Policy Dialogue on Economic Recovery Fund

Venue : Online by use of Zoom
July 23, 2021 03:00 PM

1. Background

The Economic Recovery Fund (ERF) was established by the Government of Rwanda to support the recovery of businesses hardest hit by COVID-19 so that they can survive, resume operations and safeguard employment, thereby cushioning the economic effects of the pandemic.

Interventions under the ERF will help businesses to continue to operate and adapt to the post-COVID-19 environment. They will also provide a lifeline to firms in growth-potential sectors that find it difficult to access financing from financial institutions ; this will contribute to preserving jobs and mitigating loss of otherwise productive firms that can help drive economic recovery.

Main objective : support businesses in the sectors hit hardest by the pandemic so they can survive, resume work/production and safeguard employment. To expand domestic production of essential goods during the COVID-19 and post-COVID-19 period (e.g. medical equipment like masks, gloves, sanitizers, disinfectants, and others that may be deemed necessary during this period).

2. Sectors eligible for this support include ;

All businesses highly impacted by the restrictions put in place to prevent the spread of the virus, and exposed to consumer discretionary spending, and those with global supply chains that have been disrupted. These include but not limited to Tourism, Manufacturing (including Agri-processing), Transport and Logistics and SMEs linked to domestic and global supply chain.

Micro and Small Enterprises (MSEs)/Informal sector : COVID-19 fiscal and monetary responses in place don’t reach the informal economy while the strain on incomes resulting from the lockdown and decline in activities/consumption will devastate informal workers (and their families) close to the poverty line. To protect those business/jobs and stimulate consumption of households, the Fund will create a window to support MSEs via MFIs and provide credit guarantee through BDF.

3. Purpose of the policy dialogue

The purpose of this policy dialogue is to brainstorm on key achievements of the ERF-Phase 1 ; and plans for the next ERF-Phase 2. The main speaker is Mr. Obald Hakizimana (Economist, Ministry of Finance and Economic Planning) ; and after presentation participants will have time to ask questions, make comments and give ideas/recommendations to enhance efficacy of the fund.

4. Time and Venue

The policy dialogue is planned on 23/07/2021, 3pm online through the following ZOOM LINK :

Join Zoom Meeting

Meeting ID : 957 0135 3462
Passcode : 102531