Kigali, March 12, 2018: The Government of Rwanda and the OPEC Fund for International Development (OFID)   signed a financing agreement worth US$ 20 Million (Approximately Frw 17 billion) to support the water and sanitation project which will be implemented in the City of Kigali and suburban areas.

Speaking after the signing event, Honorable Minister of Finance and Economic Planning Claver Gatete noted: “The project will ensure equitable provision of adequate, reliable and sustainable water and sanitation services for the population in the target areas, thereby contributing to an improved quality of life. Cooperation with OFID is strategic and in line with Rwanda’s vision. We look forward continued cooperation” 

According to Germaine Kamayirese, Honorable Minister of State in Charge of Energy and Water, the funds will specifically be used to support the rehabilitation, upgrading and extension of the water supply network in Kigali and its suburban areas, including upgrading of Nzove water treatment plant.

“Part of it will also be injected into the construction and rehabilitation of Gihira II water treatment plant and rehabilitation and extension of water supply distribution networks in Musanze, Rubavu, Muhanga, Nyagatare, Huye and Rusizi districts,” she said.

She added that the support will also help in focus on the rehabilitation and upgrading of semi-centralized sewerage systems in Kigali, and the construction of a centralized sewerage system for Kigali and installation of sewers in the existing buildings in targeted areas.  The project will be implemented over a period of 48 Months (equivalent of 4 years) by Water and Sanitation Corporation (WASAC).

The Director General of OFID Mr. Suleiman J. Al-Herbish said: Upon completion, this programme is expected to have positive impact on the population which would to Sustainable Development Goals beyond those related to water supply and sanitation. This support is consistent with OFID’s commitment to support the country’s economic development and poverty reduction strategy, which places great emphasis on scaling up investments in reliable, affordable and environmentally sustainable infrastructure.”

The OFID has financed different infrastructure projects for public sector in energy, transport (roads), and water and sanitation to a tune of USD 182 Million. In addition, OFID is strongly involved in private sector financing where it has provided two different lines of credit of about US$ 25 million to Bank of Kigali and more recently US$ 30 million to the Bugesera International Airport.

The entire water and sanitation Program cost is estimated at US$ 262.32 million, where the African Development Bank (ADB) has approved a loan of US$ 171.14 million. Other financiers are European Investment Bank which contributed EUR 45 million (approximately US$ 50milion) and the Government of Rwanda contributing US$ 20.68million.