Kigali, Rwanda, July 28, 2008
—IFC, a member of the World Bank Group, and the government of Rwanda today launched a mortgage lending program to help address the country’s significant housing shortage and promote development of the sector.
IFC and the government will establish a facility, through Banque de l’Habitat de Rwanda, to provide long-term mortgage financing to local financial institutions. The program will also support the creation of financing structures for property developers and offer capacity-building and training to local financial institutions, helping them establish modern mortgage operations.
Jean Philippe Prosper, IFC Director for Eastern and Southern Africa, said, “This initiative will contribute to the Rwandan government’s efforts to make home ownership more affordable. It will also help develop an efficient and competitive mortgage market.”
Housing finance is a priority sector for IFC’s financial markets strategy in Africa. It is also one of the fastest-growing areas of IFC investment in the region. Through its Pan African Housing Initiative, IFC promotes comprehensive legal and regulatory reform to support housing development and delivers long-term capital for mortgage lending. Programs are active in Ghana and Uganda.
The launch of the mortgage lending program in Rwanda follows a commitment IFC made to the government in November 2007, when President Kagame met with Lars Thunell, IFC Executive Vice President and CEO.
About IFC
IFC, a member of the World Bank Group, fosters sustainable economic growth in developing countries by financing private sector investment, mobilizing private capital in local and international financial markets, and providing advisory and risk mitigation services to businesses and governments. IFC’s vision is that people should have the opportunity to escape poverty and improve their lives. In FY07, IFC committed $8.2 billion and mobilized an additional $3.9 billion through syndications and structured finance for 299 investments in 69 developing countries. IFC also provided advisory services in 97 countries. For more information, visit
www.ifc.org
.
