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    HomeEcosystem NewsEASTERN AFRICARwanda Green Fund Invests $2M in Green Startups via Ireme Invest

    Rwanda Green Fund Invests $2M in Green Startups via Ireme Invest

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     The Rwanda Green Fund (RGF) has unveiled its inaugural round of investments through Ireme Invest, the nation’s pioneering green investment facility. Sixteen Rwandan startups and small-to-medium enterprises (SMEs) have been selected to receive a total of 2.7 billion Rwandan francs (approximately $2 million USD), propelling projects that center on the circular economy, sustainable cities, smart mobility, and climate-smart agriculture.

    The investments are channeled through the Ireme Invest Project Preparatory Facility, which aims to bridge the gap between project concept and financial viability. The funding comprises grants, recoverable grants, and equity investments.

    A cohort of seven companies was awarded a combined 350 million RWF in grant funding through the Circular Economy Programme, supported by the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH in Rwanda. These enterprises are actively engaged in areas such as food waste reduction, recycling, bio-waste composting, and repurposing discarded batteries. The recipients of this funding include 1000 Hills Products Ltd, Aflimba Ltd, Kimonyi Women Development Group Ltd, Laminar Technologies, Oak Investments Ltd, SLS Energy, and Toddle Care Ltd.

    Furthermore, nine companies showcasing high potential for scalability and substantial positive environmental impact secured 2.35 billion RWF in grants and recoverable grants. This investment was facilitated by the Danish International Development Agency (DANIDA) and the UK Foreign, Commonwealth and Development Office (FCDO). The projects under this funding umbrella span smart mobility (BasiGo Rwanda Ltd, Kabisa Electric Ltd, Izi Electric Limited, Vuba Vuba Ltd, OX Rwanda), sustainable cities (Akagera Aviation, UCR Holding Company Limited, Water Access Rwanda), and climate-smart agriculture (Avocado Oil Industries Limited).

    The RGF underscored the meticulous assessment and due diligence process undergone by all selected businesses. The investments are poised to generate employment opportunities, curb emissions, empower women-led cooperatives, and significantly contribute to Rwanda’s green growth trajectory and climate resilience.

    Ireme Invest, a $100 million facility, aspires to amplify private sector involvement in Rwanda’s climate action endeavors by enhancing access to green finance. This facility is a collaborative effort of the Rwandan government, the Rwanda Green Fund, and the Development Bank of Rwanda, with backing from a diverse range of development partners. It encompasses two pivotal financial instruments: the Project Preparatory Facility, hosted at the RGF, and the Credit Facility, hosted at the Development Bank of Rwanda, which provides concessional loans and credit guarantees.

    The Rwanda Green Fund has confirmed that the subsequent round of investments through the Ireme Invest Project Preparatory Facility is slated for the latter half of 2024.

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