A new Rwanda Bioeconomy Fund is backing local companies developing solutions to pressing challenges in healthcare, agriculture and waste management, with the aim of turning homegrown innovation into viable industries and reducing reliance on imported products.

Backed by the European Union’s Team Europe Initiative on Manufacturing and Access to Vaccines, Medicines and Health Technologies (TEI MAV ) and Germany’s Federal Ministry for Economic Cooperation and Development through GIZ, the Fund was launched in Kigali on September 18 and is managed by Angaza Capital, a Capital Market Authority-licensed fund manager based in Kigali.

It is designed to provide catalytic capital to early-stage companies that often struggle to secure conventional commercial finance because they lack the revenue, assets and track record required by traditional lenders, according to those behind its establishment.

"We are here to launch the Rwanda Bioeconomy Fund, which is a new initiative capitalized by the European Commission and the German government,” said Chris Muneza, Investment Director at Angaza Capital. "The purpose of the fund is to support life science ventures that operate in Rwanda.”

Elise Hadman, Head of Cooperation at the EU Delegation to Rwanda, said the initiative builds on capabilities already emerging in the country.

"Rwanda has very ambitious vision for developing its bioeconomy,” she said. "And there is already significant talent, innovation and entrepreneurial energy in the country, as we can see here in the room today. Through our cooperation with GIZ, we have been working to strengthen the wider ecosystem.”

The Fund’s approach goes beyond supporting individual businesses. Companies are assessed not only on their commercial potential, but also on whether their solutions address a clear local need, can work under Rwandan conditions and have the potential to develop into viable industries.

The Fund also considers the evidence behind a solution, its market potential and the regulatory pathway needed to bring it to market. Financing is provided in stages against defined milestones, with progress expected to generate technical, commercial and regulatory evidence that can help companies attract larger private and development financing.

This approach is intended to help companies demonstrate that technologies can work under local conditions, establish viable markets and navigate regulatory requirements, creating pathways that other businesses can follow.

Its mandate aligns with Rwanda’s Vision 2050, the second National Strategy for Transformation (NST2) and the fifth Strategic Plan for Agriculture Transformation (PSTA5), particularly their focus on domestic manufacturing, resource efficiency, jobs, nutrition and private-sector-led growth.

Dorian Cyubahiro, Chief Technical Advisor to the Minister of Finance and Economic Planning, urged financiers to develop products suited to the needs of early-stage businesses.

"We encourage you to keep building funding products that fill gaps in our market,” he said, "to support founders and businesses based on their needs.”

Muneza called for wider participation from investors and other stakeholders.

"We hope that the success of this fund will be a showcase to our institutional capital that these solutions are worth backing from both a financial and a developmental perspective,” he said.

Cyubahiro said the initiative comes at an important point in Rwanda’s development.

"We truly believe that the fund that is being developed is really coming in at the right time and coming in to support our ambitions as a government and as a country,” he said.

Beyond financing, the Fund will help companies strengthen technical evidence, quality systems, commercial models and regulatory pathways as they prepare for larger investment.

Dr Leandre Ishema, Ag. Director for One Health at Rwanda Biomedical Centre, said the regulatory system also needs to evolve alongside innovation.

"We are trying to improve the system we currently have so that it can be able to support the innovators,” he said, adding that it should "accommodate their needs rather than being a burden to them.”

For investors, however, credible evidence remains essential.

Doris Gatari, Head of Equities at Rwanda Social Security Board (RSSB), said: "I make investment decisions based on data. So, if I don't have that, then I will categorize you as not ready.”

The Fund’s first cohort comprises four companies working across waste management, pharmaceuticals, women’s health and agricultural inputs.

MyiaGrow converts organic waste into black soldier fly products, including protein-rich larvae meal for animal feed and frass biofertiliser. The Kigali-based company is seeking to address organic waste management, shortages and high costs of animal-feed protein, and dependence on imported fertilisers. It operates a trial centre in Kigali and is adapting the technology to local conditions.

Bio Usawa is developing locally relevant treatment for diabetic macular oedema, a condition that can cause vision loss among people with diabetes. The company plans to establish itself in Rwanda before expanding into other African markets, building on the country’s growing pharmaceutical sector and regulatory infrastructure.

Sawazisha MedTech Labs is developing low-cost medical devices targeting women’s health needs. Its lead product, WARIDI, is a single-use self-heating pad designed for use by midwives during childbirth to reduce the risk and severity of perineal tearing. The company is also developing Warmease, a self-warming patch for drug-free menstrual-pain relief, and ZAWADI, a non-invasive device designed to screen for an early stage of iron deficiency.

The three products use a sealed iron-powder reaction to generate controlled warmth without electricity or hot water.

Oath Africa is developing biological agricultural inputs, including Oath Soil Life, a multi-strain microbial product designed to support soil health and nutrient cycling. The Rwanda-based company aims to manufacture the product locally and reduce farmers’ reliance on imported synthetic inputs.

Sean Buckley of Oath Africa said the company welcomed the Fund’s support.

"We are excited to receive the support of the Rwanda Bioeconomy Fund and Angaza Capital, which will have a transformational impact on our ability to deliver here in Rwanda by boosting our capacity to produce this product here locally.”

The four companies remain at different stages of development, but their selection reflects the Fund’s broader objective of using early-stage capital and technical support to test whether solutions to Rwanda’s healthcare, agricultural and environmental challenges can develop into commercially viable local industries.