Women working together in New Faces New Voices Association have launched a fund dubbed ‘Rugori Fund’ in which they target to raise USD 20 million to used in supporting small businesses access loans to expand their projects.
This was unveiled yesterday during the general assembly of New Faces New Voices whose Chairperson in Rwanda, Dr Monique Nsanzabaganwa explained that the fund has two targets aimed at helping women access financial services and savings.
“This fund will meet two needs; helping women to save and invest at the stock exchange in various forms earning dividends each trimester,” she said.
“They will invest in long term stocks where borrowers can access the raised savings as loans and investors get profit from the interest,” ,” she explained.
She noted that they want to start with an initial investment of USD 20 million. Those who will bring short term investment in Rugori Fund will receive a profit of 8% and above each quarter while women projects will get loans at an interest rate of not beyond 12%.
Nsanzabaganwa said the fund will support other financial institutions and complement them with providing loans and support formal investments.
Women in Rugori Fund are required to raise at least USD 5 million in long term investment to attract big investors and the government of Rwanda.
The Fund shall be providing loans to projects as big as USD 50,000 and above. It will also intervene in building business knowledge and management of borrowers enabling them reach their goals.
It will be managed by financial management experts. Each share will go for Rwf 1000 and a member is required to buy a minimum of five shares.