| RURAL SMALL AND MICROENTERPRISE
PROMOTION PROJECT
THE PROJECT
Objectives and Scope
To improve the living standards
of the most disadvantaged rural groups, the project
will focus on promoting rural microenterprises,
(particularly for vulnerable groups); developing
professional organizations capable of providing
services to SMEs; and supporting the development
of a national policy and dialogue platform for
SMEs.
Specifically, the project objectives
are to: (i) promote the development of viable
SMEs and their professional organizations so that
they can respond to the needs of the target group;
(ii) improve the performance and productivity
of SMEs through access to sustainable non-financial
services; (iii) promote the use of appropriate
technology, the observance of acceptable quality
standards and better access to markets; (iv) enhance
access to financial services adapted to the requirements
of SMEs; and (v) improve the institutional and
legal framework of SMEs.
The main purpose of the project
is to assist SMEs in becoming important sources
of supplementary income for rural groups, particularly
in areas with high population density and land
pressure, and to help diversify Rwanda’s
economy by promoting the secondary and service
sectors. Due to growing demands on both these
sectors, opportunities for self-employment are
increasing significantly, especially in areas
such as petty commerce, repair shops and handicrafts.
For programme purposes, SMEs
are divided into three groups: subsistence, emerging
and expanding SMEs. Project support activities,
including credit, will be fine-tuned according
to the specific needs of each operational category.
In the case of new entrants and subsistence SMEs,
an apprenticeship programme will facilitate skill
transfer from experienced established entrepreneurs
to new entrepreneurs.
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