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April 2017

06 April 2017

Highlights of The Annual Debate 2017

The Annual Debate 2017 | Africa: The Next Chapter | Critical Points

Keynote 1 – Developing Tomorrow’s Leaders

  • 60% of Africa’s population are currently aged 25 and under and by 2024, Africa will be the most populous continent in the world.
  • It is thus vital to provide the educational opportunities to harness the talent and vitality of Africa’s youth as well as meet their growing aspirations.
  • The Africa Leadership University is a new network of institutions across the continent to do just this and train Africa’s future leaders in the right skills and self-confidence.
  • 5 points distinguish this initiative:  a focus on skills, not academic theory; strong links with potential employers; an emphasis on instilling an entrepreneurial instinct; using technology; and encouraging students to reflect on Africa’s challenges.
  • The Africa Leadership University encourages students to solve Africa’s challenges, and capture the continent’s opportunities.

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April 2017

04 April 2017

Moroccan Ministry of Energy, Mines, Water & Environment to join discussions at the Africa Energy Forum in Copenhagen

The Ministry of Energy, Mines, Water and Environment of the Kingdom of Morocco, has confirmed attendance at the Africa Energy Forum in Copenhagen from 7-9 June 2017

At the Powering Africa: Summit which took place in Washington DC from 9-10 March, Morocco’s ONEE presented their Gas to Power Programme and MASEN discussed their sustainable energy programme under the leadership of Mustapha Bakkoury, President and Chief Executive Officer. Both organisations are clearly focused on a broader role within Africa carrying with them the potential of building physical energy links between the continent and Europe. The support of the Ministry at the Africa Energy Forum (AEF) this year underlines the commitment from the Kingdom of Morocco to explore energy partnerships with Europe and hasten the pace of foreign direct investment in Morocco.

AEF is set to bring 2,000 participants to Copenhagen this June for the annual gathering for government ministers, heads of utilities, project developers and global investors driving forward the development of Africa’s energy projects.

Other recent confirmations include H.E. Dr.Eng.Seleshi Bekele, Minister of Water, Irrigation and Electricity, Ethiopia, Ulla Tørnæs, Minister for Development Cooperation, Government of Denmark, Teresa Ribeiro, Secretary of State for Development, Government of Portugal, Hisham Sallam, Second Secretary – responsible for Economics and Energy, Government of Egypt, Mateus Magala, Chairman of the Board of Directors, EDM, William Amuna, Chief Executive Officer, GRIDCo, Ghana and Emmanuel Antwi-Darkwa, Chief Executive Officer of Volta River Authority in Ghana.

A new Platinum agenda stream will bring together senior level government officials with some of the world’s biggest investors in discussions on how to accelerate projects, whilst specific country sessions will explore the unique investment climates and priority projects for countries such as Nigeria, South Africa, Côte d’Ivoire, Ghana, Mozambique, Morocco,  Ethiopia,  and Kenya.

Organisers of the Forum EnergyNet will host a city boat cruise along the canals of Copenhagen and pre-Forum golf championship day to build additional networking opportunities into this annual business Forum.

Contact: Amy Offord - Marketing Manager

Event dates: 7-9 June 2017

Event location: Bella Center, Copenhagen, Denmark

Organisers: EnergyNet, part of Clarion Events Ltd

Email: AEF@energynet.co.uk

Tel: +44 (0)20 7384 8068

Visit: www.africa-energy-forum.com

About EnergyNet

EnergyNet arranges investment forums, investment meetings and conferences focusing on the energy and industrial sectors in emerging markets, including both conventional and sustainable energy. For more information please visit www.energynet.co.uk


April 2017

03 April 2017

South Africa Update | Africa Confidential

By Patrick Smith, Editor of Africa Confidential 

Again, we start in the week in South Africa as the country and its politicians react to President Jacob Zuma's sacking of Finance Minister Pravin Gordhan. A different level of power play is going on in Abuja where the head of Nigeria's anti-corruption organisation has just launched a damning report on President of the Senate, Bukola Saraki. And then to Washington where Egypt's President Abdel Fatah el Sisi is due to meet with President Donald Trump and the other big summit in the United States is a Trump meeting with China's President Xi Jinping where some diplomats hope that Africa might provide one of the few points of agreement.

