skills degree is designed as a coherent programme of study at postgraduate level to train graduates to:• Fill the skills gaps in the financial industry and in policy-making and regulatory institutions in the

development finance environment • Better understand the complexities of and manage the different development finance resources

available to poor countries, especially in Africa• Understand thoroughly the special problems of finance in developing countries in general

and Africa in particular, and acquire the skills to operate successfully and make a meaningful contribution to policy formulation and implementation in this field.

• Credits: 180 • Flexible format: Modular programme – attend 3 blocks (2 weeks each) over 2 years• International accreditation: AACSB, EQUIS• Language: English• Online support: All classes are supplemented by USB’s learning management system (Learning

Hub). The course content is embodied in a series of lectures and group discussions, blended with course material composed of comprehensive course outlines, text books and journal articles. Students have to be thoroughly prepared for all lectures so as to extract the optimal benefit from contact sessions and collaborative learning.

• Core subjects, electives and research assignment: Students need to do the six core modules, as well as two electives chosen from a list of options. These electives provide areas of specialisation. Students also need to write a research assignment.

• Course methodology: A mix of highly interactive lectures and course material, case studies and a workshop on financial risk and structure. Handbooks, guidelines, articles, journal materials and a matrix /checklists will serve as reference material for future project design and delivery.

• Place of delivery: Classes are presented at the USB campus in the Tyger Valley business district in northern Cape Town.

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LEARNING OUTCOMESUpon completion of the MDevF, students should be able to demonstrate the following:• A coherent and thorough understanding of the theories underpinning development finance

practices and the ability to apply such knowledge in a developing country context within the public, private and NGO sectors

• A comprehensive understanding of specific objectives and challenges of development finance, as well as the structure of the development finance industry, especially in Africa

• The ability to design, formulate, implement and evaluate development finance policies and programmes to address specific development needs in specific contexts

• The ability to create an industry network for the leveraging of existing initiatives and uncovering of potential initiatives in the development finance industry

• The ability to carry out an in-depth evaluation of development finance projects and schemes in terms of feasibility as well as outcomes

• The ability to conduct research in development finance at an advanced level and to communicate effectively the findings of such research to peers, policy-makers and other end-users

• The ability to produce a research assignment that meets the standards of scholarly research and professional writing.

WHO SHOULD ENROL?The programme is aimed at graduates in both the public and private sector who are involved with macro, sectoral and enterprise-level finance and financial management issues in the context of developing countries and emerging markets.

Graduates typically work in financial institutions such as central banks, commercial banks, non-bank financial institutions, and development finance institutions such as the DBSA, industrial development corporations and the African Development Bank. They are often project managers or management-level financial analysts.

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Core subjects Electives Research assignment

Do 6 compulsory modules:• EconomicDevelopmentPer-

spectives in Africa• IssuesinBankingandFinance• Microfinance• ProjectFinance• GovernanceandEthics• ResearchMethodsinDevelop-

ment Finance

Choose 2 electives: Small-scale Enterprise DevelopmentDevelopment Project ManagementAfrican and Emerging Financial MarketsEnvironmental FinanceBusiness Forecasting and Econometric AnalysisPublic Sector FinanceInfrastructure FinanceFinancial Sector Regulation and DevelopmentCorporate FinanceHuman Resource Issues in Development FinanceInvestment Promotion

Do research:• Writearesearchassignment

of 15 000 – 25 000 words on a development finance topic, preferably one that is of di-rect professional interest to you.

• Youcanworkonyourre-search assignment while you are doing your course work and electives.

120 credits 60 credits

FORMATAttend 3 blocks spread over 2 yearsThe MDevF is presented as a modular programme over two years. Students attend three class contact blocks of a fortnight each over a period of two years, and complete a research assignment.

HUBS OF OFF-CAMPUS SUPPORTUSB offers various forms of academic and administrative support at centres throughout South Africa and in other countries with significant concentrations of MDevF students. This includes assistance with registration, study permits and visas, and also visits by lecturers. These hubs are positioned in geographical areas such as Johannesburg and Cape Town in South Africa, Lagos in Nigeria, Nairobi in Kenya, Windhoek in Namibia and Gaborone in Botswana.

INFORMATION SESSIONS USB hosts various Information Sessions during the year. This is where you can obtain first-hand information on the programme and meet faculty members, alumni and support staff. See www.usb.ac.za/events for dates, venues, timeslots and booking details. Or e-mail mdevf@usb.ac.za or call +27 (0)21 918 4246.

ASSESSMENT AND RECOGNITION OF PRIOR LEARNINGUSB provides wider access to its programmes through its Assessment and Recognition of Prior Learning (ARPL) process. In line with the requirements of the Council for Higher Education (CHE), USB may admit up to 10% of its student body under ARPL.

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In order to be admitted to a Master’s programme at USB, candidates should be in possession of a relevant NQF 8 qualification, such as an Honours degree, 4-year in-depth Bachelor’s degree or a postgraduate diploma.

Candidates who wish to be admitted under the ARPL policy will firstly have to submit all the documentation and tests as required for all prospective students. In addition, prospective students applying for a Master’s degree at USB have to adhere to the following:

1. Have at least an NQF 6 qualification.2. Have at least SIX years of working experience after obtaining the qualification mentioned in 1, of

which at least THREE years should have been in a management or related professional position.3. Submit a comprehensive CV, indicating detailed areas of responsibility as well as information on

activities outside the work environment.4. Write an assignment of 10 to 15 pages (11-point font size with 1.5 spacing) on a topic supplied by

the programme head. The assignment must contain a signed declaration of own work.5. Provide USB with at least two references (typically current or former line heads) who can testify

about the candidate’s managerial or related professional abilities. These references will be required to give a detailed personal reference about the candidate on forms provided by USB.

6. Next, USB’s Admissions Committee (head of the programme and another academic) will conduct an in-depth interview with the candidate.

7. If the Committee is of the opinion that the candidate has the abilities to cope with the demands of the MDevF programme, he/she may be admitted.

8. A recommendation of admission is sent via USB’s Academic Planning Committee to the Board of the Faculty of Economic and Management Sciences for notification.

9. Note that ARPL candidates need to apply by 30 October each year to allow sufficient time for the assessment process.

ADDITIONAL INFORMATION FOR FOREIGN STUDENTS

Study visa requirements for international studentsAll residential students who are non-South African citizens and are studying at USB require a study visa. Prospective students should contact their nearest South African Foreign Mission (South African Embassy, Consulate or High Commission), normally in their country of origin, to enquire about the requirements for study visas for South Africa. Applicants are required to present themselves in person so that biometric data may be captured.

Students from West Africa can also contact USB’s representative for this region in Nigeria while students from East Africa can contact USB’s representative for this region in Kenya. (See contact details at the back of the brochure.) All international students can contact the USB International Office for assistance at international@usb.ac.za.

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All international students must hold a valid visa for their intended activity prior to entering South Africa. Also note the following:• Obtaining a study visa from the South African authorities takes approximately 10 to 12 weeks from

the date of application. However, some missions may process applications sooner. Sufficient time should be allowed for study visa applications to be processed.

• Your study visa application should include a copy of the letter offering a place on USB’s MBA (or other programme). This letter will be provided by USB’s Academic Administration once the application has been approved. A place on the programme must be confirmed before a study visa application can be considered by the South African Department of Home Affairs. Students should not proceed to Stellenbosch University or USB without a valid visa.

