The Development Bank of Rwanda (BRD) and the African Export-Import Bank (Afreximbank) have signed an agreement for a $10-million credit facility to support energy and manufacturing projects in Rwanda.
The agreement, signed on the margins of the 24th Afreximbank AGM meeting in Kigali, is a 7-year amortizing term loan that BRD will use to support projects that help increase electricity generation and consumption, thereby contributing to the growth of the country’s manufacturing and export sectors.
“The projects being financed are in line with our bank’s strategy of promoting industrialization and export development,” BRD’s Chief Executive Officer, Alex Kanyankore, said after the signing.
According to Afreximbank officials, through partnerships with lenders like BRD the institution wants to reach out to strategic sectors through wholesale facilities extended to the local banks in member states for on-lending.
BRD mainly targets SMEs in energy, agro-processing, hospitality as well as manufacturing. It has had partnerships with Afreximbank since December 2010, when they first received $25 million to finance projects dealing with horticulture, tea, coffee, agro-processing and manufacturing.
Read this article and more in issue n° 76 of Hope Magazine.