NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Tuesday, September 11, 2012

Rwanda is setting the stage in driving its own development, starting with the launch Thursday (Aug. 23) of the country’s national solidarity fund.

The Agaciro Development Fund will pull together voluntary contributions from Rwandan citizens, including private companies and those living abroad. It will be used to finance key national projects under the country’s Vision2020.

The government is tapping the latest technology for the initiative, allowing contributions to be made via SMS or online using a credit or debit card. Those who opt for more formal transactions can send their donations to The National Bank of Rwanda, the Bank of Kigali and the Banque Populaire.

All contributions will be regarded as “gifts to the fund” and should not be taken as “shares.” But up to 1 percent of companies’ annual turnover will be tax deductible, according to the fund’s concept note.

At present, there are no limits to how much an individual or a corporation can contribute.