• Although applicants are expected to determine exactly what they require to apply for a study visa, they can expect to have to provide the following, among others: a police clearance certificate, proof of medical insurance recognised in South Africa, a radiological report, a medical certificate, proof of sufficient funds, and an admission letter from USB. Your nearest South African Foreign Mission will be able to advise in this regard. The onus falls on the student to make sure that he/she submits a complete application pack.

• All documents should be certified and translated into English before submission (in order not to delay the outcome of the application).

Payment of programme feesForeign students need to pay a deposit of 50% of the annual programme fees by acceptance to the programme and the balance prior to, or upon registration.

CORE MODULES

Students need to do all six core modules: • Economic Development Perspectives in Africa • Issues in Banking and Finance• Microfinance• Project Finance• Governance and Ethics• Research Methods in Development Finance

Economic Development Perspectives in Africa The diversity of the development environments and the dynamics in Africa (with a total of 53 countries) shape the challenges and opportunities for development finance, which of itself is a critical element in any country’s development process. This calls for attention to diverse (often contradictory) evidence, data and interpretations in the hope of achieving a balanced insight into the environment in which financial institutions and their clients are operating.

One of the major ways of achieving sustained economic growth and development in Africa is to increase the flow of investment (domestic and foreign) to the continent. A major deterrent to investment is undoubtedly the risk (real or perceived) that investors associate with doing business in a country. Currently, there is a higher risk for investors in Africa than on any other continent. Much of the risk can be attributed to domestic policies and other issues such as crime, corruption, ethnic strife and civil wars. On the positive side, since the late 1990s, many countries in sub-Saharan Africa have started recording meaningful and sustained economic growth rates, democracies are being established and more orthodox economic policies introduced.

Against this backdrop, this module explores the economic structure, institutions and political dimensions of African economies; African economies in the global context, cooperation arrangements within Africa and between Africa and the rest of the world (the SADC, SACU, CMA, NEPAD, African Union); a comparative analysis of development scenarios in selected African countries; and lessons learnt from other developing countries in the world. The module also provides candidates with relevant tools for country risk analysis, highlighting the implications of the African context for African development finance solutions.

Specific topics include:• Exploring the overall approach towards development and risk analysis in Africa. • African development dynamics in historical perspective: Showing how Africa’s development

progress may be improving in the light of changing global forces and local development progress.• Africa’s socio-demographic dynamics: This includes rural-urban shifts, the evolution of mega-cities

and health risks. • Sector growth and business development in Africa: This includes sector shifts and sector risks.• Education, training and the skills gap in African development: This includes leadership and managementneeds.•FinancialresourcesforAfricandevelopment.

• Local, regional and national development in African countries: This includes the political challenges.• Forces towards Africa’s regional interaction and (incremental) integration.• Africa in the changing global scene: Global risks and opportunities.• Scenario-building exercise.

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PROGRAMME CONTENT

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Upon completion of this module students should have a clear understanding of the following:• The country spread, regional groups and political dynamics of the continent and its 53 countries;• The critical factors in African economic development and how they shape country risk patterns.

These include population growth and urbanisation, education and training, regional cooperation, foreign investment, sector-development momentum, the resource spread and current global crisis factors;

• Specific issues and risk profiles related to specific African countries in order to compare and contrast countries with each other; and

• The range and nature of development finance institutions in Africa and how these are influenced by risk perceptions related to the different countries.

Students should also have:• Developed an awareness of contemporary literature on African development and risk analysis; and• Engaged in an interactive exercise aimed at producing scenarios for Africa 10 to 20 years ahead.

Issues in Banking and Finance This module provides the context for the uniqueness of development finance. The role of finance is increasingly taking a centre stage in economic development. In Africa, it has been recognised that the underdevelopment of the financial systems is one of the main obstacles to private sector development, employment generation, economic growth and poverty reduction. Policy makers are concerned with how to promote access to financial services by all actors in the economy; increase financial depth, diversity and efficiency; and strengthen institutional and regulatory capacity on the continent. The primary objective of this module is to help participants to evaluate and analyse these and other important financing issues facing private citizens and policy makers in development processes both here in Africa and abroad. The module will give participants the opportunity to critically evaluate the research and policy discussions that have followed the recent upsurge in financial services innovation around the world and demonstrate relevant lessons for African countries. Upon completion of the module, participants should be able to demonstrate a deep understanding of recent developments in the theories and practices of banking and finance, and participate in evaluating and designing appropriate policies for economic development in their countries.

Specific topics include:• Economic analysis of financial systems (contracts, agency and transaction costs, and asymmetric

information; finance, growth and development)• Banking and the management of financial institutions• Financial crises• Conflicts of interest in the financial industry• Credit guarantee programmes for revolving loan funds• Technology and inclusive banking• Cross-border banking• Monetary policy and regulation.

Upon completion of this module students should be acquainted with recent developments in the theory and practices of banking and finance. Specifically, students should be able to:• Identify the role of the Financial System and Development Finance Institutions in economic

development in Africa• Execute a critical evaluation of research and policy discussions that have followed the recent

upsurge in financial services innovation over the continent as well as globally

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• Demonstrate a deep understanding of the recent development of the theories and practices of banking and finance

• Design appropriate financial policies and products for economic development• Evaluate financial policies for economic development in their countries.

Microfinance This module provides participants with a broad understanding of the major issues in microfinance practices and management. Africa’s future development hinges to a large extent on the effective harnessing of the potential in the informal sector and the myriad of informal institutions that dot the landscape in many of these economies. Given the sizeable number of people engaged in SMMEs in Africa who lack access to financial services, a thorough understanding of the sustainability and growth of these institutions is crucial in terms of the growth issue of the continent. Thus, this module will identify, explain and discuss the role of microfinance institutions in socio-economic development, review how these institutions are regulated and unravel some of the myths that have clouded their operations for many decades with a view to unveil their potential for growth and development on the African continent.

Specific topics include:• Demand and supply of microfinance• Institutional self-sufficiency, leverage and outreach• Microfinance contracts• Inclusive finance• Credit risk assessment in the microfinance industry• Impact of microfinance• New paradigm in microfinance• Microfinance policies

Upon completion of this module students should be able to:• Identify, explain and characterise the challenges and problems of microenterprises in developing

countries, and show how they affect socio and economic development, especially in Africa;• Demonstrate the ability to perform a risk analysis in the microfinance industry using various

mechanisms;• Assess the impact of microfinance programmes on poverty reduction using specific case studies;• Design a microfinance intervention and evaluate the effectiveness of microfinance policies.

Project Finance Project finance is a specialised tool for financing a development on a stand-alone basis with the financier relying on future cash flows as the primary source of repayment. The project assets, rights and interests are held as legal collateral. The “core” of the business is a full understanding of the project and institutional risks. Only then can the structuring and appropriate funding be understood.

First, the theoretical and academic foundations to the financial, national and institutional considerations for project finance will be canvassed. The learning log for this module focuses the student on developing a hands-on, practical, systematic and applied approach to project preparation, analysis, and finance at every level.

