On March 29, 2018, MIGA agreed to issue up to approximately US$9.97 million in guarantees covering equity and quasi-equity investments by Metito Utilities Limited of the United Kingdom for the construction, operation, and maintenance of a greenfield 40,000m3/day bulk water facility to be located in Kanzenze, in the southeastern part of Kigali. The guarantees are issued for a period of up to 20 years against the risks of transfer restriction, expropriation, war and civil disturbance, and breach of contract.
The proposed project consists of a water treatment plant, a well field, pumping stations, pipelines, and storage reservoirs.
The project is a category B under MIGA’s Policy on Environmental and Social Sustainability.
The main expected development impact is to increase access to water in Kigali, which suffers from an acute water shortage.
This is the first public-private partnerships in the water sector in Rwanda and one of the few bulk water public-private partnerships in sub-Saharan Africa. As such, it will have an important demonstration effect.
MIGA’s support for this project is aligned with the agency’s priorities of supporting investments into countries eligible for financing from the International Development Association.