CDC Group partners with KIFC to support ongoing development

RWANDA – Kigali International Financial Center (KIFC) has signed a partnership agreement with CDC Group, the UK’s development finance institution and impact investor.

The agreement signed virtually among other things provides for KIFC to gain and benefit from CDC Group’s expertise to support the ongoing development of the new international financial centre.

Among the provisions of the agreement is that CDC will provide expertise that will help shape a strong legal and regulatory framework at Kigali International Finance Centre designed to attract institutional investors seeking to finance African businesses.

Rwanda Finance Limited Chief Executive Nick Barigye said that the partnership is an important milestone towards improved capacities in aspects such as legal, regulatory and institutional framework.

“This partnership is a major milestone for our nascent International Financial Center. It will ensure that we have an optimal legal, regulatory and institutional framework that is in line with international norms and standards,” he said following the virtual signing.

The partnership agreement he said will also see KIFC gain access into its new partner’s network which is likely to lead to increased partnerships and agreements. 

The deal is part of the implementation and actualize the Kigali International Financial Centre, a project working to reform the financial services sector overseen by Rwanda Finance Limited.

The reforms are under three key pillars; laws and regulations within the financial service sector, the tax policy as relates to the financial sector, and skills and capacity development as relates to the financial service sector.

Nick O’Donohoe, Chief Executive of CDC Group said that they are confident of Kigali’s ambitions as a financial hub hence partnering with KIFC.

“The African continent needs a vibrant and stable financial services industry to foster inward investment and nurture a professional and technical skills base to support wider economic development. It is still very early days in Kigali’s development as a financial hub, but we are confident it will deliver on its early potential. And if it does, then I see no reason why we wouldn’t look to use it ourselves,” he said.

In May 2020 Rwanda Finance Limited (RFL) signed an agreement with Casablanca Finance City (CFC) to promote investment and cooperation between Morocco and Rwanda in financial services.

The agreement, signed virtually among other things seeks to promote best practices, through which CFC will support the development of the Financial International Center of Kigali (KIFC).

Kigali International Financial Centre promotion efforts recently saw the cross-listing of South African firm, RH Bophelo Limited on the Rwanda Stock Exchange (RSE).

This was partly a result of efforts to promote KIFC following pitching to global firms to consider cross-listing on the RSE.

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