FEATURED: How BPR supported businesses negatively affected by the pandemic

As a majority of business ground to a halt in much of 2020 due to the Covid-19 pandemic and measures to curb it, the transport sector emerged as one of most affected. This among other things affected transport sector businesses ability to service loan obligations as well as pay suppliers and employees. Among the businesses that experienced the challenges first hand were Matunda Express Ltd, a popular transport business with a fleet of over 25 buses plying between Kigali and Ngoma District, Kigali and Rusumo and Kigali-Mahama in the Eastern Province Eulade Bayingana the Founder and Managing Director of the firm said that before the pandemic, business was booming with operations running without any liquidity challenges. “I always paid my suppliers and employees on time and everything was going smoothly. When the pandemic came by, the government took measures to contain the spread of the virus including lockdowns and prohibiting movements of people between Kigali and other districts,” he said. Bayingana said that with the pandemic halting operations, he had challenges paying suppliers and honouring monthly loan instalments. “I started getting into arrears and this worried me so much because I had never experienced it before, things were not good at all,” he said. It is then when things were ‘thick’ that Bayingana said that he was approached by his bank, BPR, with insights on the Economic Recovery Fund, a fund set up by the government to support businesses affected by the pandemic. “I was not even aware of the fund’s existence but the bank took me through the whole process and helped me secure funds that helped me revive my business,” “As we speak, we resumed work; I am now in good books with all my suppliers and my bank, I also managed to reinstate into employment all staff that had lost their jobs…. I thank my bank, BPR in a very special way, because if it was not for them, I do not know where my business would be now,” Bayingana said. This is one of many clients who have benefitted from the bank to access and utilize the economic recovery fund. Across the market, banks have disbursed up to Rwf13 billion. The bank has also supported businesses by restructuring customer loans by granting repayment moratoriums to over 2,800 customers holding 25 per cent of all outstanding loans. Banque Populaire du Rwanda Plc recorded an after-tax profit of Rwf 3.8 B in 2020 amid the global pandemic that has slowed down local and international economic activity.

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FEATURED: How BPR supported businesses negatively affected by the pandemic