Coronavirus: Central Bank of Rwanda eases loan repayment conditions

By IGIHE
On 19 March 2020 at 11:03

The Central Bank of Rwanda (BNR)has announced that with the collaboration of other government institutions, it will ease loan repayment conditions for borrowers affected by coronavirus outbreak. The Bank is set to restructure loan conditions for borrowers facing cashflow challenges during this period of COVID-19.

Coronavirus outbreak has resulted into tragic human consequences across the world and in Rwanda where 11 people have already tested positive.

In addition to existing Central Bank liquidity facilities, the Bank has established an extended lending facility worth Rwf 50 billion which will allow banks with liquidity challenges to borrow from BNR. The facility will operate for the next 6 months.

The announcement that was published by BNR on March 18th, 2020 states that "For the next six months, BNR offers to buy back bonds at the prevailing market rate and the waiting period if one fails to sell the bond on the secondary market will be reduced from 30 to 15 days."

BNR also encouraged using digital channels and contactless mobile payments to curb the transmission of coronavirus. Starting March 19th, 2020, mobile network operators and banks will allow zero charge transfers on all payments between bank accounts and mobile wallets, zero charges on Mobile Money transfers and zero merchant fees on all POS payments.

Finally, the limit for transfers on mobile money wallets has been increased from Rwf 500,000 to Rwf 1,000,000 for Tier I customers and Rwf 1,000,000 to Rwf 4,000,000 to Tier II customers.

BNR will follow up closely on the implementation of the aforementioned measures.

Mobile network operators and banks will allow zero charge transfers on all payments between bank accounts and mobile wallets
BNR has announced that with the collaboration of other government institutions, it will ease loan repayment conditions for borrowers affected by coronavirus outbreak.

Advertisement

YOUR OPINION ABOUT THIS ARTICLE

RULES AND REGULATIONS
Kwamamaza