IFC Brings Global Expertise, Competitive Solutions to Support Rwanda's Development

Rwanda Chidrens

IFC, a member of the World Bank Group, is expanding its activities and development impact in Rwanda with a focus on improving infrastructure, supporting smaller businesses, and creating a more favorable environment for investments. Highlighting IFC's efforts to help the private sector create jobs and growth, IFC Executive Vice President and CEO Lars Thunell met with Rwandan President Paul Kagame, government ministers and senior officials, development partners, local private sector representatives, and IFC clients during a two-day visit to the country.

"Rwanda's economic reforms and strong growth signal a commitment to reducing poverty, especially through a more dynamic private sector," Thunell said. "IFC is the right partner for Rwandan businesses that seek innovative solutions, global expertise, and local knowledge."

Thunell yesterday signed an agreement for IFC's Global Trade Finance Program to provide guarantees of up to $2 million against Banque Commerciale du Rwanda's underlying trade transactions, covering the bank's payment risk. IFC's investment will help increase the country's global trade volumes.

The trade finance agreement marks IFC's third investment-related transaction in Rwanda in less than a year, and its first in the financial sector. IFC is also supporting renovation of the Kigali Serena Hotel, part of the country's effort to attract more tourism and foreign direct investment. Another transaction provided IFC financing to Intraspeed, a major freight and forwarding company.

Thunell today visited the Agaseke Promotion Project. Supported by the Mayor of Kigali and Rwanda's First Lady, Mrs. Jeannette Kagame, the project was set up to provide income-generating activities that benefit poverty-stricken women and their families. IFC is considering supporting the project expand its activities, analyze the barriers to women's participation in private sector development, and implement an access to finance program for women entrepreneurs.

IFC's strategy in Rwanda focuses on mobilizing direct investment to key sectors for maximum development impact, including tourism, infrastructure, financial markets, agribusiness, and construction. IFC also aims to support small and medium enterprises in the country through advisory programs that promote leasing, build entrepreneurial skills, improve the business climate, and increase access to finance.

IFC

IFC, a member of the World Bank Group, fosters sustainable economic growth in developing countries by financing private sector investment, mobilizing private capital in local and international financial markets, and providing advisory and risk mitigation services to businesses and governments. IFC's vision is that poor people have the opportunity to escape poverty and improve their lives. In FY07, IFC committed $8.2 billion and mobilized an additional $3.9 billion through loan participations and structured finance for 299 investments in 69 developing countries.

Foto: Flickr

Source: IFC