Over 38,261 jobs to be created in eight sectors
Kampala, Uganda | ISAAC KHISA | Rwanda recorded a 30.7% growth in investment to US$1.675bn last year compared with the previous year, data from the country’s promotion agency, Rwanda Development Board (RDB) shows.
According to the data, three sectors – construction and real estate, mining and infrastructure – attracted more investments, contributing US$637.66million, US$267.34million and US$202.66 million or 38%, 16% and 12% of the total investments, respectively.
Bugesera Airport Company Ltd registered the largest individual investments worth US$ 398.68 million followed up closely by Ignite Power Rwanda Ltd worth US$ 113.84 million, Gasabo Investment Company (US$ 89.02 million and African Panther Resources Ltd ($USD 54.02 million).
Kigali View Hotel and Apartment Ltd registered US$53.2 million worth of investment.
Of these, Foreign Direct Investment dominated the level of investment, contributing US$1.041billion or 62.26% of all investments. In 2016, FDIs contributed investments worth US$ 650.4 million.
This was followed by local investments that stood at US$ 470.98 million, down from US$479.5million in the previous year while joint ventures – local and foreign investors – registered investments worth USD$ 160.47 million.
Commenting on the performance, RDB Chief Executive Officer, Clare Akamanzi, said the country’s investment has increased from US$800million in 2007 to US$ 1.675bn in 2017, signalling the country’s ability to attract and retain investments.
“This is evidence that Rwanda is being seen more and more as a great place to do business,” she said adding that RDB’s ambition is to create 150,000 off-farm jobs per annum.
She expressed confidence that the newly recorded investments in the East African nation would have an immediate impact on the employment prospects of the young population.
RDB hopes that 38,261 jobs are to be created in the last year’s investments in infrastructure, services, manufacturing, tourism, construction and real estate, agriculture, Information, Communication and Technology, and mining sectors.
This represents an increase of 184% from 2016 where 13,477 jobs to be created were registered in the eight sectors.
This comes at the time Rwanda has consistently recorded improvements in the ease of doing business, with the latest World Bank report on the Ease of Doing Business Index, indicating that Kigali had the biggest jump, improving 15 places from last year’s rank of 56 to 41.
This is attributed to RDB’s introduction of a One Stop Centre for investors, which provides information and services to guide investors through the key steps of starting a business such as registration, licenses, immigration, land, utilities, environmental clearances and tax and mortgage registration services.
RDB helps investors to sort out simple and complex challenges they encounter along the way and provides any guidance required.
Also, RDB has introduced investor engagement platforms such as the’ Investor Open Day’ every Friday as well as ‘CEO Forum’ four times a year where RDB senior management meets and engages with business leaders.