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Specific topics include:• Scale and scope of the modern project finance industry: Criteria applicable to all stakeholders; The

project finance “option”; Industry sectors favoured and methods to enhance more difficult sectors.• Risk identification, quantification and analysis: The nature and definition(s) of risk; The

establishment of acknowledged financial structures; Government, financial-institution, cross-border, and bilateral/multilateral policies and procedures.

• Project preparation and presentation: Project selection and ranking; Determination of the key credit/cash flow ratio measures, as well as IRR; The use and abuse of IRR; Cost-benefit analysis; Due diligence techniques; The role of advisers and consultants.

• The key pillars for implementation of successful public-private project financings (PPPFs): Public-sector requirements for privatisation concessions and PPPF, including subsequent sector re-regulation; International best practice, trends and influences; Country financial structures suited to project finance; Institutional strengthening and training.

• Forms of project funding sources including debt, equity, specialist funds, bilateral, multilateral, environmental, aid and concessional funding: Local and community-based finance; Credit enhancements, guarantees, securitisations, and specialised insurances; Capital markets and project-finance ratings; Special structures for Islamic project finance.

• Legal and documentation issues from constitution and concession to corporate organisation: Institutional aspects of project finance structuring and implementation; Risks versus documents matrix; Black economic empowerment (BEE) funding; Why projects go wrong.

• The key political risks that need structuring: Political-risk insurance, export credit, co-financing, guarantees and development agencies such as the Development Bank of Southern Africa; The fit of sovereign/country analysis to project finance structuring.

• New structures and policies for project finance: Sustainability of projects and their financing; Alternative funding sources.

• The outlook for project finance as a tool for Development Finance.

Upon completion of this module students should be able to demonstrate the ability to:• Identify and analyse development projects to be structured as project finance• Monitor and evaluate project risks and financing risks• Scopeandassessfinancialmarketsforprojectfundingoptions•Evaluateprojectfinancingdeals

and alternatives• Model and structure a project finance deal.

Governance and Ethics The aim of this module is to introduce students to the concepts of business ethics and governance both in the corporate and public sectors, and to illustrate – through theoretical and practical examples – why these concepts are critical to business success in the 21st century. The module will help students to develop the ability to think clearly about complex ethical situations in a global economy, especially those related to corporate governance and the King Report. It further helps students to develop sensitivity to the moral and economic values in situations. Moreover, students are encouraged to examine and articulate their own values and to understand how these values shape and are shaped by the workplace and its corporate culture. Lastly, the module helps students to develop sensitivity to differing value perspectives of the various constituencies of business and government.

The following topics will be addressed: conceptual overview of corporate governance, business ethics/organisational integrity and sustainability; brief introduction to main ethical theories (utilitarianism, rights and duties, justice and fairness, ethics of care, virtue ethics, social contract theory); overview of King III and relevant international standards; business drivers for organisational integrity (governance, ethical investment, reputation, sustainable development); developing a governance and ethics management framework (risk measurement, code of ethics, support mechanisms); sustainability and triple bottom line reporting.

Upon completion of this module students should be able to:• Explain the main concepts related to business ethics and corporate governance• Describe the relevance of business ethics and corporate governance in a professional environment• Apply relevant theories to ethical decision making• Analyse and assess the ethics in the management practices of organisations• Analyse and assess the governance performance of companies in terms of the functioning and

composition of the board, corporate responsibility and corporate reporting.

Research Methods in Development Finance This module is designed to help students develop the skills to carry out advanced research in the field of development finance. It introduces students to the various research design and methods suitable for both qualitative and quantitative analyses used in the field of development finance. While the module will help students to understand the scientific principles and philosophies behind the various research methods, the emphasis of the module is on the operational realities and the applicability of the methods. The principles must therefore be applied to develop a research approach and choose a research strategy within the context of a specific question. Hence, the required steps in the research process must be implemented in order to reach a scientific conclusion.

This module includes various paradigms, the logic of the research process and the different forms of reasoning, the formulating of the research question(s), literature review, deciding on the research design and methodology, conceptualisation, sampling, data collection and analysis. Approaches in data analysis are included, namely qualitative or quantitative methodology, or a hybrid of the two methods. The module includes hypotheses formulation, models, theories and report-writing.

Upon completion of this module students should be able to:• Identify researchable subjects and describe a research problem/question and goal in the field of

development finance;• Execute a critical literature review on a chosen research problem;• Decide on and apply an appropriate research method for gathering data (whether secondary or

primary data) for a given research problem;• Decide on and apply an appropriate research method to analyse the data (whether quantitative or

qualitative) to achieve the given research objective(s);• Apply critical research writing within the technical guidelines provided by the USB; and• Write and present a research proposal to the USB academic community.

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ELECTIVES

Students have to select two electives from the following options:• Small-scale Enterprise Development• Development Project Management• African and Emerging Financial Markets• Environmental Finance• Business Forecasting and Econometric Analysis• Public Sector Finance• Infrastructure Finance• Financial Sector Regulation and Development• Corporate Finance• Human Resource Issues in Development Finance• Investment Promotion

Small-scale Enterprise Development The small-business sector is generally viewed as the most important element in the private sector for developing economies (judged by its contribution to employment, income and wealth creation), even though it may also be the segment with the greatest problems, risks and failure rates. In discussions about financial institutions and development finance the needs and frustrations of small enterprises easily stir emotions and lead to the call for top-down interventions, which is not always the most appropriate remedy. This elective tries to sensitise students to the full spectrum of issues faced by small enterprises in the African development environment. The focus is, however, not only on enterprises and their perception of problems, but also on other stakeholders (including the financial sector), as well as public sector policy-shapers.

Specific topics include:• Introduction and approach to SSMED in Africa: Conceptual clarification: SB – SMMEs – SMEs – SSE;

Core needs of small enterprises.• Start-up and business plan.• Financing small businesses: Why access to finance is such a critical issue for SMMEs; Demand for

finance by small enterprises; Supply of finance for SMMEs; Public sector efforts to ease SMME access to finance.

• Role of informal small business in African development: Size and growth trends of informal business activities in SA and other regions of the continent; Support strategies for the sector; Micro-franchising – its relevance for the informal sector.

• Post-start-up challenges in SMMEs: Growth and growth strategies; Business failure and turn-around; Selling the venture.

• International small business involvement: Import involvement; Export involvement; Partnering with foreign investors; Investing in foreign countries; Franchising across the borders; E-commerce opportunities.

• Evolution of South Africa’s small-business support policies: Stakeholders in the support of small enterprises; South Africa’s SMME support strategy pre-1994; South Africa’s 1995 White Paper and SMME support since then – a critical assessment; The need for (organised) business to play a larger role in SMME support; The 2008 to 2010 global recession and its effects on African SMMEs.

• Public-private partnership in support of SMMEs: Bottom of the Pyramid corporate initiatives; BEE efforts to strengthen (black) SMMEs; Preferential procurement from SMMEs; Private initiatives to strengthen African SMMEs.

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Upon completion of this elective students should be able to:• Understand the critical role and significance of the small-business sector in the development of

African economies;• Understand the sector and locational diversity of small-scale enterprises;• Grasp the relationship between financial and other obstacles in the way of small-enterprise

development;• Analyse and evaluate support programmes for small-scale enterprises; and• Have a deeper understanding of the small-business support framework in at least one African

country.

