Posted by: TDB Group December 2, 2022 No Comments



1 December 2022 – One of the region’s fastest growing economies, Rwanda, has been a TDB member state since the establishment of the Bank almost four decades ago. Since then, the Bank has been supporting various strategic projects and trade finance transactions in the country, at the service of sustainable development.

To date, approximately USD 700 million dollars of financing has been extended by TDB in Rwanda across several sectors including transport, namely road and aviation financing, lending to financial institutions for infrastructure, healthcare and SME projects among others, and lending for electricity generation projects. As well, in addition to agribusiness, hospitality and others, TDB has also been supporting the country’s manufacturing sector, including with the financing of cement manufacturing, which has contributed to import substitution, and foreign currency spending savings.

Honourable Minister Dr. Uzziel Ndagijimana, Minister of Finance and Economic Planning of Rwanda said: The Eastern and Southern African Trade and Development Bank (TDB) has played an important role in Rwanda’s economy. TDB has financed key projects in Rwanda’s priority sectors, including hospitality, real estate, energy, and banking. This has led to a positive spillover for the country’s economy, with more jobs being created and more businesses being set up. Most importantly, the bank contributed to the country’s Meetings, Incentives, Conferences, and Exhibitions (MICE) strategy, through the financing of the acquisition of aircrafts for the national airline company. Today, Rwanda is a major destination for conferences and conventions, and the MICE industry is one of the country’s biggest sources of revenue thanks to the influx of tourists and business travellers through the national airline.

RwandAir is indeed a case in point. The Bank has been a long-time financier of the national carrier, providing loans for the acquisition of aircrafts, as well as working capital facilities. Yvonne Manzi Makolo, Rwandair CEO said: “As the airline has grown over the years, TDB has been a strong and dependable partner helping RwandAir grow its fleet.” Financing carriers such as Rwandair contributes to the promotion of trade, has a net positive effect on various critical economic sectors, and supports employment.

In the energy sector, TDB has financed an important peat powered power plant, under a syndicated facility. Hakan Karasoy, HQ Power-Yumn Ltd. CEO said: “Every major infrastructure project in Sub-Saharan Africa has its challenges and issues, and the only way to overcome them is to have a strong group of stakeholders. TDB Group had an unwavering support since the inception of this critical project for Rwanda, and as the CEO of the Yumn Ltd. I want to share my gratitude with them. Thanks to TDB, HQ Power has been able to provide up to 40% of the electricity generation in Rwanda.”

In 2013 TDB opened its shareholding to institutional investors and has since then delivered returns on equity of about 10% as well as yearly dividends which these institutions have been either recapitalising or receiving in cash. The Rwanda Social Security Board (RSSB) has been an investor in TDB since 2014, and this year, Agaciro Development Fund joined the Bank’s community of shareholders, which now counts 20 institutional investors.

Philippe Watrin, RSSB Chief Investment Officer said: “Over the last years, RSSB has been benefiting from TDB strong performance as a Class B shareholder through attractive financial returns on the one hand and as an investment holding through tailored financing solutions for its subsidiaries such as Bank of Kigali and CIMERWA on the other hand“.

Indeed, since its first investment in 2014, RSSB’s stake has been very profitable to the institution as the share price of the Bank rose by 131% over the period. Adding the returns earned from the recapitalisation of its dividends, RSSB’s stake in the Bank increased by 153% in USD and 3x Rwandan francs.

TDB Group Executive Corporate Affairs and Investor Relations Mary Kamari said Not only has institutional shareholding strengthened the capital base of TDB, allowing it to step-up its contribution to the development its member states, including Rwanda, but also, it has been creating considerable value for its investors, thus enabling them to better serve their own constituencies and countries. Agaciro Development Fund joining TDB as the second Rwandan institutional investor fits with this approach.

At the height of Covid-19, TDB also supported the efforts of Rwanda’s Ministry of Health to combat the pandemic by donating portable patient monitors to Rwanda Biometric Center (RBC).

TDB looks forward to continue to stepping-up its contribution to the Rwanda economy directly through trade finance and project finance, as well as indirectly, through Rwandan institutional investors.


About TDB
Established in 1985, the Eastern and Southern African Trade and Development Bank (TDB) is a regional development finance institution, with investment grade ratings and assets of USD 8bn. TDB serves 23 member states in its region, with the mandate to finance and foster trade, regional economic integration and sustainable development, through trade finance, project and infrastructure finance and asset management.

TDB is part of TDB Group, which also comprises the Trade and Development Fund (TDF), Eastern and Southern African Trade Advisers Limited (ESATAL), TDB Captive Insurance (TCI), and the TDB Academy.

Media Contacts
Anne-Marie Iskandar, Senior Communications Officer
Corporate Affairs and Investor Relations, TDB

Author: TDB Group

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