In a bid to enhance the efficiency of public institutions and reduce duplication in service delivery, the Government of Rwanda has decided to merge the Business Development Fund (BDF) with the Development Bank of Rwanda (BRD). This move boosts confidence in the country’s ability to offer more streamlined, modern, and expansive financial services tailored to private sector needs.
The merger aims to improve the management of both institutions by eliminating overlapping roles between two entities that, while different in structure, shared a common mission of promoting investment and economic growth. BDF focused on providing guarantees and supporting small and medium-sized enterprises, while BRD had the capacity to offer large-scale financing and manage long-term projects, particularly in industry, agriculture, and infrastructure.
This structural change will make it easier for investors to access reliable and timely services through a single, stronger institution. It will help remove existing barriers that have prevented some from securing loans due to extensive requirements or lengthy processes.
Moreover, the integration will expand the use of digital systems in service delivery, reaching a broader population in both urban and rural areas, and further promoting inclusive economic development. It also presents a national opportunity to enhance support for development projects aligned with Rwanda’s economic vision.
Data shows that BDF has supported over 40,000 projects, while BRD has continuously financed large-scale projects with significant impact on the economy. The combined strengths of these institutions will leverage their respective expertise to offer practical solutions for entrepreneurs and project initiators.
This merger is a concrete example of the government’s commitment to improving the governance of public institutions, ensuring that services are delivered more efficiently and with greater quality, in line with the National Strategy for Transformation (NST1) and Vision 2050.
