RWANDA - Rwanda Energy Sector Results Based Financing (RBF II) (AFDB-P-RW-F00-009)

Regions
  • Africa
Geographic location where the impacts of the investment may be experienced.
Countries
  • Rwanda
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • African Development Bank (AFDB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Jul 14, 2025
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Government of Rwanda
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
  • Hydropower
  • Law and Government
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 202.79 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Currency conversion note:
Bank reported 173.84
Converted using 2025-07-14 exchange rate.
Loan Amount (USD)
$ 202.79 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Currency conversion note:
Bank reported 173.84
Converted using 2025-07-14 exchange rate.
Project Cost (USD)
$ 304.19 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Currency conversion note:
Bank reported 260.76
Converted using 2025-07-14 exchange rate.
Bank Documents
Government Documents
Other Related Projects
Primary Source

Original disclosure @ AFDB website

Updated in EWS Sep 15, 2025

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the AfDB, the program development objective is “to increase access to reliable, clean electricity and energy services including clean cooking”, which is of strategic relevance to both the AfDB, AIIB and Rwanda, in terms of sectoral and institutional context, gender mainstreaming, environmental considerations, and in mitigating the impacts of climate change.

The proposed program is a results-based financing (RBF) operation and is anchored on Rwanda’s Energy Sector Strategic Plan (ESSP II) 2024–2029. The program will support the country in carrying out its electrification program with the aim of improving the quality of life of residents and promoting businesses, thus contributing to economic growth and poverty reduction in Rwanda. The proposed RBF will be the Bank’s second in Rwanda’s energy sector following the first one that is a three (3) year program based on the Country’s ESSP 2018/19 – 2023/24 adjudged “Satisfactory”.

In summary, the first RBF has contributed to an additional 83,891 household grid connection, 354,145 off-grid household connections, 3,125 productive use connections, and at the level of outcomes contributed to increasing the national electricity access rate from 44% in 2018 to 78.9% in 2024 and reducing the power system losses from 21% to 18% during the same period.
The new RBF builds on the lessons of this first RBF and will continue to support the government in accelerating access targets. The proposed EUR 260.76 million RBF II will be implemented over a period of 2025/26 to 2029/30 fiscal years with three main Results Areas which will all contribute directly to the achievement of the ESSP-II.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

According to the information provided by the AfDB, the AIIB is co-financing the programme with an investment of ~US$ 100 million.


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

AfDB Team Leader:

Arkins Mwila Kabungo
Email: a.kabungo@afdb.org 

ACCESS TO INFORMATION

You can submit an information request for project information at: https://www.afdb.org/en/disclosure-and-access-to-information/request-for-documents. Under the AfDBÕs Disclosure and Access to Information policy, if you feel the Bank has omitted to publish information or your request for information is unreasonably denied, you can file an appeal at https://www.afdb.org/en/disclosure-and-access-to-information/appeals-process.

ACCOUNTABILITY MECHANISM OF AfDB

The Independent Review Mechanism (IRM), which is administered by the Compliance Review and Mediation Unit (CRMU), is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an African Development Bank (AfDB)-financed project. If you submit a complaint to the IRM, it may assist you by either seeking to address your problems by facilitating a dispute resolution dialogue between you and those implementing the project and/or investigating whether the AfDB complied with its policies to prevent environmental and social harms. You can submit a complaint electronically by emailing crmuinfo@afdb.org, b.kargougou@afdb.org, b.fall@afdb.org, and/or s.toure@afdb.org. You can learn more about the IRM and how to file a complaint at: https://www.afdb.org/en/independent-review-mechanism/

How it works

How it works