Rwandan and Belgian private sector bodies have signed a deal to strengthen economic and investment ties, a move that could increase trade and investment between the two countries.
The memorandum of understanding, signed between the Belgium Chamber of Commerce, Industry and Agriculture and local Private Sector Federation (PSF), will see the two institutions share knowledge and experiences.
The Belgian chamber of commerce will also support small local businesses to up their operations under the deal, while PSF members will also be able to go for study visits in Belgium.
Maurice Vermeesch, the vice-chairman and head of the Belgium Chamber of Commerce, Industry and Agriculture – East African Chapter, said it is essential for the two private sector bodies to strengthen ties in strategic areas to enhance trade and boost growth.
Under the partnership, the Belgian chamber of commerce will also help transfer technical know-how and business expertise to help the local informal sector formalise their operations, Vermeesch said.
Vermeesch led a delegation of Belgian businesspeople, who are in the country to explore investment and trade opportunities. The investors are interested in several sectors, including manufacturing, transport and logistics, ICT, agriculture, and construction.
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“We want partnerships that will help optimise our chances of transferring technical know-how to Rwandans,” Vermeesch told The New Times. He added that such win-win trade deals offer long-term benefits for countries.
The group will also visit Ethiopia and Kenya.
Earlier, Belgian investors and their local counterparts exchanged ideas and experiences during the Rwanda-Belgium business forum in Kigali on Monday. The forum brought together over 100 investors, financial and business experts.
Speaking at the forum, Francois Kanimba, Rwanda’s Minister for Trade and Industry, said trade co-operation between the two countries would boost the country’s export sector, which is struggling to make a cut amid stiff global competition.
“This is an important tool that will help the country increase its exports, especially to the European Union,” Kanimba said.
Rwanda and its East African Community (EAC) partner states have already signed the Economic Partnership Agreements (EPAs) deal with the European Union, which allows exports from the region to enter its 27-member countries tax-free.
According to Kanimba, Rwanda needs strong cooperation with European markets including Belgium, to be able to harness opportunities presented by the deal.
Steven Ruzibiza, the Private Sector Foundation (PSF) chief executive officer, said the deal could help increase foreign direct investments, as well as boost the country’s entrepreneurial skills.
Ruzibiza urged the Belgian investors to use Rwanda as an entry point to regional markets.
There are several Belgian companies operating in Rwanda, including Skol Breweries and SN Brussels. Others are mining firms – Minetain, GeoRwanda, Somuki and Corem.
