IFC and French development finance institution Proparco announced a financing agreement with Groupe Duval to develop a climate-smart, mixed-use property project in Kigali that will apply green building practices and create hundreds of jobs.
The planned Inzovu Mall will be located opposite the Kigali Convention Center, a strategic location for attracting international visitors. The project will provide much-needed access to commercial, office, and convention space in a city whose population is growing at an annual rate of 4 percent.
IFC and Proparco are each providing a $17.5 million loan towards the construction of the Inzovu Mall, which is being developed by Groupe Duval. The financing will support the development of a shopping and entertainment area, serviced apartments, and an office building with co-working spaces. The development will create more than 700 local jobs and will seek EDGE-certification for following green building practices.
"The Inzovu project is a new milestone for Groupe Duval in Africa, and more specifically in Rwanda. We are very proud to support the local economy and to contribute with Inzovu to the sustainable growth of the country," said Louis-Victor Duval, Deputy Managing Director of Groupe Duval.
"The construction of modern infrastructure that reduces the impact on the environment is a win-win for Kigali. This project will help Rwanda meet a growing demand for business infrastructure, while creating jobs and boosting the country's retail and construction sectors," said Amena Arif, IFC Country Manager for Rwanda.
"We are extremely pleased to be working alongside IFC to finance this project led by Groupe Duval. Inzovu Mall is a green building that perfectly illustrates Proparco's new strategy, Acting together for greater impacts. It will contribute to a more sustainable and resilient economy in Rwanda, while protecting the environment. Inzovu Mall is 100% aligned with the Paris Agreement, as it will be EDGE certified at level 1," said Philippe Lagier, Head of Financing for the Services Sector at Proparco.
The Inzovu Mall project will use energy-efficient materials and technology, which will reduce its greenhouse gas emissions, thereby contributing to Rwanda's efforts to mitigate climate change. The project aligns with the findings of the World Bank Group's 2022 Rwanda Country Climate and Development Report (CCDR), which highlighted the interventions that would support the country to drive green and inclusive development. This included enhancing climate compatible urbanization. The project also contributes to the World Bank Group's goal to achieve a world free of poverty on a livable planet.