Signature(s)
Summary sheet
- Water, sewerage - Agriculture, forestry and fishing
- Energy - Electricity, gas, steam and air conditioning supply
- Solid waste - Water supply; sewerage, waste management and remediation activities
- Urban development - Construction
- Transport - Transportation and storage
The framework loan with the Development Bank of Rwanda (BRD) will finance climate action and environmentally sustainable projects in the country.
The aim is to support projects in Rwanda eligible for Climate Action and Environmental Sustainability. The concerned sectors are renewable energy (mainly small-scale run-of-river hydropower and rooftop solar photovoltaic), sustainable agriculture, waste recycling, new energy efficient buildings, as well as e-mobility.
The operation consists of a multisector Framework Loan (FL) to the Development Bank of Rwanda (BRD), targeting sub-projects in Rwanda eligible for Climate Action and Environmental Sustainability (CA&ES). The operation will contribute to the EIB Group's goal on CA&ES financing and it is expected to support Team Europe's EU Green Energy Initiative and the Global Gateway initiative. The operation falls under the Multiannual Indicative Programme (MIP) 2021-2027 for Rwanda. The operation will be provided under the Neighbourhood, Development, and International Cooperation Instrument (NDICI) private sector window.
The proposed operation supports various Sustainable Development Goals (SDGs), in particular SDG 7 (Affordable and Clean Energy), SDG 9 (Industry, Innovation and Infrastructure), SDG 11 (sustainable cities and communities), SDG 13 (Climate Action), and SDG 17 (Partnerships for the Goals).
The proposed operation addresses the market failure of lack of access to competitive finance for investment in CA&ES projects in Sub-Saharan Africa. EIB's involvement will allow BRD to lower its cost of funds and benefit from other favourable terms.
The individual projects are expected to have good economic returns and bring economic and social benefits. The project quality and results are deemed to be good based on EIB's contribution including the provision of Technical Advisory support.
The BRD will be required to ensure compliance of the eligible investments with the EIB's Excluded Activities, the EIB's Environmental and Social Standards (E&S), as well as the E&S national laws and regulations.
BRD will take all the requisite measures to ensure that the procurement by the final beneficiaries of the works, goods and services relating to the projects financed by the EIB will be undertaken in accordance with the applicable legal framework, as per the EIB's Guide to Procurement.
Under EFSD+ Guarantee