Germany has given Rwanda a financing grant worth €98.1 million (approximately Rwf103 billion) to fund Medium Enterprises (SMEs), and support the local pharmaceutical manufacturing sector for the next two years.
This development comes after negotiations that the two countries had this week as part of the celebrations to mark 60 years of cooperation.
This development was disclosed through a press release from the Ministry of Finance and Economic Planning (MINECOFIN).
Part of the statement reads, “Germany and Rwanda agreed on the next steps in their development cooperation worth €98.1 million during the government negotiations concluded today (Wednesday, October 26).
“The funding will also cover climate change mitigation.
“€39.5 million of the packages will be allocated for dealing with climate change, where key mitigation and adaptation projects will be funded, for example supporting sustainable urbanization – such as making coastal cities along lake Kivu climate-resilient in order to control floods and landslides.
“It will also support activities to improve waste management and circular economy (recycling).
“Climate change and social protection are two sides of the same coin. This is why, in addition to climate action, our climate and development partnerships are also about strengthening social justice. We want to provide particular support to those worst hit by the climate crisis.
“In terms of supporting SMEs, the funding will be used to strengthen the provision of vocational education and training for young people and women. As part of this, the two countries signed two agreements worth €29 million of German financial cooperation for the TVET sector, which will be used for stipends to increase access to education as well as for school investments in infrastructure and equipment of TVET schools”.
