The approval was made on April 13, 2026, following a majority vote by Members of Parliament after the Government presented the financing proposals.
The agreements were tabled before the House by the Minister of State for National Treasury in the Ministry of Finance and Economic Planning, Godfrey Kabera, who outlined how the funds will be allocated across priority development areas.
The largest share of the financing is a loan of over €213 million to be provided by Standard Chartered Bank in partnership with Société Générale, and backed by an international development fund. The facility will be repaid over 15 years, including a six-year grace period before repayment begins.
A second loan of 15.3 billion Japanese yen has been secured from an international development fund to support policies promoting inclusive and sustainable employment in Rwanda. It carries a 31-year repayment period, with an eight-year grace period.
In addition, the Asian Infrastructure Investment Bank will provide a loan of 14.8 billion Japanese yen to support development initiatives. This facility will be repaid over 29 years, with a five-year grace period.
According to Kabera, the financing package is expected to significantly strengthen Rwanda’s economy by supporting key national priorities, including job creation, digital connectivity, and productivity improvements in agriculture.
He noted that part of the funds will be used to expand inclusive and sustainable employment opportunities, strengthen collaboration between public and private sector actors, improve access to high-speed internet, and promote the adoption of modern technologies in agriculture and livestock farming.
A portion of the financing will also go toward the energy sector, with a strong focus on clean and sustainable solutions.
“These funds will support a project aimed at expanding and strengthening electricity transmission networks to improve power distribution in densely populated areas. The project will also increase access to electricity for both on-grid and off-grid users, while promoting clean cooking solutions in rural communities,” Kabera said.
The project is expected to provide electricity to around 200,000 households, as well as 850 businesses and industries. It will also extend off-grid electricity access to 50,000 people, enable 100,000 households to access clean cooking equipment, and supply such equipment to 310 schools and health facilities.
Additionally, about 200 kilometres of street lighting will be installed in secondary cities surrounding Kigali.
Other components of the financing will support improvements in public financial management, expansion of essential infrastructure, and investments aimed at positioning Rwanda as a regional hub for transport and tourism.
The funds will also support agricultural and livestock development, including improved access to inputs and enhanced productivity in areas such as fish farming.
Leave a Reply