Agreement signed on Tuesday, June 16, 2020, will help KIFC benefit from the CDC Group’s experience, enabling the new center to thrive.
The CDC Group will work with KIFC through its experience to help it establish a better legal and regulatory framework, enabling it to achieve its goal of attracting investment firms that want to support business in Africa.
KIFC is overseen by Rwanda Finance Ltd, which aims to help international and regional financial services providers control their operations.
The agreement is part of an amendment to the Financial Services Regulations and Regulations, fiscal policy related to the financial sector and capacity building, and knowledge in financial services.
Rwanda Finance Limited CEO Nick Barigye said the partnership was important in terms of capacity building in the legal, auditing, and corporate sectors.
He went on to say that the agreement will enable KIFC to cooperate and enter into agreements with other agencies.
CDC Group CEO Nick O’Donohoe said they were confident of KIFC’s mission, which led to an agreement. Although KIFC has just started, they are confident that it will work well and very quickly.
Last month Rwanda Finance Ltd signed a partnership agreement with Casablanca Finance City, to promote investment between Rwanda and Morocco, and to strengthen long-term cooperation between the two countries.
The establishment of the Kigali International Finance Agency, KIFC, was approved at a Cabinet meeting chaired by President Paul Kagame on December 5, 2017.
This center will be a host of institutions including banks, financial and stock markets, collateral, and lending institutions, which will enable Rwanda to move to the level of managing others’ finances.
In addition to contributing to the country’s GDP, GDP will enable Rwanda to manage its bank accounts in other countries, so that investors can participate in depositing their money in Rwanda, even if their operations are elsewhere.
This means that Rwanda will have a vested interest in charging whoever brings in the money, which will be put at the agreed rate between the two sides. The interest rate is usually between 1-2%.