Prime Energy Plc has officially listed its inaugural green bond on the Rwanda Stock Exchange (RSE), marking the start of the trading of the first-ever green bond in Rwanda.
The company raised Rwf9.58 billion against the initial target of Rwf9.5 billion. The bond was issued in two tranches – a Rwandan franc tranche and United States Dollar tranche, both priced at 13.75 per cent and 9.5 per cent per annum, respectively.
"The Green Bond we are listing today is not merely a financing instrument. It represents our commitment to transparency in our operations, environmental stewardship, strong returns for investors, and contributing to Rwanda's economic development,” Cherno Gaye, Chairman of Prime Energy, remarked.
"This is a significant step in our journey to not only support the government’s goals of clean energy and climate action but also to pave the way for a more sustainable and green future for Rwanda,” he added.
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The green bond listed on RSE has a seven-year tenor and will be pay investors semi-annually.
The bond was oversubscribed and it attracted investors such as Rwanda Social Security Board (RSSB), Agaciro Development Fund (ADF), Bank of Kigali (BK), and Rwanda National investment Trust (RNIT), among others.
Minister of State in Charge of Public Investment and Resource Mobilization, Linda Mutesi Rusagara, acknowledged Prime Energy’s leadership in issuing Rwanda’s first green bond, recognizing the challenges that come with pioneering such an initiative, particularly in capital markets where the process can be complex and demanding.
Rusagara commended the company for stepping away from traditional financing methods and taking a bold risk.
"Being a first mover is never easy, so I want to commend Prime Energy. You really could have chosen to seek more traditional financing and go knocking on the doors of banks, but you really chose to be bold,” she said.
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Rusagara also pointed out that the green bond’s oversubscription and attractive pricing demonstrated the growing interest in sustainable investments within the country.
The Minister emphasized that this achievement is a critical step in Rwanda’s broader push toward a green economy, encouraging both the public and private sectors to continue advancing green financing efforts.
Prime Energy plans to use the funds to finance its renewable energy projects aimed at increasing access to affordable electricity and supporting sustainable development in Rwanda.