Ecobank Rwanda has launched its first dedicated agricultural lending facility, a strategic initiative aimed at addressing the persistent financing gap in one of the country’s most critical sectors.

Despite contributing around 20 per cent of Rwanda's GDP and employing approximately 53 per cent of the country's workforce – according to the National Institute of Statistics of Rwanda – the agriculture sector receives only about 1.3 per cent of total bank lending, underscoring the limited access to tailored financial solutions, as per the National Bank of Rwanda.

The new facility introduces a structured financing approach designed specifically for the realities of agricultural production. Individual enterprises can access loans of up to Rwf700 million, cooperatives and companies up to Rwf2 billion.

Repayment terms are carefully aligned with agricultural cycles, ranging from 12 months for short-term financing and up to four years for machineries/equipment, working capital and investment projects.

This flexibility ensures that farmers and agribusinesses can access funding when it is most needed, rather than being constrained by conventional banking timelines.

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Ecobank’s Agriculture Financing Facility supports the full agricultural value chain, targeting cooperatives, processors, exporters, and distributors, with a focus on priority sectors such as coffee, fruits, vegetables, and consumer foods.

Beyond these key areas, the facility offers a broad range of financing solutions covering inputs, irrigation, mechanisation, storage, and processing infrastructure, while also providing working capital support to agro-processors and exporters to address cash flow challenges

"We recognise agriculture as a strategic pillar of Rwanda’s economy—powering growth, creating jobs, and sustaining livelihoods. It is also central to food security and inclusive, sustainable development. Ecobank Rwanda remains committed to delivering tailored financial solutions that support every player across the agricultural value chain,” said Dieudonne Bigirimana, Head Customer Segment at Ecobank Rwanda.

Bigirimana further emphasised the bank’s commitment to addressing liquidity challenges across the value chain: "If a processing company has supplied products under a supply contract and is waiting for a payment, we can provide working capital to sustain operations. We also finance exporters against outstanding invoices while they wait for settlement. This ensures continuity of business and prevents disruptions in the supply chain.”

To enhance accessibility, Ecobank has adopted a flexible collateral framework that moves beyond traditional security requirements. Depending on the nature of the transaction, financed machinery, agricultural land, plantations, or even outstanding invoices can be used as collateral.

This innovative approach is expected to unlock financing opportunities for farmers and agribusinesses that have viable projects but lack conventional assets.

For the sector stakeholders, expanding access to finance is essential not only for increasing production but also for strengthening value chains and improving Rwanda's export competitiveness.

It is against this backdrop that Ecobank Rwanda has introduced the dedicated financing facility aimed at expanding access to credit across the agricultural value chain.

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Farmers welcome Ecobank’s tailored financing

Farmers say access to financing designed around agricultural realities could significantly improve productivity and strengthen the impact of existing government support programmes.

Augustin Sebuhoro, a vegetable and fruit farmer in Nyagatare District, noted that while the government has expanded access to subsidised fertilisers, irrigation equipment and other inputs, many farmers still struggle to raise the resources needed to meet their share of the investment.

"Government has made significant investments in supporting farmers through subsidised fertilisers, irrigation equipment, and other inputs,” he noted, "What is often missing is the financing needed to cover the farmer's share. If banks bridge that gap, they can significantly amplify the impact of those interventions.”

He also stressed the importance of aligning financing with farming calendars rather than conventional lending schedules, which the new Ecobank facility is addressing.

"Agriculture follows production seasons, not banking schedules. Financing must be disbursed when it is needed; otherwise, even an approved loan can lose its value,” he said.

On collateral requirements, Sebuhoro said many farmers are locked out of formal credit despite having viable business opportunities.

"Many farmers have viable projects but lack conventional collateral. A financing model that places greater emphasis on the project's productive potential would unlock opportunities for more farmers,” he said.

"When farmers access financing, the benefits extend beyond the farm. Production increases, jobs are created, young people find employment, and rural economies become more vibrant.”

Economists back value chain financing

Jean Claude Rwubahuka, an economist and financial expert, said products tailored to agricultural value chains are critical if Rwanda is to unlock the full potential of a sector that remains central to economic growth.

"Agriculture is not just another sector of the economy. It supports livelihoods, drives exports, and underpins food security. Financing models that respond to production cycles and value chain dynamics are essential for its transformation.”

He said value chain financing is particularly important because it strengthens linkages between producers, processors, exporters, and input suppliers.

"What makes this approach particularly important is that it supports the entire ecosystem. When farmers can access inputs, processors have working capital, and exporters maintain cash flow, productivity and competitiveness improve across the value chain.”

Rwubahuka added that deeper financial sector participation will be critical if Rwanda is to achieve its ambitions of modernising agriculture and expanding exports.

"If a sector that employs the majority of the population receives appropriate financing, the benefits extend beyond agriculture itself. They translate into higher incomes, job creation, stronger exports, and broader economic growth.”

About Ecobank Rwanda

Ecobank Rwanda is part of Ecobank Group, a leading pan-African banking institution with a presence in 34 countries across Africa. Through its international footprint, which includes operations in Paris and representative offices in Beijing, London, and Dubai, the Group connects African businesses and individuals to global financial markets.

In Rwanda, Ecobank serves customers through eight branches and a network of more than 700 agents, delivering accessible, innovative, and technology-driven banking solutions nationwide.