KIGALI, Rwanda: The Development Bank of Rwanda (BRD) has signed an investment agreement with ALCB Fund, which is managed by Cygnum Capital, and has reopened its second sustainability-linked bond issuance in Rwandan francs for about USD 11 million. during Africa CEO Forum 2026.
The deal is a significant milestone for Rwanda’s capital markets. This is the first direct investment by an international investor in a local currency investment and considerably broadens BRD’s investor base outside the domestic markets.
We are forging new paths in local currency finance.
The relationship came about with the backing of TCX, who offered a risk management tool to help control foreign exchange risks. The unique system allowed for worldwide participation in the issuing of the Rwandan franc, a first for the country.
BRD’s objective is to eliminate currency mismatches for local borrowers by expanding the availability of long-term Rwandan franc finance and to offer more stable, predictable funding for development projects.
CEO: A Vote of Confidence in Rwanda’s Financial Markets.
The deal is important for both the bank and Rwanda’s wider capital markets, Ms. Stella Rusine Ntez, BRD Chief Executive Officer, said.“This is an important step for both BRD and the Rwandan capital markets, as it shows international investors are becoming increasingly comfortable with local financing solutions once the necessary support systems are in place,” said Mr. Padayachee.
She also emphasized that expanding long-term funding in Rwandan francs will help to expand support to job-creating sectors, stimulate company growth, support affordable housing, strengthen manufacturing, and empower women-led businesses.
Cygnum Capital: Investing Responsibly in Rwanda’s Priorities.
“The partnership is of strategic value, and Rwanda has potential for development,” said Clemens Calice, representing Cygnum Capital. “The BRD’s Sustainability-Linked Bond presents an important opportunity to invest responsibly and support Rwanda’s development priorities.”
“It was the first time that international investors felt confident to participate in Rwanda’s local currency market, thanks to the availability of risk management support from TCX,” he added.
This is a milestone in Rwanda’s sustainable finance.
BRD’s Sustainability-Linked Bond reopening indicates increasing trust in Rwanda’s sustainable finance trajectory. It also shows the prospects for long-term development finance that may be created through strategic alliances—between development banks, foreign fund managers, and currency risk specialists.
BRD thanked Cygnum Capital, the ALCB Fund, and TCX for their trust, collaboration, and shared commitment to sustainable development in Rwanda.
Future Outlook.
“This achievement is a testament to Rwanda’s growing ability to attract international investment that brings inclusive growth and long-lasting impact to communities throughout the country. We expect to see deeper and more resilient growth in Rwanda’s capital markets as more international investors gain confidence about local currency solutions.
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