In 2022, on the occasion of the annual United Nations Climate Change Conference (#COP27) that was held in Sharm El-Sheikh, Egypt, gathering governments, civil societies, and the private sector, Ireme Invest was launched. The Development Bank of Rwanda participated in order to showcase what makes Rwanda an ideal destination for green investment, and highlight its track record in delivering climate action, and to promote its aim for a carbon free future by 2050.
HE Paul Kagame, the President of the Republic of Rwanda introduced Ireme Invest as a groundbreaking new investment facility that will support Rwanda’s private sector to access green finance and increase the sector’s contribution to the country’s response to climate change. In partnership with Rwanda Green Fund, the Development Bank of Rwanda will be implementing this strategic initiative fully dedicated to the private sector in Rwanda to address local market gaps in the financing of green and climate-resilient projects. Ireme Invest addresses the current barriers to creating project pipelines and gaining access to financing using a comprehensive and value-chain approach.
Ireme Invest has launched with its capitalization round of USD 104 million expected from the following partners:
- European Investment Bank (EIB) with a credit line of up to Euro 20 million
- Agence Française de Développement with a credit line of up to Euro 20 million
- Sida with a guarantee cover of up to Euros 20 million
- Foreign, Commonwealth and Development Office with a grant of GBP 7 million
- Global Climate Partnership Fund managed by responsAbility Investments AGAG with a credit line of up to USD 15 million
- Development Bank of Rwanda (BRD) PLC with a capitalization fund of USD 22 million (equivalent in RWF)
The name Ireme is a Kinyarwanda form of “quality”, that reflects our desire to (i) ensure a quality future for the next generation and (ii) support high quality investments for a green growth. Ireme Invest is made up of 2 components, namely, a Project Preparation Facility at Rwanda Green Fund to offer grants to advance projects form feasibility to bankability, and a Credit Facility at the Development Bank of Rwanda (BRD) to offer credit guarantees and concessional loans.
At BRD, we take a holistic approach to green financing. “If we continue to think of green financing as stand alone, it won’t work. We need to empower the financial industry with tools & incentives to mainstream green financing in their existing balance sheets”. ~ Kampeta Sayinzoga, CEO of the Development Bank of Rwanda.
Starting early this year, Ireme Invest stands to be a gamechanger in green financing, ensuring a partnership with the private sector businesses operating in Rwanda. We are very appreciative of our partners for helping us to make this a reality, and we look forward to great opportunities for our public.