Rwanda Signs $93 Million Financing Agreement with Germany
The agreement, which is part of the bilateral cooperation between the two countries, will support good governance and vocational training, among others.
Rwanda and Germany have signed an agreement for a grant of 90 billion Rwandan francs ($93 million) in favour of Rwanda. This was announced by the Rwandan Ministry of Finance in a statement issued on Monday 12 April 2021.
The agreement was signed by the Rwandan Minister of Finance and Economic Planning, Dr. Uzziel Ndagijimana and Dr. Thomas Kurz, the Ambassador of the Federal Republic of Germany to Rwanda. It aims at supporting decentralization, good governance, export promotion and vocational training.
According to the communiqué, the funds will be made available to the Rwandan government through two institutions: the KfW Development Bank and GIZ. Thus, KfW will provide nearly $ 70 million to support technical and vocational training, promotion of SMEs, export, green investments and ICT. GIZ will channel more than $22 million to "support decentralizationand good governance, prevention of sexual and gender-based violence, among others".
Following the signing of the agreements, Mr. Ndagijimana indicated the importance of the signing of this agreement for the achievement of the country's development objectives. He said that "this support comes ata critical time, given the effects of covid-19 on our socio-economic progress. We look forward to boosting these important areas that are in line with our national transformation strategy.
The signing of this agreement confirms the long-standing collaboration between the two countries. Indeed, the German ambassador to Rwanda indicated that "Germany is committed tosupporting Rwanda in its economic recovery process and in the implementation of its national strategy.The German ambassador to Rwanda said that "Germany is committed to supporting Rwanda in itseconomic recovery process and in the implementation of the NST 1 [the National Strategy for Transformation programme, editor's note], in order to achieve the MDGs and to leave no one behind".
Source: www.agenceecofin.com