Development Project Management This elective is designed to acquaint students with the practical and theoretical principles and techniques with which a specific team produces an identified, ad hoc and once-off project within specified time, cost and performance targets. The goal is not to present or promote a specific methodology for project management, but rather the philosophy, principles and techniques involved in the management of projects. Students will, however, be able to analyse, draw up a project plan, manage and execute any project of any kind and size, in any industry. During the lectures, reference will be made to the major international methodologies and project management applications.

Specific topics include:• Orientation to project management: Defining project and project management; The generic

tasks of project management; The four foundations of the project management approach; Project portfolio management and the relationships of projects to an organisation’s strategy; Project selection; Project plans to be implementable; The project management process and project life cycle management.

• Organising for project management: Cross-functional organisation; Matrix relationships for projects; Responsibilities of the role players, i.e. top management, line managers, project sponsors and project managers; The interaction between project managers and functional inputs; Comparing project management with operational management.

• The formulation of the scope of a project: Goal/purpose of the project; Determine the main components of the selected scenario; Stakeholder management; Break the components down into the inclusions; Determine the exclusions as well as the validation of assumptions and evaluation of project risks communication management.

• Time management for projects with non-repetitive elements: Construction of precedence diagrams and Gantt charts; Technical constraints which influence project planning.

• Cost management: General principles of accurate and comprehensive cost recording and management; Cost and work authorisation; Classification of cost and estimating the project budget; The principles of the activity-based costing systems; Cost information and control systems.

Upon completion of the elective, students should be able to:• Understand and apply the systems approach to the analysis of a project;• Formulate the scope of any project of any kind or size, inclusive of validating any assumptions made,

and evaluating and quantifying the foreseeable risks, as well as determining the mitigating actions required;

• Convert, through the Work Breakdown Structure, the outcomes of the project as determined in the scoping process, as articulated in the Scope of Work document, into actions (activities) to be done to enable the delivery of those outcomes;

• Understand the build-up of the cost of a project from the various types of costs as they relate to the context of the activity, the context of the project and the corporate context of a project;

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• Monitor the actual cost and progress of a project in comparison to the planned cost and progress, and determine the variances in cost and progress indicators of the “health” of a project by means of Earned Value Measurement; and

• Interpret the meaning of the variances, diagnose the cause of the variances, suggest remedial measures and make a prognosis of and forecast the eventual outcome of the project in terms of budget and schedule.

African and Emerging Financial Markets This elective explores the main characteristics of the financial systems of African and emerging countries. The elective shows how Africa’s markets are emerging from a condition of financial under-development (sometimes called “financial repression”). Thus, Africa’s emerging markets engage in a programme of market-oriented reforms which include foreign trade opening, privatisation of state-owned enterprises, and the liberalisation and deregulation of domestic financial systems and international capital markets. Emergence typically involves a variety of such changes, as well as related institutional changes that support those efforts (reforms of the legal and regulatory systems, corporate laws, and the fiscal and monetary systems). The elective helps to identify factors that make emergence more or less likely to succeed, and examines the key financial markets and instruments in Africa and other emerging market economies.

The themes discussed in this elective are very lively and ongoing: financial repression and liberalisation, risk-return relationships, innovative finance, new thinking in infrastructure finance, among others.

With capital flows into and out of Africa originating more from institutional investors in other emerging markets, it is vital for African portfolio managers to understand the operations of these markets. Financial markets (from banks, money markets to capital markets) are considered engines of economic growth. To perform this role effectively, they have to meet certain standards. The objective of this elective is to equip students to become portfolio managers and policy-makers with a working knowledge of emerging financial markets.

Specific topics include:• Emerging market economies’ typologies and trajectories• External finance• Innovative and infrastructure finance

Upon completion of this elective students will be able to:• Understand the differences between Africa’s emerging and developed financial markets• Comprehend the role of Africa’s emerging financial markets in global portfolio diversification and

risk sharing• Evaluate the unique mix of rewards and risks that Africa’s emerging financial markets offer• Analyse financial sector policies and their impact on financial markets in Africa and other emerging

markets• Comprehend the role of fiscal policy for development

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Environmental Finance The capitalist model of using natural resources with disregard for efficiency and waste is increasingly questioned by economists. Yet, it is encouraging to see that multinational companies are experiencing a paradigm shift. The paradigm shift is largely due to a realisation that it is good business to be environmentally responsible. Companies are increasingly being scrutinised by stakeholders and there is a clear advantage for companies to move past mere compliance. Against this backdrop, this elective aims to empower professionals to incorporate the impact of environmental finance into their decision-making.

This elective explores the link between finance and the environment from a number of angles. To do so, it examines the underlying environmental issues and the economic theory that underpins market-based initiatives such as the Kyoto Protocol.

The elective covers a wide range of issues relating to environmental finance, including:• Introduction environmental finance: Strengths of different drivers of environmental finance;

Policy mechanisms in controlling environmental externalities, including legislation, taxes, market mechanisms, etc.

• The nature of environmental finance projects: Risk, return and performance of renewable energy and energy efficiency projects; Barriers to energy efficiency and renewable energy; Energy efficiency and renewable energy technologies in meeting future development needs; Costing and drivers of cost of renewable energy projects.

• Environmental certificates: Tradable renewable energy certificates; Kyoto mechanisms (Clean DevelopmentMechanisminparticular);Post-Copenhagendevelopments(REDD+,etc.).•Projectcycle of emission reduction instruments: VERs, VER+, Gold Standard credits; The project cycle of CERs; Risk and price of CERs.

• The impact of environmental instruments on project finance metrics: Debt structuring; Debt service coverage ratio (DSCR); Impact of environmental instruments on DSCR, IRR and NPV.

Upon completion of this elective students should be able to:• Demonstrate an understanding of the background and drivers of environmental finance;• Evaluate, design and implement environmental finance policy; • Demonstrate an understanding of the nature of typical environmental projects with specific focus

on energy-related projects; and• Demonstrate an understanding of the various financial instruments used in environmental projects

and how these may impact on the feasibility of projects.

Business Forecasting and Econometric Analysis This elective introduces students to econometric model-building and forecasting techniques and helps them to understand how such models are used in the field of development finance. The elective is designed to provide a balanced mix of theory and practice to empower students to carry out rigorous economic and policy analyses and forecasting. Therefore, the theories discussed will be seconded by hands-on sessions in the computer laboratory using industry-standard econometrics and forecasting software packages such as the E-views, STATA and STATISTICA.

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The specific topics include:• Basic forecasting concepts, data patterns, autocorrelation analysis, forecast evaluation measures –

judgemental forecasting, managing the process• Time series decomposition: Trend, cycle and seasonality.• Regression models: Simple linear regression, multiple regression, stepwise regression, and

forecasting seasonal data using regression analysis; Violation of OLS assumptions: multicollinearity, autocorrelation and hetero-scedasticity.

• Univariate linear time series models: AR, MA, ARIMA, Box Jenkins approach, and forecasting using ARMA Models.

• Multivariate models: Simultaneous equations models (simultaneous equations bias, exogeneity, recursive models, estimation procedures, Hausman test); Vector autoregressive models (Basic VAR, block significance and causality tests, impulse responses and variance decompositions).

