Through strategic partnerships, skills development, Fintech, and sustainable finance, Kigali International Financial Center (KIFC) has remained a beacon of stability and progress in the region’s financial sector over the past four years. ALSO READ: KIFC reflects on three-year journey, lays out future priorities Rwanda, through Rwanda Finance Limited (RFL), initiated the Kigali International Financial Centre (KIFC) to transform Kigali into a regional business and financial hub capable of attracting foreign investments as well as encouraging the creation of highly skilled jobs in the sector. During the 2023 KIFC Annual Review event that brought together key industry players and government officials, the centre showcased various achievements made and reaffirmed its commitment to contribute to the country’s economic development. The event featured a panel discussion on milestones in skills development in the financial sector, facilitating the establishment and scaling of FinTechs, sustainable finance, building strong strategic partnerships, as well as different projects in the pipeline. ALSO READ: Catalysing Rwanda's financial sector growth through skills development Nick Barigye, CEO of Rwanda Finance Limited, said that despite the global uncertainties, KIFC's commitment to innovation, sustainability, and inclusiveness has been unwavering and it continues to be a beacon of stability and progress in the region while acting as a conduit of capital in Africa. Over the past year, we have witnessed remarkable achievements. From attracting new investments to advancing financial inclusion initiatives, our collective efforts have propelled us forward on the path of sustainable development. Additionally, he said the partnerships they forged with industry leaders, government, and regulatory bodies have been instrumental in driving positive change and fostering a conducive environment for businesses to strive. However, he acknowledged that there are challenges that lie ahead, noting that the ever-evolving nature of the global economy demands agility, adaptability, and foresight while remaining vigilant in navigating geopolitical uncertainty, technological disruptions, and emerging risks to ensure the continued resilience of the financial sector. In 2023, KIFC built partnerships with different countries in terms of Double Taxation Avoidance Agreements (DTAA) and Business Investment Protection agreements to create the right linkages for investor establishment and scale up. The DTAAs were signed with South Korea, the Czech Republic, and France. The centre also partnered with different IFCs across the world including Qatar IFC, Astana IFC, and Luxembourg IFC. During the year under review, KIFC was able to attract 42 entities who decided to domicile their investment in the country with close to $560 million committed investments in the next five years. Furthermore, it established the Financial Sector Skills Council –aimed at increasing access to high-quality skills by standardizing capacity-building efforts –in that line, it partnered with Luxembourg School of Business which graduated six Rwandans, and INSEAD training offered to 23 participants. KIFC also participated in COP28 and launched Rwanda’s first-ever Green Taxonomy, a classification system that clarifies environmentally sustainable activities, to mobilize private financing for green projects. In his keynote address, Uzziel Ndagijimana, Minister of Finance and Economic Planning, commended KIFC’s work in catalysing and enhancing increased investments and diversified sources of capital in the financial sector. “The financial services sector remains pivotal in our nation's economic development, contributing significantly to its overall growth and prosperity. Notable advancements have been observed, particularly in the ease of Foreign Private Capital (FPC) inflows,” he said. The data from the 2022 Foreign Private Capital in Rwanda Census Report indicate that the financial sector contributed 28.6 percent of the total FPC inflows reaching $155.3 million in 2021. It maintains a leading position in FPC stock. These achievements align with the targets set by Rwanda's Vision 2050, where the financial sector aims to contribute 5.2 percent to the GDP in 2035 and increase it to 11.8 percent in 2050, Ndagijimana noted. “The strides made in advancing the competitiveness of our financial sector and attracting investments represent significant steps toward realizing these ambitious goals.” In 2023, KIFC hosted the 1st annual Global Fintech Forum that attracted more than 2000 leading players in the industry from across the world and announced that it will equally host the second edition in August 2024.
