Investors attracted by Rwanda’s construction boom

Over 25 potential investors have expressed keen interest to invest in Rwanda’s booming construction industry during the just concluded Construction/Real Estate Roundtable organised by Rwanda Development Board. Ten of the companies have already registered with RDB while 15 more companies expressed interest to register. Among the already registered companies include Kingsley International which will take up one of the proposed projects in Kagarama Apartments in Kicukiro District with 2990 low cost units. The company will also set up a factory worth US $17m of pre-cast concrete technology. Addressing a press conference at the end of the roundtable, the Minister of Trade and Industry, Monique Nsanzabaganwa, affirmed Governments commitment to create an enabling and conducive environment for investors, especially during the Global financial crisis. “We are all aware of the events in the global economy, but even during crisis, life goes on. Investors are looking out for more competitive and safest places to invest and the assurance we can give them is that Rwanda is one of them.” Nsanzabaganwa told journalists. The minister who was flanked by the RDB CEO Joe Ritchie and Deputy CEO, Clare Akamanzi, said that it was an opportune time for Rwanda to hold the roundtable because it’s the time investment, especially foreign direct one, is highly needed to sustain the growing economy. The two day event which attracted over 354 local and international players in the construction and real estate industry showcased concept projects worth an estimated US $600m to prospective investors in the area of real estate development and construction materials production, in a bid to overhaul Rwanda’s budding construction industry and address the housing shortages in the country. Other prospective deals reached also involve a Saudi firm, Ebram, which has already initiated and is slated to sign a tripartite Memorandum of Understanding between the Mayor of Kigali and RDB to establish large scale projects of 10.000 affordable units to be sold to first time home owners. Akamanzi also stated that RDB will be working with financial institutions to support investors in terms of credit access. She further added that financiers have already committed support to the private sector while regional and international financiers like the African Development Bank (AfDB) and EADB and the PTA Bank have also promised funds which will be channelled through local banks. “The reason we chose to invite financial institutions to the roundtable is because investors and financiers work together. We also notice the impact of the global financial crisis and analyzed the need for financial institutions to provide credit with more prudent measures” said Akamanzi. Joe Ritchie expressed optimism that the roundtable will yield positive results, adding that investors globally are seeking areas where demand is high before they could commit capital. “Rwanda has repositioned itself to be one of the places to invest or do business. The market is available, the demand is there and we have set up the playing field” Ritchie assure investors. Ends

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Investors attracted by Rwanda’s construction boom