• Modelling long-run relationships: Stationary, unit root testing, co-integration, error correction model; Engle-Granger approach, Johansen approach, other approaches.

• Probability models: Logit and Probit models.

Upon completion of the elective, students should be able to:• Have an in-depth understanding of econometric techniques (such as unit roots, univariate and

multivariate models) used in development finance analysis;• Appraise the major forecasting methods in use today;• Select and use an appropriate forecasting technique based on the circumstances;• Monitor the effectiveness and performance of the chosen forecasting system;• Understand the principles and limitations of popular quantitative forecasting methods;• Understand the nature of the forecasting environment;• Collect data on economic or finance phenomena, and apply relevant econometric techniques to test

relevant hypotheses;• Estimate the main models using standard econometric software such as E-views, STATISTICA and

STATA;• Evaluate the robustness of results obtained from using econometric techniques on real-world

economic and financial data; and• Analyse and interpret results obtained from economic and financial data and explain their

implications for economic and financial theory, policy and investment decisions.

Public Sector Finance The objective of this elective is to equip students with a comprehensive framework to understand public finance, its role, and its management in a typical public-sector organisation. Within this understanding there are more specific objectives to gain both theoretical and practical knowledge of how relevant players, processes, operations and transactions relate within the overall integrated system of budgeting, financial management, and governance. The elective also stresses contemporary issues in sovereign debt management and other sources of financing to the public sector, such as official development assistance. In part, the subject matter pertaining to public finance is presented as a foundation component of progressive public governance. Such an approach is about ensuring that appropriate public services are delivered; that society is optimally developed within the given socioeconomic context; that such delivery and development is relevant to people’s needs; and that the long-term impact of all this provides a real and sustainable investment in society, the environment and the economy. It implies that all services and their delivery processes, as well as the partnering and competitive arrangements surrounding these, have strategic integrity.

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Specific topics include:• Planning and performance systems in the public sector: Modern-era public service reforms;

Central issues of policy objectives, service delivery and value for money performance; Management planning systems and arrangements including strategic planning, budgeting and costing.

• Managing the operational performance of a public sector organisation: Operational management systems and arrangements, including: accounting practices, supply chain management, working capital management, cost and expenditure control, investment appraisal and financing, risk management, internal control performance monitoring.

• Governance framework and arrangements: Governance and the organisation; Accountability requirements and arrangements; Governance/accountability role players; Accountability and disclosure reporting, including annual reports; financial statements and the Audit Committee and Auditor General reports.

• Sovereign debt: Debt contracts and renegotiation (long-term and short-term contract, optimal debt contracts); Debt relief policies; The design of incentives (role of sanctions and incentives); Sovereign debt management (sovereign debt restructuring and reorganisation, new reforms).

• External aid and development: Official development assistance (trends, rationale, aid fundability, aid experiences); The effectiveness of aid (role of international factors, toward relevant theories).

Upon completion of this elective students should be able to demonstrate:• A clear conceptual and theoretical understanding of the development and implementation basis of

the key financial management components within the structures of typical public-sector operations;• A solid working knowledge of all the operational financial management responsibilities, including

the decision-making techniques and skills needed in a typical public-sector organisation;• An understanding of legislated and best-practice governance, accountability and information

arrangements, and an appreciation of how such arrangements give a strong degree of assurance as to responsible and accountable financial management;

• A good understanding of issues relating to sovereign debt management; and• A solid understanding of how to harness official development assistance in development processes.

Infrastructure Finance Considerable effort in the theoretical and empirical literature has been made to analyse the contribution of infrastructure development to economic growth. Even though the evidence is not unanimous, on the whole a consensus has emerged that, under the right conditions, infrastructure development can play a major role in promoting growth. Infrastructure development, thus, is viewed as a key ingredient for economic growth and a prerequisite for poverty alleviation and employment creation. Africa faces a persistent infrastructure deficit and the need for infrastructure improvements is critical. Innumerable numbers of businesses suffer from lack of reliable power for industrial processes or because they cannot get their goods to the market. At the most basic level, millions of lives are threatened every day for lack of clean water or safe sanitation. In this module we put into context the relationship between infrastructure and economic growth, and interrogate the depth of the infrastructure gap facing the African continent, with a focus of four sectors: energy, water, telecommunications and transportation. We subsequently examine the finance models used by infrastructure organisations as a precursor to the forms infrastructure provision takes. The evaluation of infrastructure projects is also discussed.

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Specific topics include:• The impact of infrastructure on development: Overview of the economic linkage of infrastructure to

the stages in the development of a nation;• Analyses of individual infrastructure sectors: Energy, Water, Telecommunication and Transport;• Financing the infrastructure gap in Africa;• Evaluation of infrastructure projects: private and public.

Upon completion of this module students will be able to:• Demonstrate an excellent understanding of the economic theories linking infrastructure

development and growth and its practical implications;• Understand and critically evaluate infrastructure financing needs of various sectors in sub-Saharan

Africa;• Apply development finance theory to identify various sources of funding for infrastructure

development in sub-Saharan Africa;• Critically evaluate various financing models in infrastructure development and their implications;• Apply development finance theory to evaluate infrastructure development policies and

programmes in sub-Saharan Africa;• Research infrastructure development and growth, and motivate well-articulated intervention

programmes.

Financial Sector Regulation and Development The primary objective of this elective is to expose students to a framework of financial sector regulation and how the various components fit together. The elective will systematically take students through the principles of financial sector regulation and how this is applied in different retail financial services sub-sectors, including the markets for banking or transaction services, credit, savings and insurance. The elective will also explore how regulations are being used to facilitate the extension of these markets to low-income individuals, particularly through mobile or branchless banking, microcredit and micro-insurance.

Specific topics include:• The basic elements of a legal framework: Including how this may differ across countries with

different regulatory histories, e.g. Roman-Dutch law and French law.• The basic construct and objectives of regulation in specific sub-sectors: Credit, insurance,

transaction banking and savings.• International standards: Basel II and now Basel III, as driven by the Bank of International

Settlements (BIS); International Association of Insurance Supervisors (IAIS) Insurance Core Principles (ICPs) and Solvency II; Anti-money Laundering (AML)/Combating the Financing of Terrorism (CFT); International Association of Securities Commission (IOSCO) and its various standards; Other international processes such as the G20 process on financial inclusion.

• Cross-cutting topics: This includes the importance of financial sector policy (not only regulation); Institutional issues; Governance; Consumer protection, Treating Customers Fairly (TCF) and recourse; Financial inclusion policy and regulation; Regulatory resources.

• Key issues for each financial sector area: Balancing different (and conflicting) policy objectives; Tailoring compliance with standards to domestic policy objectives and resources; Impact of policy and regulation on financial inclusion (both its absence and presence); Challenges of ‘flexible’ regulation that can accommodate innovation.

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On completion of this module students will be able to:• Demonstrate a critical understanding of the principles of financial regulation and the broader policy

framework(s) within which it is situated;• Demonstrate an in-depth understanding of the most important regulatory considerations in

traditional retail financial services (banking, insurance, savings, credit);• Demonstrate a critical understanding of and the ability to evaluate the most important regulatory

considerations in new, evolving areas of low-income financial services (mobile banking and branchless banking, microcredit, micro-insurance);

• Articulate the various policy objectives in the process of regulation and how these may need to be considered and traded off against each other when implementing financial sector regulation, while adhering to international financial sector standards;

• Critically analyse the relevance and impact of international standards on domestic policy and regulation as well as inclusion; and

• Critically assess an aspect of policy and regulation in terms of its impact on financial inclusion and financial sector development.

