Barely a month after celebrating forty years of participation in poverty alleviation and development financing in Rwanda, the Rwanda Development Bank (BRD) is set to enter into a partnership with the East African Development Bank (EADB).
This was revealed by the Director General of the East African Development Bank, Godfrey Tumusiime, while on an official visit to he BRD in Kigali on Wednesday.
Tumusiime said the aim of their future partnership with BRD is to provide assistance to the Bank in financing development activities in Rwanda.
On his visit, he was accompanied by the Regional Banks Director of Legal Affairs William Kasoz,i and its Director of Operations, Passwell Shapi.
“We will finance any programme that has potential for the development of Rwanda in all sectors of the economy,” said Tumusiime.
Tumusiime also said EADB will hold a campaign in Rwanda to ensure the general population knows about their activities in the country.
He also said they will help BRD in ensuring the projects they support financially in Rwanda are economically viable and sound.
Rwanda is set to join the East African Development Bank as one of its share holders.
This comes a few months after joining the East African Community. The share holders in EADB are Kenya, Uganda, and Tanzania, each holding 24.07 per cent of capital.
Other share holders include the African Development Bank, Barclays Bank and the Standard Chartered Bank of London, among others.
Areas of partnership.
The possible areas of partnership according to Tumusiime, will be investment in capital, lines of credit and joint financing for development projects.
Tumusiime further said BRD has a lot to learn from the East African Development Bank including its wide experience in risk management and in how to deal with non-performing clients.
He was also optimistic EADB will have a lot to learn from BRD, given its long history and experience in development finance in Rwanda.
The BRD Managing Director Mr. Theogene Turatsinse said after Rwanda has been admitted as a shareholder in EADB, EADB will be looking into investing in Rwanda through BRD as an equity investor, and joint financier.
Other areas of partnership according to Turatsinze include the development of investment bonds that have been missing in Rwanda’s capital markets.
Turatsinze further also said they hope to build business synergies and will not be a competitor with the Kampala based East African Development Bank.