The International Finance Corporation (IFC) has signed a $3.7 million (Rwf3.8bn) loan agreement with 3B Group of Hotels to support its construction of a 30-room mid-market safari camp in Akagera National Park.

The new project is expected to create more than 90 permanent jobs, and more temporary jobs during the construction phase.

The investment will support the company’s expansion and the upgrading of its existing lodges in the country, according to officials.

Currently, 3B operates three mid-market lodges in the country; Mountain Gorilla View Lodge near the Volcanoes National Park in northern Rwanda, Kivu Lodge on the shores of the Lake Kivu in Western Rwanda and Flame Tree Village hotel in Kigali.

"We are expanding our operations to the eastern region to give our guests a full experience of Rwanda's tourism offerings and diversity in terms of tourism locations. Most importantly, our expansion will improve 3B Group of Hotel's average length of stay," said Paul Muvunyi, Chairman, 3B Group of Hotels.

Jumoke Jagun-Dokunmu, IFC Regional Director for Eastern Africa, said "Tourism is an important driver of economic growth in Rwanda and other parts of Africa, but the sector needs additional support in the wake of the damaging effects of COVID-19 on trade and travel.”

The partnership will create jobs and help strengthen Rwanda’s tourism sector as it recovers from the pandemic, he said, "IFC invests in tourism because of its positive developmental impact on a range of local businesses.”

The tourism industry is a major contributor to Rwanda’s economy, mainly by the number of employment opportunities created, however, the sector was hardly hit

Many tourism-focused businesses struggled during the depths of the pandemic, which pushed the government of Rwanda to put the industry high on the agenda of economic recovery.

According to the Ministry of Finance and Economic Planning, 50 per cent of the first phase of the Economic Recovery Fund was allocated to the tourism and hospitality sector.

IFC is a member of the World Bank Group and it is regarded as the largest global development institution focused on the private sector in emerging markets.

Jumoke Jagun-Dokunmu, IFC Regional Director for Eastern Africa with 3B Group of Hotels owners during the signing event in Kigali, Rwanda on Friday.