Rwanda - Third Line of Credit to the Rwandan Development Bank


Project Summary

Approval Date 16 Nov 2000
Signature Date 16 Jan 2001
Sovereign / Non-Sovereign Non-Sovereign
Sector Finance
DAC Sector Code 24030
Environmental Category 2
Commitment U.A 5,994,692.33
Status Implementation

Project General Description

The project consists in granting a loan of UA 6 million to the Rwandese Government, which will onlend it to the Rwandese Development Bank (BRD). BRD is the principal productive activities development financing institution in Rwanda. The loan is meant to finance direct and indirect foreign exchange costs of goods and services required under the implementation of the investment projects of the SME/SMI sub-projects in the industrial and services sectors. The African Development Bank Group has already financed two lines of credit for the BRD, which were, on the whole, satisfactorily executed. The present project benefits from the lessons drawn from the second line of credit, which has just been completed and will accelerate private investment in Rwanda, which will help to further stimulate and diversify industrial production, increase revenues in foreign exchange, generate jobs and revenues. It will help to alleviate poverty, particularly among the vulnerable groups, including women, little or non skilled workers of the urban and rural areas. The project will be implemented over three years.

Project Objectives

The sectoral objective of the proposed line of credit is to sustain the development of the private sector by ensuring promotion of the creation, extensions and modernisation of SME/SMIs in order to widen the country’s productive base. The specific objective of the line of credit is to grant resources to BRD to finance the investments requirements of the SME/SMIs’ sub-projects in the industrial, agro-industrial and services sectors.

Beneficiaries

The principal beneficiaries of the line of credit will be SME/SMIs, creators of somewhat skilled or unskilled jobs in the urban and periurban areas. Furthermore, the financed agro-industrial projects will create new outlets for farming ventures, generators of rural revenues. The line of credit will contribute to poverty alleviation, notably among the intermediate and underprivileged strata of the population, in conformity with the policy of ADF VIII.

Participating Organization

Funding
African Development Fund

Information

IATI identifier 46002-P-RW-HAA-002
Last Update 05 Dec 2020

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Contact Details

Name BYARUHANGA Mpanga Juliet
Email j.byaruhanga@afdb.org

Geographic Location

Country Rwanda