Rwanda secures USD 47M loan from China to expand agricultural irrigation
RWANDA – The Rwandan government has announced a USD 47 million concessional loan agreement with China to develop the country’s agricultural irrigation.
Signed on January 22, 2025, the deal marks a significant step in Rwanda’s efforts to modernize agriculture, which contributes 27% to the nation’s GDP and employs 56% of its workforce.
According to a statement from Rwanda’s Ministry of Finance and Economic Planning, the funding will primarily support the construction of the Giseke Dam in the Gisagara district and an irrigation project spanning 2,640 hectares.
This initiative aims to assist 915 households—comprising 4,578 individuals—who will benefit from the irrigation infrastructure to cultivate crops.
“Local markets in Gisagara district and beyond are also expected to benefit from the marketing of products from this project,” the ministry said.
The Gisagara district is a well-known hub for rice farming. It also produces cassava, green bananas, potatoes, sorghum, and maize.
These developments align with the government’s broader strategy to address the country’s reliance on rain-fed agriculture by investing in irrigation infrastructure.
Rwanda has significant irrigation potential, estimated at 589,711 hectares, of which 47% consists of marshlands and 63% of hilly terrain.
However, as of 2018, only 7.5% of this potential had been developed, covering 48,508 hectares. The new funding from China builds on previous efforts to expand irrigation and improve agricultural resilience.
This project highlights Rwanda’s commitment to achieving food security and enhancing rural livelihoods.
In addition to benefiting local farmers, the initiative is expected to stimulate regional economies by improving the availability of agricultural products in the market.
At the same time, Rwanda’s young innovators in agriculture are getting another boost through the AYuTe Africa Challenge Rwanda 2025.
Organized by Heifer International Rwanda, this competition provides financial support and mentorship to youth-led startups offering innovative solutions for smallholder farmers.
The challenge, which is open to Rwandans aged 18 to 35, offers Rwf50 million (approximately USD 35,800) in cash prizes to the top three winners. In addition to funding, participants will gain access to mentorship and business development tools.
“Through this challenge, we aim to accelerate the growth of youth-led agritech initiatives by offering financial support alongside crucial business development support,” said Verena Ruzibuka, Interim Country Director of Heifer International Rwanda.
Applications for the program, which runs from January 23 to February 20, can be submitted online.
Rwanda secures USD 47M loan from China to expand agricultural irrigation
RWANDA – The Rwandan government has announced a USD 47 million concessional loan agreement with China to develop the country’s agricultural irrigation.
Signed on January 22, 2025, the deal marks a significant step in Rwanda’s efforts to modernize agriculture, which contributes 27% to the nation’s GDP and employs 56% of its workforce.
According to a statement from Rwanda’s Ministry of Finance and Economic Planning, the funding will primarily support the construction of the Giseke Dam in the Gisagara district and an irrigation project spanning 2,640 hectares.
This initiative aims to assist 915 households—comprising 4,578 individuals—who will benefit from the irrigation infrastructure to cultivate crops.
“Local markets in Gisagara district and beyond are also expected to benefit from the marketing of products from this project,” the ministry said.
The Gisagara district is a well-known hub for rice farming. It also produces cassava, green bananas, potatoes, sorghum, and maize.
These developments align with the government’s broader strategy to address the country’s reliance on rain-fed agriculture by investing in irrigation infrastructure.
Rwanda has significant irrigation potential, estimated at 589,711 hectares, of which 47% consists of marshlands and 63% of hilly terrain.
However, as of 2018, only 7.5% of this potential had been developed, covering 48,508 hectares. The new funding from China builds on previous efforts to expand irrigation and improve agricultural resilience.
This project highlights Rwanda’s commitment to achieving food security and enhancing rural livelihoods.
In addition to benefiting local farmers, the initiative is expected to stimulate regional economies by improving the availability of agricultural products in the market.
At the same time, Rwanda’s young innovators in agriculture are getting another boost through the AYuTe Africa Challenge Rwanda 2025.
Organized by Heifer International Rwanda, this competition provides financial support and mentorship to youth-led startups offering innovative solutions for smallholder farmers.
The challenge, which is open to Rwandans aged 18 to 35, offers Rwf50 million (approximately USD 35,800) in cash prizes to the top three winners. In addition to funding, participants will gain access to mentorship and business development tools.
“Through this challenge, we aim to accelerate the growth of youth-led agritech initiatives by offering financial support alongside crucial business development support,” said Verena Ruzibuka, Interim Country Director of Heifer International Rwanda.
Applications for the program, which runs from January 23 to February 20, can be submitted online.