SOUTH AFRICA: Close-run confidence vote looms after Zuma sacks Gordhan
This time the numbers may not work for President Jacob Zuma. Under siege within the top echelons of the governing African National Congress after his peremptory sacking of Finance Minister Pravin Gordhan and deputy Mcebisi Jonas in a reshuffle late on 30 March, Zuma could face a tough no-confidence vote in parliament within ten days.

On 2 April, parliamentary speaker Baleka Mbete announced she would return early from an overseas trip to consult on opposition party requests for parliament to be recalled – it is currently in recess until 3 May – to hold a confidence on Zuma.

Until now, Zuma and his acolytes, relying on the ANC's 62% majority in the 400-seat parliament, have easily seen off four confidence votes launched by the opposition parties since 2009. In the last such vote last November, several dissident MPs and ministers failed to attend the vote, but most of the ANC's  249-strong parliamentary caucus backed Zuma.

This time top ANC officials such as Vice-President Cyril Ramaphosa, Secretary General Gwede Mantashe and Treasurer General Zweli Mkhize have publicly criticised Zuma, and several senior figures in the party have said they would vote according to their conscience. The South African Communist Party has publicly opposed Zuma's reshuffle, specifically the sacking of Gordhan and Jonas.

The timing of the vote could prove critical as Zuma's opponents would want to maximize the the current wave of hostility to the President. Their best chance would be to reconvene parliament before Easter.

At least 70 ANC MPs would have to vote against Zuma to get the simple majority needed for a no-confidence motion to succeed. That now looks possible with opinion in the country and party moving strongly against Zuma.

A successful vote of no confidence would trigger an extraordinary meeting of the ANC's National Executive Committee in which Zuma would be likely to face a motion for his recall. That was the fate of former President Thabo Mbeki, who was brought down in 2008 after an extended and skilful campaign against him by Zuma. The usurper then could now meet the same fate this year.

EGYPT/USA: El Sisi and Trump confer on anti-Islamist fight
An assiduous wooer of Donald J Trump, Egypt's President Abdel Fatah el Sisi will become the first Middle East leader to meet the new US President in Washington DC on 3 April. El Sisi, who was the first international leader to congratulate Trump on his election victory last November, seeks military and diplomatic backing for his fight against Islamist groups.

First prize for El Sisi would be for Trump to endorse the Eguptian leader's ban on the Muslim Brothers, Al Ikhwan el Muslimeen, with a declaration that the US would treat the group as a terrorist organisation. That would have serious consequences for the group's finances and its supporters in countries such as Qatar and Turkey.

El Sisi is also looking for US financial help. Egypt is a third of the way through a $12 billion adjustment programme backed by the International Monetary Fund but inflation is running at about 30% after the government let the pound float, and it has lost half its value against convertible currencies.

The two may also discuss the war in Libya where rogue general Khalifa Haftar, backed by Egypt and the United Arab Emirates, has been trying to win US security and diplomatic support for his campaign against Islamist militias in the west of the country.

NIGERIA: Anti-corruption czar releases dossier on Senate president
The rumbling row between Ibrahim Magu, chairman of the Economic and Financial Crimes Commission and Bukola Saraki, the President of the Senate has escalated into a full-blown political clash over claims about the corrupt diversion of N3.5 billion (US$11 million).

Over the weekend Magu's office released a report accusing Saraki's aides of having used some N3.5 billion to bribe National Assembly members to drop an investigation into the whereabouts of overpayments made by state governments to the Treasury to meet debt service obligations. Following the government's negotiation of some $18 bn. of debt relief with the Paris Club of official creditors in 2005, state governments were owed a refund on the sums they had submitted to service the debts.

The EFCC report claims that part of the debt relief sent to the state governor's forum, chaired by Saraki at the time, was improperly diverted. But Senators such as Ali Wakili and Fatima Raji-Rasaki, both staunch allies of Saraki, have rubbished the EFCC allegations. This row follows the Senate's rejection, for the third term running, of President Muhammadu Buhari's request for Magu to be confirmed as substantive chairman of the EFCC.

There is now a stalemate between the Presidency and the Senate over the matter. The latest row between Saraki and Magu is unlikely help any resolution: in theory, Magu's candidacy is finished but it seems he still has some backing in the presidency.  Next stage may be some of the discreet negotiations in which Saraki is a specialist.

