Rwanda has launched a Green Taxonomy Implementation Roadmap, becoming the second country in Africa, after South Africa, to do so.
The Rwanda Green Taxonomy (RGT) was launched in December 2023 and aims to attract private capital for sustainable development. It is a key part of the nation’s efforts to become a global hub for green finance.
The roadmap launch and operationalization held on September 11 is a system to guide investors, financial institutions, and businesses in funding eco-friendly projects in identified sectors such as construction, agriculture, transport, and energy.
This will direct money toward clean energy, farming, and green jobs, helping citizens benefit from a healthier, climate-resilient economy.
Teddy Mugabo, the CEO of the Rwanda Green Fund, said that the roadmap seeks strategic sustainable funding for Rwanda’s green economy with a focus on two ways: to mobilize climate financing and deployment and align with international standards.
Mugabo revealed that Rwanda’s green facility (Ireme Invest) is currently at about $260 million, and more investments will be needed to sustain the country’s green growth plans.
Mugabo said, “The roadmap will act as a framework that will guide the financial sector to better assess environmental risks, and we hope to see more deployment of funding from financial institutions.”
Herbert Asiimwe, Head of Financial Sector Development at the Ministry of Finance and Economic Planning, said that the next move is to disseminate the roadmap and its digital tools to enable its implementation.
Asiimwe said that all stakeholders will be trained to understand the taxonomy tools and benefits, especially in the sectors where green growth is a high priority.
Alex Mulisa, a senior technical consultant, said that the roadmap will be key in attaining mitigation and adaptation, which will enable Rwanda to meet international standards and attract more green investments.
“If we invest right and do it right, there is enough sustainable financing available as opposed to traditional ways of financing,” Mulisa said.
Stakeholders at the launch event also called for the need to translate the roadmap into French and Kinyarwanda so that local investors can make informed sustainable decisions for green financing projects.
