The government of Rwanda has unveiled a plan of using Business Development Fund (BDF) to fast-track locally produced textile to minimize importation of second hand garments.
This was revealed yesterday night by the Minister of Trade and Industry, François Kanimba as he attended the celebrations marking five years since BDF started supporting small and medium enterprises.
He said that they are going to use BDF in supporting small entrepreneurs involved in textile and leather tanning.
“We will use BDF in supporting small scale textiles and encourage them to work in cooperatives, access loans and create jobs hence facilitating the government program of discouraging importation of second hand garments.This is also one of programs that can help many Rwandans to get rid of unemployment,” he said.
In the past five years, BDF has so far provided Rwf 62,689,952,320 in support of 23,411 SMEs and created 145,222.
Rwf 50 billion of the support was offered as loan guarantees that enabled people to obtain Rwf 174,965,270,853.
The CEO of BDF, Innocent Bulindi has unveiled their readiness in contributing to the support in production of local garments.
“We are ready to support local textile in establishing small industries, offer them materials and we hope such support will facilitate their progress and migrate away from importing second hand clothes,” he said.
Today, more than 9000 youth and over 7000 women have been supported by BDF through programs including loan guarantee and business advisory services among others.
BDF operates in all districts of the country and has agreements with 503 financial institutions.