CHINA/USA: Could Africa be point of agreement in Xi-Trump summit?
When China's President Xi Jinping meets President Donald J Trump in Florida on 6-7 April, Africa policy could provide one of the few points of agreement. At least, that is the view of a new report put together by a team of senior diplomats urging a common China-US approach on key issues confronting Africa. So far Trump has shown less interest in Africa than in any other region. And it is an area where President Xi has far more knowledge and experience than Trump.   
The diplomats arguing for better China-US cooperation in Africa include: Mohamed Ibn Chambas who heads the United Nations office in West Africa; Zhong Jinhua, Beijing's former special representative on African affairs; and Princeton Lyman, a former ambassador for the US to Nigeria and South Africa. They mapped out substantive areas of cooperation which included: economic growth and development; mitigating conflict; enhancing political stability; and fighting violent extremism and organised crime.
There are a few examples of Sino-US cooperation in Africa such as the anti-piracy operations in the Horn of Africa and the their planned replication in the Gulf of Guinea. There may also be room for talks between the two leaders on other areas of security cooperation in Africa, backing local efforts against jihadists and other insurgents.
But Xi will want to know much more about the Trump administration's planned cuts to the UN and foreign assistance budgets, as well as its renunciation of the Global Climate accords reached in Paris in December 2015.

Don't forget to check www.africa-confidential.com for our latest stories.


March 2017

28 March 2017

Africa Confidential Briefing | SOUTH AFRICA: Reshuffle could become reality as Zuma recalls Finance Minister from investment tour

By Patrick Smith, Editor of Africa Confidential 

We start in Pretoria, from where South Africa's Finance Minister Pravin Gordhan has just been summoned to return from London, sparking more speculation that President Jacob Zuma is about to sack him. And then to Zimbabwe which is, despite the political ructions in South Africa, considering adopting the rand as its currency. And in neighbouring Zambia, the plumbers of the International Monetary Fund are due in Lusaka to start negotiations on a new stabilisation programme. Financial matters are also to the fore in Ghana, where the Governor of the central bank has to make an important decision on interest rates but faces growing opposition from officials in the new government. And finally to the Confederation of African Football, where the compelling defeat of its long-time President, Issa Hayatou, is likely to presage reform and more opportunities for the continent's young footballing talents.

SOUTH AFRICA: Reshuffle could become reality as Zuma recalls Finance Minister from investment tour
A cabinet reshuffle could be in preparation following the confirmation by a Treasury official on 27 March that President  Zuma has rescinded permission for Finance Minister Gordhan to host investment roadshows in Europe and the United States. It is an open secret in the top echelons of the governing African National Congress that Zuma wants to push Gordhan and his deputy, Mcebisi Jonas, out from the Treasury. Treasury Director General Lungiza Fuzile, also seen as a Gordhan ally, has also been ordered to return from London.

Political insiders have been predicting that Zuma might choose the second half of March for his long-mooted reshuffle. Various pieces in the jigsaw are now in place. Zuma's close ally Brian Molefe, the disgraced Chief Executive Officer of state utility Eskom, has been sworn in as an ANC member of parliament. Many expect him to be given a top economic ministry to run.

Zuma's ex-wife and favoured candidate for the ANC presidency in party elections at the end of this year, Nkosazana Dlamini-Zuma, finally left her position as Chairwoman of the African Union Commission in Addis Ababa on 14 March. Dlamini-Zuma is also expected to be given a top ministry in an effort to boost her credentials in what is increasingly looking to be a very bruising competition with Deputy President Cyril Ramaphosa for the top job in the ANC.

ZIMBABWE: Adopt the rand and drop the dollar, says top bank official
Whatever the political ructions in South Africa's Treasury department, neighbouring Zimbabwe still sees the country – especially its currency, the rand – as an anchor in uncertain times. That seems to have informed the call from Kupukile Mlambo, Deputy Governor of Zimbabwe's Reserve Bank, for his country to adopt the rand rather than the US dollar as its main currency.

Mlambo's argument is economically convincing. Most of Zimbabwe's imports come through South Africa and are originally priced in rand. But because of its weakness against the US dollar, the price of these imports rises sharply when their prices are converted into US dollars.

Politically, adopting the rand could prove more problematic for President Robert Mugabe's government. It would mean that South Africa's economic policies – on interest rates, inflation and money supply – would directly affect policy-making in Zimbabwe.

For now, that might not seem to matter much as the South African government does not appear to be very exercised about Zimbabwe's internal politics. But should that stance change with new leadership at the top of the governing ANC, South Africa's influence on its northern neighbour could prove decisive.