Corporate Finance This elective explores the principles underlying corporate finance and focuses on investment decision-making and providing risk adjusted estimates of the value of an investment. Many financial institutions operate within private sector parameters, implying that stakeholders want a market-related return on their investment regardless of whether such an investment consists of a loan, equity or an investment in a bond. At the core of any investment decision lies the concept of Time Value of Money (TVM), and metrics such as Net Present Value (NPV) and Internal Rate of Return (IRR). Other tools, such as Discounted Cash Flow (DCF) analysis and value ratios (Price-Earnings and Market-to-Book value) provide the basis for the valuation of investments. Asset pricing, corporate governance and behavioural finance as well as the importance of managing risk are also treated. The elective provides students the opportunity to learn the language and skills used in the private sector to drive value creation.

Specific topics include the following:• Valuations• Capital budgeting• Efficient market hypothesis• Risk management• Capital structure and dividends.

Upon successful completion of this elective students should be able to:• Develop analytical skills for evaluating strategic and investment decisions;• Measure and incorporate risk in investment decisions;• Understand and apply portfolio theory and capital asset pricing models in asset allocation;• Evaluate alternative methods in long-term project evaluation;• Develop better skills in strategic financial management decisions; and• Appreciate the mechanics of corporate valuation.

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Human Resource Issues in Development Finance Human resource development (HRD) forms an integral part of business improvement as people play a crucial role in a company’s ability to produce products and services, and to contribute to the country’s economic growth. International trends and developments in the field of HRD have evolved over the past few decades and created new and increasingly complex challenges for the managers who want to make a significant contribution to organisational performance. Hence, worldwide trends and developments in the competitive business environment are constantly changing the role of HRD functions and practices, and this subsequently impacts on every function of the organisation, especially Development Finance. Human resources are crucial in African countries. Yet, Africa’s human resources are underdeveloped and the potential of people is unrealised. Global competitiveness reports have identified the lack of people development as one of the major stumbling blocks in terms of the African economy’s ability to compete in the global marketplace. No country can sustain economic development and international competitiveness if its human resources are not developed to contribute significantly to the economy. Against this background, this elective is designed to equip students with the skills to manage human resource needs of the ever-changing development finance industry. It adopts both theoretical and practical approaches in exploring human resources challenges, with a specific focus on Africa.

Upon completion of this elective students should be able to:• Identify international trends in human resources and indicate their relevance to the South African

and African situation;• Provide a critical analysis of the readiness of South African and greater African organisations to

adapt to international trends in HR;• Formulate an implementation strategy to confirm national and global standards;• Develop an integral framework for human resources development implementation; and• Manage a learning system and constantly evaluate the learning system.

Investment Promotion According to the United Nations Conference on Trade and Development (UCTAD), investment promotion refers to the promotion and facilitation of inward foreign direct investment (FDI). As recent as three decades ago, numerous countries still protected a number of their industries from foreign ownership, and investment promotion was consequently not high on government agendas. Coinciding with the growth in foreign direct investment (FDI) flows and the liberalisation of the world economy over the last three decades, investment promotion has emerged as a new policy instrument in economic development. Many investment promotion agencies (IPAs) are relatively new especially in developing countries and countries with economies in transition, but the field has professionalised considerably and rapidly. Today, the number and types of IPA activities are very diverse and differ by groups of countries. UNCTAD also refers to trade promotion as the promotion and facilitation of exports mainly by trade promotion organisations (TPOs). Trade is a much older activity than FDI. The globalisation of the world economy in the early 20th century was for the large part driven by trade and it was only after the Second World War that FDI emerged as major phenomenon and as a result trade promotion is a much older activity than investment promotion. The increased importance of FDI for economic development coupled with greater competition between locations has made investment promotion a growing activity of governments, not only in developed countries but also in

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developing countries and economies in transition. Today there are very few governments that do not have an institution that deals with the promotion of inward investment. In fact, many countries not only maintain such institutions on a national level, but also on a sub-national level. These institutions can only do an effective job if their efforts are combined or preceded by an opening of the economy and liberalisation of the investment regime.

Main topics to be covered include:• Overview of Investment Promotion and Trade: Conceptual Definition of Investment and Trade

Promotion; Rationale, Conditions, Impacts and Benefits of Investment Promotion; Evolving Investment Promotion Function and the New Challenges for Investment Promoters; Theories of International Trade, Foreign Direct Investment and Firm Internationalisation

• Global Foreign Direct Investment Trends: Current and Projected Annual Global FDI Trends; Regional Patterns of Foreign Direct Investment; Building Competitiveness and Strengthening Supply Chains; Modalities and Determinants of Foreign Investment Flows

• Recent Policy Developments Related to FDI: Developments in National Investment Policy; Developments in the International Investment Policy Space; Challenges in National and International Investment Policy Formulation and Analysis; Global Value Chains for Investment and Trade Development

• Organisational Structures of Investment Promotion Agencies: Institutionalisation of Investment Promotion; Sub-national and Overseas Offices; Use of Modern Office Technology and Equipment; Staff Profiles; Core IPA Functions

• Techniques and Tools Used in Promoting Investment: Investor Targeting by Region and Industry; Investor Targeting by Type of Investment; Services Provided to Investors; Investment Promotional Tools

• Investment Promotion Project Performance Indicators, Monitoring and Evaluation: The Rationale for Evaluating IPA Performance; Key Performance Indicators; Information Sources and Basic Tools; Methods and Approaches; National Investment Promotion Strategies.

Upon completion of this elective students should be able to:• Demonstrate a coherent and thorough understanding of the theories underpinning investment

promotion and trade, the international practices in investment and trade promotion including global trends in foreign direct investment and trade.

• Demonstrate a critical understanding of investment promotion in a development finance context in sub-Saharan Africa to effectively manage organisational structures of investment promotion agencies and to analyse tools and techniques used in promoting investment and to identify performance indicators.

• Apply the knowledge of development finance theory and context to formulate, implement and evaluate development finance policies and programmes to address specific development needs within context specific areas including assessing risks and uncertainties impacting FDI prospects in terms of the recent policy developments related to FDI at national and international level, global value chains and development in addition to the fragility of the global economic recovery.

This module is prepared and presented with the aim of achieving the three main learning goals of the MPhil in Development Finance programme. In this regard, upon completion of the module,

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students will firstly be in a position to demonstrate a coherent and thorough understanding of the theories underpinning investment promotion and trade, the international practices in investment and trade promotion including global trends in foreign direct investment and trade. Secondly, the module will equip students with a critical understanding of investment promotion in a development finance context in sub-Saharan Africa to effectively manage organisational structures of investment promotion agencies and to analyse tools and techniques used in promoting investment and to identify performance indicators. Thirdly, students will be empowered to apply the knowledge of development finance theory and context to formulate, implement and evaluate development finance policies and programmes to address specific development needs within context-specific areas including assessing risks and uncertainties impacting foreign direct investment (FDI) prospects in terms of the recent policy developments related to FDI at national and international level, global value chains and development in addition to the fragility of the global economic recovery.

