The Board of Directors of the African Development Bank Group has approved a US $ 30 million loan to support the creation of the Rwanda Innovation Fund (RIF).
The Fund’s mission is to promote the innovation economy in Rwanda and the East African Community (EAC) region. The resource will be used to create an investment vehicle focused on financing technology-driven small and medium-sized enterprises (SMEs) and develop the capacity of the country’s entrepreneurial / innovation ecosystem. It aims to mobilize $ 100 million in direct commitments from the Rwandan government and private investors, while targeting a leverage effect of up to US $ 300 million in follow-on investments.
“By granting this loan to the Government of Rwanda, the Bank wants to allow the country to develop the sector and attract private investors. The project will enable the Bank to play a leading role in helping regional member countries to develop sustainable innovation ecosystems, stimulate entrepreneurial growth, fill funding gaps, reduce poverty and promote socio-economic growth. ” said Abdu MUKHTAR, ADB Director of Development of Industry and Commerce.
The project, which plans to support more than 150 companies at various stages and invest in about 20 initial development opportunities, aligns with Bank priorities under the High 5 program and the 10-year strategy to build on the Bank’s success. innovation in all sectors to promote inclusive growth, youth empowerment and the creation of high-value jobs.
