Agaciro Fund to diversify investment portfolio to maximise returns – govt

Rwanda’s sovereign wealth fund, Agaciro Development Fund (AgDF), will diversify its investment portfolio to venture into different sectors of the economy to maximise returns, Amb Claver Gatete, the Minister for Finance and Economic Planning, has said. “We have been investing in Treasury bonds and bank deposits, but now we want to diversify into other sectors as we believe that will help us to maximise returns and grow the Fund,” he said while receiving Rwf10 million contribution from MTN Rwanda in Kigali on Thursday. Government bonds and short-term bank deposits earn the Fund an annual interest of between eight and 12 per cent. Gatete was cagey on the sectors they would invest in, saying that government was still awaiting advice from a team of financial experts to make the final decision. He, however, said the move is aimed at ‘adding value’ to the fund. The AgDF seeks to promote Rwanda’s self-reliance and providing homegrown solutions for the country’s development needs. The Fund has so far received Rwf28.6 billion in contributions from Rwandans and well-wishers. According to Gatete, this shows the resilience and potential of Rwandans, investors and friends of Rwanda in supporting the country’s development goals and financial independence. Gatete also revealed that the government is counting on the royalty tax collected from minerals as a major support that will sustain our ability to continue investing in key development projects across the country. According to experts, the Fund could play a critical role in supporting some of the major infrastructure projects like roads and help reduce on foreign aid dependency. Some Rwandans had called for the money to be invested in healthcare and projects that support development and create jobs. business@newtimes.co.rw

News

Agaciro Fund to diversify investment portfolio to maximise returns – govt