KIGALI, (CAJ News) – THE loan agreement recently signed between the African Development Bank Group (AfDB) and Access Bank Rwanda is anticipated to enhance inclusive growth and job creation in the East African country.
The parties have signed a loan agreement for the equivalent of US $6 million under the Africa Small and Medium Enterprises Programme.
The line of credit will support SME projects in economic sectors such as telecom, school/education, tourism/services and construction as well as focus on women entrepreneurs.AfDB’s Board of Directors approved the Africa SME Programme in July 2013. It is a four-year programme with $125 million.
Under this programme, a $3,98-million technical assistance package was granted by the Fund for African Private Sector Assistance (FAPA) under EPSA (Enhanced Private Sector Assistance for Africa) initiative, which aims to supporting micro, small and medium enterprises (MSMEs) in Africa .
The programme will provide the necessary longer-term finance as well as a technical assistance package to address a number of constraints faced by approximately 25 target financial institutions and their SME clients across Africa.The AfDB has had a long-standing relationship with Access Bank. The Rwanda subsidiary was established in 2008 when Access Bank PLC took a 75 percent ownership in Bancor SA.
Expanding its loan portfolio in recent years, Access Bank Rwanda offers a variety of SME products including asset finance, invoice discounting and term loans.It is also in the process of launching new financial products and services exclusively for women.
– CAJ News