Last Week in review

Govt repossesses Cimerwa The government repossessed Rwanda Cement Company Ltd following failure by Rwanda Investment Group (RIG) to improve the company’s production capacity. The government and its partners plan to inject a massive investment of US$130 million to boost its supply to meet huge demand for cement driven by a boom in the construction sector. Country’s debts growRwanda’s total debt grew to Rwf 761 billion by June 2011, up from Rwf 617 billion at the end of the 2009/10 fiscal year.Minister of Finance, John Rwangombwa attributed the debt increase to the reduction of grants and donations from African Development Bank and the World Bank reduced. Oil pipe delays irk EACDelays by the Libyan oil firm, Tamoil East Africa Ltd, to construct a regional oil pipeline have caused rising concerns among EAC governments. The Minister for East African Community Affairs, Monique Mukaruliza, gave a six months ultimatum to Tamoil to get its house in order. The oil pipeline is expected to start from Eldoret, Kenya, connect to Kigali through Uganda, and then on to Burundi. Rwanda is top business friendly, againRwanda was ranked by World Bank and International Monetary Fund as top business friendly destination in East Africa, third in Africa and the second top reformer globally. Cabinet approves Rukarara leaseThe cabinet approved the lease of Rukarara Small Hydro Power Project to a local firm, Digitech Solutions, as part of the government’s plan to involve the private sector in energy generation. The company will run the plant located in Nyamagabe District, Southern Province, at a cost of US$23.5m. Tea sales shoot upTea sales increased 12.7 per cent to US$3.5m (Rwf2.1b) from US$3.1m (Rwf1.8b) in the previous week. Last week’s tea trading mainly attracted buyers from Pakistan, UK, Egypt, Somalia and Sudan. Ends