Research assignment The research assignment forms an integral part of this MPhil programme and carries a total of 60 credits, representing one-third of the credit requirements of the programme. The research assignment is usually between 15 000 and 25 000 words on a topic of the student’s choice. Students are encouraged to base their research assignments on topics of direct professional interest to them. The research assignment is supervised by a member of the academic staff.

The aims of the research assignment are to:• Enable students clearly to identify and describe a research problem/question and goal within the

field of development finance;• Enable students to become sufficiently acquainted with the relevant literature (both theoretical and

empirical) on their chosen research problem;• Develop students’ ability critically to apply research methods and techniques that are appropriate to

their research assignment topic;• Develop students’ ability to present their material in a logical, clear and systematic way in

accordance with acceptable linguistic and stylistic standards; and• Provide students with the opportunity to demonstrate the capacity for independent, self-managed

learning and critical reflection on the research process.

PROGRAMME DATES FOR 2018Below are the dates of the two blocks in the first year. The dates for the last block (electives block) in the final year will be announced later.

MDevF 2018 – Intake 1• Block 1: 26 February – 10 March 2018• Block 2: 27 August – 8 September 2018

MDevF 2018 – Intake 2• Block 1: 9 – 21 April 2018• Block 2: 1 – 13 October 2018

DEADLINE FOR APPLICATIONSThe application deadlines are:• South African students: 30 September each year• ARPL candidates: 31 August each year• Foreignstudentsfrom(visa-exempt)SADCcountries:30September• All other foreign students: 30 September

Important• Study permits for foreign students at USB: Obtaining a study permit (study visa) from the South

African authorities takes up to 12 weeks from the date of being offered a place on a programme at USB – hence the early application deadline for foreign students.

• Multiple-entry visas: Students from non-SADC African countries and other countries with visa requirements who need to apply for study visas can obtain a letter from USB confirming the duration of registration at USB. This will help students to obtain multiple-entry study visas in case of modular studies.

• Timetable changes: USB reserves the right to change dates of the lecture schedule or subjects per term table. Students will be informed of any changes in good time.

• Late applications: USB will do everything possible to accommodate applications submitted after the closing date.

TIMETABLES AND DEADLINES

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The 2018 fees quoted below are provisional and subject to approval by Stellenbosch University’s Student Fees Committee.

Important• South African students can pay the full programme fees upon registration or they can pay 75% of

the annual fees by the end of May and the balance of 25% by the end of September. • The fees for 2019 (2nd year of enrolment) will be adjusted to make provision for annual price

increases.• Fees include books and study materials.• Deposit: All students pay a deposit on acceptance of admission. Foreign students need to pay a

deposit of 50% of the annual programme fees on acceptance to the programme and the balance prior to, or upon registration. The deposit is deducted from the programme fee. The deposit payable is non-refundable.

• Application fee: The application fee must accompany the application. The application fee is not refundable.

• Some core textbooks and other study material will be provided to students and the cost thereof is included in the tuition fees. These books become the property of the student.

• €1 = about R14.39; US$ 1 = about R12.87 (28 May 2017). • Students are responsible for their own travel and accommodation arrangements and costs.• USB reserves the right to change the fees at any time.

PROGRAMME FEES

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Programme fees for 2018

2018 2019 Total

Students from South Africa R76 340 R76 340 R152 680

Students from the Southern African Development Community (SADC) countries R80 035 R80 035 R160 070

International students from the rest of Africa (non-SADC) R84 150 R84 150 R168 300

International students from the rest of the world R105 840 R105 840 R211 680

INTERNATIONAL REGISTRATION FEE

Students from the Southern African Development Community (SADC) countries R3 695

International students from the rest of Africa (non-SADC) R7 810

International students from the rest of the world R7 810

INTERNATIONAL TUITION FEE

International students from the rest of the world R21 690

DEPOSIT PAYABLE ON ACCEPTANCE OF ADMISSION

Students from South Africa R10 900

Students from the SADC countries R40 018

International students from the rest of Africa (non-SADC) R42 075

Students from the rest of the world R52 920

Application fee

Application fee (non-refundable; applicable to all students) R670

ADMISSION REQUIREMENTS

• An appropriate Honours degree (the first postgraduate degree after a Bachelor’s degree) or a four-year Bachelor’s degree in business, finance, economics, accounting or commerce; OR

• A three-year Bachelor’s degree and a postgraduate diploma (120 SAQA credits) from a university or a university of technology in business, finance, economics, accounting or commerce; OR

• A postgraduate degree in any discipline and appropriate experience in the area of development economics and/or finance; AND

• A sound understanding of quantitative analysis – a good pass/grade for school-leaving mathematics is an advantage.

IMPORTANT: The Bachelor’s or Honours degree must be on a level that is equivalent to the South African qualification. Local and foreign academic qualifications have to be at the NQF 7 level (old) or NQF 8 level (new). This implies that the qualification includes a module in Research Methodology and an individual research paper.

HOW THE ONLINE APPLICATION PROCESS WORKS

Before you start • You will be able to complete the form in steps without losing information. • The online application form consists of various sections. In order to process to the next section,

all the information in the current section must be completed and accepted by the information management system.

• The application process is the same for South African and foreign students. • ItisbesttouseGoogleChromeaswebbrowserwhencompletingyourapplication.

The application processGo to www.USB.ac.za/apply and complete the online PGD Development Finance application form by completing each of the following sections:

Section 1: Personal details

Section 2: Address details

Section 3: Work and studies

Section 4: Marketing

Section 5: Documentation

Upload the following supporting documentation:o Proof of application fee paymento Detailed CVo Certified copies of degree certificates (which must include a transcript of the subjects)o Proof of school-leaving mathematics resultso Copy of your ID (or passport for non-SA students)o Marriage certificate (where the applicant’s new surname does not match that on the degree

certificates).

HOW TO APPLY

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‘I enrolled on MDevF to enhance my skills as a PPP practitioner. The MDevF, its experienced professors and diverse students challenged me to take a broader view of Africa’s sustainable economic development. I have now become a Development Practitioner playing various roles in promoting the economic develop-ment of Malawi and SADC.’

– Elton Jangale, 2015 MDevF, Partner, PFI Partnerships (Public-Private Partnership Practitioners), Blantyre, Malawi; Board Director, Malawi Stock Exchange; Board Director, Malawi Revenue Authority

‘With USB’s rating as one of the top three business schools in Africa, it was the obvious choice for me. I chose the MDevF to challenge myself on a professional and personal level. It broadened my knowledge base and gave me a different perspective on the challenges faced by the African continent. I’ve met some extraordi-nary people on this programme and it has made me realise the importance of a strong network of leaders who, together, can deal with the unique challenges of our continent.’

– Iesrafeel Jakoet, 2015 MPhil Development Finance, Chief Financial Officer, OIM Group, Cape Town, South Africa

‘As a future policy maker, I needed a programme that would stimulate critical thinking about the conti-nent’s development challenges and act as a platform for the exchange of ideas and solutions to improve opportunities for all Africans. I have started building networks in Southern, West and East Africa, a tribe of Africa’s future leaders committed to the advancement of the continent and its people. No other develop-ment finance programme is as committed to Africa as USB’s MDevF.’

