• Tue. Aug 9th, 2022

Refugees In Rwanda To Benefit From Multi-billion Business Financing Schemes

ByEditor

Mar 19, 2022 ,

Rwanda has offered refugees of funding for their business ideas through the ministry of Emergency management. The ministry stated that those with good business ideas will be eligible for a variety of incentives from the country’s government.

The move is intended at boosting economic independence and raising their living standards. It was announced to the public by Gonzague Karagire, the Refugee Program Manager, who stated that there are numerous businesses with promising futures and viability.

The manager went on to say that refugees should take the opportunity with both hands since the government is dedicated to improving their living conditions.

Gonzague Karagire expressed his thoughts as follows:

“Any Rwandan immigrant with a business concept may receive cash to put it into action.” We’ve started a Rwf12 billion program to fund company ideas till 2026.” The firms will be supported by significant financial institutions that have agreed to see it through and make it a success, in addition to government initiatives.

“After completing TVET training, certain people may be eligible for startup kits to help them establish jobs.” Different feasible enterprises exist, such as exchanging various things. They are permitted to conduct business in a variety of sectors,” the manager stated.

Government officials also mentioned the prospect of matching grants and stated that they might be available.

“Matching grants are conditional grants that require an organization or individual to generate a portion of the grant through new money solicitation.”

In response to the matching grants, he stated:

“They will be able to obtain loans from financial institutions, with the project assisting them in repaying a portion of the loan.” This would encourage more refugees to start businesses and assist them in creating jobs.”

The programme, however, is not available in all Rwandan cities and districts. It is only available in cities and regions around the country with refugee camps, such as Huhe, Kigali, and Nyamata.

The project’s overall cost is Rwf12 billion, which has been carefully divided and segmented. The management had this to say about it:

“Those with business ideas valued less than Rwf5 million are eligible for a matching grant covering half of the required expenditure.” Those with business initiatives worth more than Rwf5 million but less than Rwf25 million are eligible for a 40 percent matching grant, while those who require more than Rwf25 million in capital are eligible for a 30 percent matching grant.”

Nonetheless, this isn’t the only refugee-assistance initiative mocked by Rwanda’s government. Another example is the €3.6 million allocated to green energy. It’s dubbed “Renewable Energy For Refugees,” and it’s meant to pave the way for new economic prospects.

The initiative is currently being implemented and is intended to boost and support small enterprises. Denyse Umubyeyi, who represents Rwanda at Practical Action (the project’s funding agency), said that “50 percent of refugees in Kigeme, Nyabiheke, and Gihembe refugee camps have benefited from the programme.”

Denyse Umubyeyi made the following statement:

“It has aided in the provision of renewable energy and improved cook stoves, as well as assisting some in the establishment of small companies.”

According to the lawmaker, the scheme has benefited 50 percent of Rwanda’s total refugees and has also resulted in the creation of over 700 new enterprises. She went on to say:

“At least 150 existing refugee enterprises were given financial assistance to increase their income by 50%. In the refugee camps, business centers have been developed to provide an enabling atmosphere for their economic independence.”

Furthermore, the project is intended to benefit a total of at least 50,000 refugees.

The following are some of the enterprises that the refugees are attempting to build, according to Umubyeyi:

Salon
Tailoring
Hairdresser
Cyber Cafe
Butchers
Food Production
Milk Collection Centres
Phone repair Shops
Shoe-repair shops
Egg Incubation
Cafe
Carpentry
Maize Processing

Nonetheless, according to data from the European Parliament’s Committee on Foreign Affairs, Cooperation and Security, more than 720,000 refugees now have access to banking services, which is a substantial and much-welcomed improvement.

More than 137,000 refugees live in Rwanda, which is located in the eastern portion of Africa. They are divided into more than 37,000 households. As of May 18, 2021, this report was still valid.

Furthermore, Congolese refugees make up the majority of Rwandan refugees, accounting for 56.3 percent, closely followed by Burundians, who make up 43.5 percent.

Furthermore, almost 12,300 refugees have received training aimed at putting them on the road to job creation. Despite this, “91% of refugees are housed in six camps, while 9% are in towns, primarily in Bugesera, Huye, and Kigali.”

Rwanda is also the world’s 38th best country for doing business, the only low-income country in the top 40, and the second best in Africa after Mauritius.

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