The Rwanda Capital Markets Authority (CMA) has said it has issued a licence to United Capital, an investment bank owned by Nigerian billionaire Tony Elumelu.

The company will operate as United Capital Financial Services Rwanda Ltd.

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CMA Chief Executive Officer Romeo Ngarambe said the decision reflects confidence in Rwanda’s regulatory and business environment.

"When a pan-African institution of United Capital’s calibre and track record makes a deliberate choice to anchor its East and Central African operations in Kigali, it sends a signal that Rwanda’s market is serious, our institutions are trusted, and our ambition is matched by execution,” he said in a statement.

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United Capital Plc provides services in capital markets, corporate finance, asset management and structured finance in several African markets.

According to CMA, United Capital chose Rwanda due to its governance framework, legal environment, ease of doing business and its strategic location within the region.

Under its licence, the company will offer services including corporate finance, project and infrastructure finance structuring, trade and supply chain finance, structured finance, trusteeship and capital markets advisory.

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The regulator said the company’s presence is expected to expand the range of financial services available to businesses and investors in Rwanda and the region.

The development is in line with Rwanda’s plans to strengthen its financial sector and position Kigali as a regional financial centre.