For years, agriculture and agribusiness sectors have been perceived as unattractive for local financial institutions.
This has seen limited investments, funding and credit to the sectors holding back potential for growth and expansion.
Banque Populaire du Rwanda Plc (BPR Plc) is one of the few local institutions that has been working with local agriculture projects to avail funds for expansion consequently creating direct and indirect impact in the sector.
Eden Farm Ltd is one of the agribusiness projects that have been able to grow and expand with financing from BPR.
Desire Murenzi, the Managing Director of the farm, said that they have been working with BPR since 2004, a relationship he defined as a partnership with much to show for the cooperation.
Desire Murenzi, the Managing Director of the farm. Photos: Courtesy.
The farm which among other things rears chicken as well as produces chicken feed, he said has been able to acquire assets necessary for growth such as trucks to enable growth and expansion.
Murenzi said that modernization of the farm has also required installation of energy and water to improve efficiency of operations.
BPR has also had a hand in traditional agriculture operations such as tea.
Karongi and Muganza Tea Factories have also been able to grow and expand with financing from BPR.
David Mutangana, the Managing Director of Karongi and Muganza Tea Factoriessaid that with the time taken for tea plantations to mature and become productive, it’s important to work with a bank that understands how the sector works.
Mutangana noted that expansion of agriculture projects such as tea farming is often resource intensive as it requires additional land for farming as well as factories for processing.
Mutangana said that on securing funding with the BPR in 2014, the firm has been able to expand operations by increasing farming acreage as well as set up a processing factory which has consequently changed the lives of citizens.
The project has over 500ha of tea plantation, installed energy, constructed roads to allow for movement of tea. In the process, he said that they have been able to create over 1,000 direct jobs consequently improving wellbeing of area residents.
All these have also led to more disposable income for area residents , better quality of life for employees and their dependents as well as those living around the area.
BPR says that they are keen on financing and supporting the implementation of long-term projects in various sectors of the economy ranging from construction of schools, manufacturing plants, Agro processing factories, hospitals among others.
The bank has long-term financing facilities which they said is flexible to project demands, needs and contexts.
The bank also has facilities such as asset financing to enable and facilitate established Small and Medium Enterprises as well as corporate firms seeking moveable assets (machinery, vehicles, equipment, etc.) for commercial use and in order to expand their businesses.
BPR has also had a hand in traditional agriculture operations such as tea
Eden Farm Ltd is one of the agribusiness projects that have been able to grow and expand with financing from BPR.
Karongi and Muganza Tea Factories have also been able to grow and expand with financing from BPR.
A vehicule that is among Eden Farm's properties
Tea plantation in Karongi District.The project has over 500ha of tea plantation
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