The Bank will play an important role in increasing access and improving quality of both basic and tertiary education. This will be achieved through investments in Education projects, Education savings program and efficient management of student loan and bursary schemes.
In October 2015, the Government of Rwanda gave the mandate of management of students’ loans and bursaries to BRD in compliance with the provisions of Law No 44/2015 of 14/09/2015 governing student loans and bursaries in Rwanda. This role was previously undertaken by the Ministry of Education.
The cardinal principle of BRD taking over the management function of the student loans and bursaries is to bring in efficiency in the management of disbursement and recoveries with a focus to attaining long term financial self-sustainability.
The Government will provide the funding until the loan scheme can sustain itself in the long run; expected to be in ten years’ time.
It is in that framework that BRD established the department of Education Financing which has four units:
- Disbursement unit
- Recovery Unit
- Education savings Unit
- Education investment Unit
Education being one of the priority sectors of the economy that BRD has embarked on, will go a long way in supporting the realization of a knowledge based society through the support human capital development and quality of education.
This is envisaged to handsomely contribute towards EDPR 2 thematic areas of Economic Transformation, Productivity and Youth Employment.