{{Rwanda’s Minister of Finance, Amb. Claver Gatete has explained to media highlighting how US$ 400M acquired from bond sells will be distributed in building infrastructure and paying previous debts.}}
The Minister noted three areas of expenditure such as the restoration of Nyabarongo power plant, supplying Rwandair and finishing up the Kigali Convention Centre.
Government will service a debt of US$ 150 million. Also US$ 120 million will be used to finance completion of the Kigali Convention Centre.
US$ 90Million will be allocated to sustain Rwandair and the rest US$ 40Million will be used for Nyabarongo Hydroelectric power plant.
Minister claver insists that the reason of investing this amount mostly in infrastructure is that infrastructures can be the quick and cheap way to the foster development, which is the first target of the Rwandan Government.
“The country must look for revenue which is higher than the amount received from the Rwandan current income in order to allow the rapid development.”
The US$400 million bond, which is due May 2023, will be reimbursed at a coupon of 6.625%. Over 250 investors from US, Europe and Asia believe the credibility of the Rwandan strategies in growing business.
Also Read:: http://en.igihe.com/business/rwanda-s-eurobond-oversubscribed.html
Leave a Reply