– Rutendo Change, 2015 MPhil Development Finance, Associate Consultant, ZIMBISA, Harare, Zimbabwe

STUDENTS AND ALUMNI TALK

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Section 6: Payment

You need to pay your application fee.• Application fee: Bank: Standard Bank; Type of account: cheque account; Account name: US

Business School; Account number: 073003069; Branch name: Stellenbosch; Branch code: 050610; Beneficiary name: Stellenbosch University; SWIFT code: SBZAZAJJ. Proof of payment of your application fee and SHL fee should be e-mailed to the cashier at payments@usb.ac.za.

Section 7: Status

What happens next? Your application can only be assessed by the selection panel if it is accompanied by your completed online application form, all the supporting documents and proof of your application fee payment. The outcome of the selection process will be made known within approximately 4 to 6 weeks after the closing date for the programme.

MORE ABOUT USB

USB’S PORTFOLIO OF PROGRAMMES

• Business Management: Postgraduate Diploma, MBA, PhD

• Development Finance: Postgraduate Diploma, MPhil, PhD

• Futures Studies: Postgraduate Diploma, MPhil, PhD

• Management Coaching: MPhil

• Specialisation programmes: Postgraduate diplomas in Leadership Development, Project Management and Financial Planning

• Other programmes: Executive development programmes (USB-ED); Doctoral research training

ACCREDITATION, MEMBERSHIPS AND ACKNOWLEDGEMENTS

International recognition

• Three international accreditations: USB has the Triple Crown of international accreditations: AACSB (accredited since 2012), EQUIS (accredited since 2000) and AMBA (accredited since 2002). USB was the first business school from an African university to obtain all three these accreditations. USB is the only school in Africa with the highest level of EQUIS accreditation (5-year accreditation).

• Eduniversal: In 2016, for the ninth consecutive year, USB has been ranked as one of the Top 3 business schools in Africa.

International and local memberships

• Membership of industry and governing bodies in the business school community: USA-based Association to Advance Collegiate Schools of Business (AACSB), Belgian-based European Foundation for Management Development (EFMD), the UK-based Association of MBAs (AMBA), Brussels-based Academy of Business in Society (ABIS), South African Business Schools Association (SABSA), Association of African Business Schools (AABS), Global Business School Network (GBSN), and Central and East European Management Development Association (CEEMAN).

• Links with three responsible management / leadership organisations: USB is a member the EFMD’s Globally Responsible Leadership Initiative (GRLI), which focuses on reframing the purpose of management education among others, and of the Global Business School Network (GBSN), which promotes management education as a critical component in successful international development strategies. USB is one of the first 100 signatories of the UN’s Principles for Responsible Management Education (PRME) promoting corporate responsibility and sustainability in business education.

• Membership of two PhD organisations – GRILI’S GDA and EDAMBA: USB is a member of the European Doctoral Programmes Association in Management and Business Administration (EDAMBA). EDAMBA facilitates cooperation among doctoral programmes in Management and Business Administration and promotes research cooperation. As a member of the Globally Responsible Leadership Initiative’s Global Doctoral Alliance, USB is committed to incorporating the societal dimension of business and sustainability in its PhD research.

National recognition and rankings

• Council on Higher Education: USB is fully accredited as a higher education institution by the CHE.

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• PMR.africa rankings: USB was ranked as the No 1 school in South Africa by PMR.africa in 2016 (for the fifth consecutive year). The PMR.africa survey is conducted among employers of MBA graduates in South Africa.

• Financial Mail rankings: In 2016, USB and its MBA programme have been ranked among the Top 3 in Financial Mail’s annual ranking of business schools by both employers and USB graduates (2015: Top 4; 2016: Top 3). This ranking is based on the overall reputation that a school enjoys among employers. According to the 2016 Financial Mail ranking, “Stellenbosch is a model of consistency” in terms of the school with the best overall reputation.

USB FACULTY

Besides its full-time and part-time academic staff, many of whom have distinguished themselves as organisational leaders, USB welcomes international academics and experts to lecture on its MBA. This gives students exposure to academic learning and real-world experience from across the globe. Find more details on USB’s faculty at www.usb.ac.za.

FACILITIES, RESOURCES AND SERVICES

• ICT facilities: These include wireless broadband internet access campus-wide, an e-learning platform, break-away rooms, network connections for notebooks and access to software packages and databases.

• Library: The library provides access to printed and online local and international publications, books, journals and databases (including SA-ePublications, Scopus, Ebscohost, Gartner and Emerald), as well as a repository of master’s and doctoral theses (SUNScholar). See http://library.sun.ac.za.

• Support services: A wide range of support services to students are provided at various touch points: Career Services, Marketing Office, Admissions Office, Academic Administration, International Affairs Office and Alumni Relations Office.

• Business services: This facility offers e-mail, phone, photocopying, printing, courier and related services to students.

• Lecture theatres: All the auditorium-style and flat-floor lecture theatres are equipped with the latest audio-visual equipment and network facilities.

• Accommodation and restaurants: The Bellvista Lodge (www.usb.ac.za/bellvista) on the campus provides accommodation and a restaurant. Two other restaurants offer meals and refreshments.

USB ALUMNI ASSOCIATION

Strong roots, wide reach

USB is extremely proud of its more than 26 000 alumni who have excelled in managerial and leadership roles all over the world – many of them at the highest level. Various channels are used to create ongoing conversations between USB and its alumni, to provide continued learning and to harness support from alumni for students, bursaries and USB’s Small Business Academy. This includes the USB Alumni Association, which has branches all over South Africa, other African regions, the UK and Europe. Together, USB and its alumni contribute to the common good of society. See www.usb.ac.za/alumni.

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Support services

USB Careers Office

Tel: 021 918 4187; international +27 21 918 4187; Email: usb.Careers@usb.ac.za

International affairs Tel: 021 918 4196; international +27 21 918 4196 Email: international@usb.ac.za

Campus accommodation

Tel: 021 918 4444; international +27 21 918 4444; www.usb.ac.za/bellvista

USB Alumni Office

Tel: 021 918 4212; international +27 21 918 4483; Email: usbalumni@usb.ac.za

West African Office

Prospective students from West Africa can contact USB’s representative in the region for assistance with applications, transcripts and visas:

Contact person: Stephanie Bishop

Telephone: 2348033136294 | +233233136294

E-mail: usb@clarityeducation.net

Physical address: 2rd Floor, 84 Opebi Road, Opebi, Ikeja, Lagos, Nigeria

East African Office

Prospective students from East Africa can contact USB’s representative in the region dirctly for assistance with applications, transcripts and visas:

Contact person: Alex Matheri

Telephone: +254 (734) 606000 (office) or +254 722 251638 (mobile)

E-mail: alex.matheri@usb.ac.za

Physical address: 1st Floor Suite 108, Nanak House, Kimathi Street, Nairobi

Postal address: PO Box 3285-00506, Nairobi, Kenya

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MPHIL IN DEVELOPMENT FINANCE+27 (0)21 918 4246 | mdevf@usb.ac.za

www.usb.ac.za/mdevf

Carl Cronjé Drive, Bellville 7530, Cape Town, South Africa

INFORMATION SESSIONS Telephone: 021 918 4246 | international +27 21 918 4246 | mdevf@usb.ac.za

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