ZAMBIA: Slow growth and ballooning debts prompt Lungu to call in the IMF
After the high-octane spending spree in the run-up to elections last August, it had seemed likely that President Edgar Lungu's government would bring in the IMF to help stabilise the economy. It was his plan to delay bringing in the Fund that allowed him to turn on the spending taps and tell electors that his government represented high economic growth and investment. His opponent Hakainde Hichilema, the businessman who leads the United Party for National Development, argued that many of Lungu's pre-election contracts were terribly over-priced or awarded to bogus companies. If the IMF demands, as many activists hope, forensic audits of state procurement over the last couple of years, it may be possible to work out whether Lungu or Hichilema is right.

Lungu's government says it will reach agreement with the IMF by mid-year, which will involve reining in state spending and cutting the budget deficit. Despite a boom in the price of copper and cobalt, among Zambia's main exports, the Fund forecasts that economic growth will rise about half a point to 3.5% this year.

GHANA: Central bank may cut rates as Governor fights off pressure over job
Although many senior officials in President Nana Addo Akufo-Addo's government are keen to see the exit of Central bank Governor Abdul-Nashiru Issahaku, regarded as a close ally of defeated President John Mahama, he is showing considerable tenacity as he hangs on to his job.

According to the constitution, Issahaku has tenure and could be dismissed only by a special vote in Parliament or if the Attorney General authorised criminal charges against him. For now, it seems the new government's economic departments have chosen to work closely with the Governor on key policy matters.

A case in point is this week's decision on interest rates. Local banking analysts argue that Governor Issahaku should cut rates on 27 March by at least 1%. The cedi has gained over 6% against the dollar since Finance Minister Ken Ofori-Atta's well received budget on 2 March, which set out plans to promote private sector growth, cut some taxes and cap state spending.

But Governor Issahaku will remain haunted by what is known at the Bank of Ghana as the 'Sibton Switch Affair'. That is the award of a contract, which would have been worth US$1.4 billion over 20 years, to a little known local company to set up an 'inter-operable’ electronic payments system. That means that the system would allow people to make transfers on their mobile phones and on the internet to all banks participating in the scheme.

The size of the contract award astonished the incoming government, particularly when it discovered the competing bids, from more established local companies, were priced at $8-$15 million to provide essentially the same service. Although we understand the Sibton Switch contract has now been suspended, questions are being asked about Issahaku's role and why he didn't act sooner.

AFRICAN FOOTBALL: What changes after the fall of Hayatou?
The defeat of Issa Hayatou, the long-time head of the Confederation of African Football, at the elections in Addis Ababa last week was something of a metaphor for the continent's politics and it presages sweeping changes in Africa's most important sport. Hayatou was also seen as a key ally of the disgraced President of the Fédération Internationale de Football Association, Sepp Blatter, who has now been barred from holding any office in FIFA after dominating the organisation for three decades.

Together, Blatter and Hayatou reinforced each other's dominance of international football organisations and their courting of political support in Africa as a key part of their modus operandi. With Blatter and now Hayatou out of the way, that era has finally gone.

The victory of the head of Madagascar's Football Association, Ahmad (who is known by this single name), was convincing enough – he won by 34 votes to 20 – to represent a mandate for reform of the financing of the continent's national soccer organisations.

It could also mean an end to the weight of corruption that has stolen resources from much-needed efforts to promote training and development on the continent of some of its talented youth, many of whom are snapped up by European and Asian football teams.

That has led to the phenomenon known as 'football trafficking', which apart from the suffering it may inflict on individual players, also undermines efforts to establish a much stronger culture of sporting skills development within Africa.

Don't forget to check www.africa-confidential.com for our latest stories.


March 2017

27 March 2017

How Angola can win back scarce oil investment dollars

By Rui Amendoeira, head partner of oil & gas, VdA

As the oil price was on its downward spiral from an all-time high of $147 per barrel circa mid-2008 to bottom out at $26 in early 2016 many development and production projects became unprofitable. Suddenly, the principal criteria driving the investment decisions of oil majors, independents and even national oil companies were no longer the size of potential reserves or the prospects of a particular area but rather more objective considerations around low production costs and operational efficiency. Several countries hitherto considered safe bets for the oil industry fell out of favour with investors because of their high-cost environment. Angola, long seen as a costly country in which to operate, is among the producers most affected by the oil price tumble. If Angola wants to retain its status as a leading African oil producer in the long run it must decisively move towards offering a more cost-efficient environment for present and future operators. While some cost levers (labour and housing, for example) can only be applied gradually as the economy cools down after its oil price peak period, certain actions could be taken in short order that would markedly improve Angola’s attractiveness for oil investors.

