Access to Finance for Recovery and Resilience Project

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The development objective of the Access to Finance for Recovery and Resilience Project for Rwanda is to increase access to finance and support recovery and resilience of businesses affected by the Coronavirus disease 2019 (COVID-19) pandemic. The project comprises of four components. The first component, liquidity and recovery facility objectives are to alleviate the short and long-term financial constraints of firms and help them adjust their business to the post-COVID-19 scenario. It consists of following sub-components: (i) microbusinesses credit line; (ii) refinancing credit line; and (iii) working capital and investment credit line. The second component, risk-sharing facility will aim at enhancing, scaling up, and expanding existing risk-sharing solutions - that is, partial credit guarantee (PCG) and de-risking schemes - with the objective of reaching small and medium enterprises (SMEs) in sectors most hit by the COVID-19 pandemic. It consists of following sub-components: (i) PCG; and (ii) bridge lending window for vulnerable SMEs. The third component, institutional strengthening and implementation support consists of following sub-components: (i) strengthening firms’ capability for resilience and recovery; (ii) institutional strengthening; and (iii) project management and monitoring. The fourth component, contingency emergency response component (CERC) will draw from the then uncommitted loan resources under the project to address the emergency.