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27 March 2017

New railway links Addis Ababa with Djibouti

The recent opening of the Addis Ababa – Djibouti modern electric railway by Ethiopian Prime Minister Hailemariam Desalegn and President Ismaïl Omar Guelleh of Djibouti, which links the capital of landlocked Ethiopia with the port of Djibouti on the Gulf of Aden, is expected to transform connections across the region and to global trade routes.

The 752 kilometre track, Africa’s first standard – gauge international railway, will more than half journey times. When commercial services start using the line, the transport time of a container from Addis Ababa to Djibouti should reduce from three days to twelve hours, with costs coming down by a third. More than 95 percent of Ethiopia’s foreign trade passes through Djibouti.

The new line was built between 2011 and 2016 by the China Railway Group and the China Civil Engineering Construction Corporation. Financing for the new line was provided by the Exim Bank of China. A total of US $4 billion was invested in the railway with the objective of facilitating mobility and trade and transforming Djibouti into an East African gateway to the world.

The new railway is linked with the US $15 billion infrastructure expansion programme, led by the Djibouti Ports and Free Zones Authority (DPFZA), which will expand Djibouti’s port facilities while constructing new highways and airports as a major boost to the country’s economy.

For more information:

Patrick Orr
+44(0) 20 7922 7713


March 2017

01 March 2017

Japanese automaker Isuzu buys 57.7% stake in GM East Africa (Kenya)

By Staff Writer | Business Daily, Kenya

Japanese automaker Isuzu Motors Limited has bought out General Motors’ 57.7 per cent stake in General Motors East Africa (GMEA) for an undisclosed sum.

The transaction will see the motor dealer change its name to Isuzu East Africa in April to reflect the change of control.

Most of the dealer’s sales are bus, pick-ups and truck brands of the Japanese multinational whose status shifts from a vehicle supplier to an owner.

Detroit-based GM will also take away its Chevrolet franchise from GMEA as part of the termination of the alliance between the two automakers.

“Isuzu Motors General Motors have reached an agreement that Isuzu will invest in General Motors East Africa. Isuzu is making this investment with the intention of expanding its commercial vehicle production and sales in Eastern Africa,” Isuzu said in a statement.

Isuzu’s partners in GMEA are Centum Investments with a 17.8 per cent stake, ICDC (20 per cent), and Itochu Corporation (4.5 per cent).

The deal comes at a time when the dealer has steadily grown its market share in the local new vehicle market to a record 35 per cent last year, with Isuzu brands representing more than 95.6 per cent of the sales.

Source: https://asokoinsight.com/news/japanese-automaker-isuzu-buys-57-7pc-stake...

01 March 2017

Vodacom $226 million IPO to break Tanzania capital records

By Staff | The Citizen, Tanzania

The Capital Markets and Securities Authority (CMSA) has given Vodacom Tanzania the go-ahead to sell its shares to the public later this month.

CMSA Public Relations Officer Charles Shirima confirmed to The Citizen yesterday that the authority approved Vodacom’s prospectus on Monday, paving the way for the firm’s initial public offer (IPO) at the Dar es Salaam Stock Exchange (DSE).

“What I can say is that we have endorsed Vodacom’s IPO. I cannot reveal details of what is in the prospectus because the rules and regulations don’t allow me to do that,” he said.

A senior official of the lead manager, Orbit Securities Limited, told The Citizen that the IPO would start within two weeks.

“It’s ‘all systems go’. We received the approval letter on Monday and will later today (yesterday) meet with the issuer (Vodacom) to consult on some details. We expect the IPO to start in the next two weeks. By tomorrow (today) we might be able to announce the exact date of the IPO,” Orbit Securities General Manager Simon Juventus said.

He added that the logistics of printing and distributing copies of the prospectus nationwide were being sorted out.

“Tanzania is a big country. We have to print enough copies of the prospectus for distribution countrywide before we can hold the IPO.”

Vodacom Tanzania Managing Director Ian Ferrao also confirmed the development.

“Vodacom Tanzania confirms that the Capital Markets and Securities Authority (CMSA) has approved Vodacom Tanzania Plc’s prospectus ahead of its Initial Public Offer (IPO) and subsequent listing of 25 per cent of its shares on the Dar es Salaam Stock Exchange (DSE),” he said in a statement yesterday.

Mr Ferrao added that Vodacom plans to raise Sh476 billion ($226 million) by selling 560 million shares at Sh850 per share.

The IPO is expected to raise the biggest sum in the history of capital markets in the country, breaking the record set when the East Africa Breweries Limited (EABL) IPO raked in Sh122 billion after offering 20 per cent of its shares in 2012.

The National Microfinance Bank IPO raised Sh63 billion in 2008 when the equivalent of 42 per cent of the lender was sold through DSE.

Upon listing at the DSE, Vodacom Tanzania will boost DSE’s market capitalisation by 2.4 per cent to about Sh20.6 trillion, according to an analysis conducted by Bloomberg News Agency based on data from the bourse.

Vodacom, with a 31 per cent market share of the mobile market in the country, becomes the first telecoms firm to qualify to sell its shares to the public as required by the Electronic and Postal Communications Act (Epoca), 2010 as amended in 2016. The Act gave mobile telephone companies until December 31, 2016 to sell at least 25 per cent of their shares to the public.

Other companies that sought to comply with Epoca are Millicom International Cellular SA (Tigo) and Bharti Airtel Ltd.

However, their applications have stalled. Tigo is embroiled in an ownership dispute in court, while Airtel has some issues to sort out with regard to its prospectus.

Mr Shirima said yesterday that Airtel was yet to submit a revised prospectus.

Tanzania Telecommunications Company Limited has yet to submit its application to CMSA.

Source: https://asokoinsight.com/news/vodacoms-share-sale-set-for-this-month-tan...


February 2017

28 February 2017

Burundi to wait longer for Southern African Development Community membership

By Brian Ngugi | Africa Review

Burundi will have to wait longer to join the Southern African Development Community (SADC) after a ministerial meeting ruled against immediate admission of the country to the 15-member regional bloc.

Tanzania’s Foreign Affairs and East African Cooperation Minister Augustine Mahiga said Burundi’s application was assessed by the Inter-State Politics and Diplomacy Committee of SADC’s Organ on Politics, Defence and Security Cooperation, which convened in Dar es Salaam on February 24, 2017.

Mr Mahiga said Burundi, currently locked in a political turmoil, had been directed to put its house in order first before its request could be considered.

Umbrella Opposition

However, President Pierre Nkurunziza’s government last week once again refused to attend peace talks to negotiate with the main umbrella opposition movement, the National Council for the Restoration of Arusha Agreement and Rule of Law (CNARED) — which is exiled in Brussels. The talks are mediated by former Tanzania President Benjamin Mkapa.

Should Burundi join Tanzania as a member of the SADC, the move could complicate the direction the East Africa Community takes for the remaining phases of integration.

Source: https://asokoinsight.com/news/burundi-to-wait-longer-for-southern-africa...

28 February 2017

Green bond to steer Rwanda to boost agriculture

By Staff Writer | The Exchange

Infrastructure development is one of Rwanda’s agenda seen as a possible stronghold to move closer to vision 2020. The agricultural infrastructure of the country is quite “immature” and in need of financial breakthrough should it succeed. One of the forces they can induce is the green investment.

Green investment is associated with socially responsible investment with aim of going green. Green investment can include both direct and indirect investment for environmentally sustainable projects to achieve sustainable Infrastructure for agriculture.

One of the possible ways is financing through green bonds issuance. So, what is a Green Bond? A green bond is a tax-exempt bond issued by federally qualified organizations or by municipalities for the development of brownfield sites. Rwanda could generate funds through green investment and issue of green bonds for developing agricultural infrastructure.

Agriculture in Rwanda accounts for a third of Rwanda’s GDP; constitutes the main economic activity for the rural households (especially women) and remains their main source of income. This sector meets 90% of the national food requirements and in return generates more than 50% of the country’s export revenues.

In agriculture, there is lot of potential through development of sustainable agriculture projects, irrigation projects, land conservation and water management projects. Green bonds could be used as good alternative for financing such projects in Rwanda.

African Development bank issues green bonds for funding energy efficiency and renewable energy projects in Africa.

South Africa is one of the African countries using funds generated through green bonds to finance its renewable energy projects.

In Rwanda, National Bank of Rwanda and commercial banks through capital market could issue long term green bonds to develop agriculture infrastructure and renewable energy projects in agriculture as well. It will help in enhancing the country’s agriculture output, trade surplus as well as achieving concept of green economy.

Source: https://asokoinsight.com/news/green-bond-to-steer-rwanda-to-boost-agricu...