The African Development Bank Group (AfDB), in partnership with the Asian Infrastructure Investment Bank (AIIB) and the Government of Rwanda, has launched the Energy Sector Results Based Financing Phase II (RBF II) Program to drive universal access to reliable, clean, and affordable energy in the country, according to a press release. The initiative carries a total program cost of $300 million and was announced on May 15, 2026. It will be implemented by the Ministry of Infrastructure through the Rwanda Energy Group (REG), together with the Energy Development Corporation Limited (EDCL) and the Energy Utility Corporation. The program aims to expand electricity connections, strengthen networks, and improve service reliability. It builds on the achievements of the program’s first phase.
RBF II will be financed through a $200 million loan from the African Development Bank and a $100 million loan from AIIB. Phase one significantly expanded energy access across Rwanda, deploying off-grid solutions to reach at least 370,000 households. An additional 460,000 people gained access to clean cooking under the first phase. In total, the project improved the lives of more than two million people and enhanced job creation across the energy value chain. The performance-based financing approach links disbursements to independently verified results.
The new phase will support the rehabilitation of four substations and the construction of roughly 3,855 km of medium and low voltage transmission lines. It is projected to connect an additional 200,000 households and 850 commercial users to the national grid. RBF II will also add 50,000 new electricity connections through off-grid solutions. The program will provide clean cooking devices to 100,000 households and 310 public institutions. Street lighting will be installed on 200 km of roads in secondary cities across the country.
“The results-based approach under RBF I strengthened our implementation systems and accountability,” said Jean Bosco Mugiraneza, Director General for Energy at the Rwanda Ministry of Infrastructure. He added that lessons learned are being used to accelerate connections and improve service for households, businesses, and productive users across Rwanda. Aissa Toure Sarr, the Bank Group’s Country Manager for Rwanda, described the initiative as a transformative investment toward universal energy access. Increased electrification is expected to lower the cost of doing business for small and medium-sized enterprises. It will also enable productive energy use in rural areas and improve essential services such as healthcare delivery.
The launch event was followed by a high-level technical workshop bringing together government institutions, development partners, and implementing agencies. Participants aligned on procurement, financial management, environmental and social safeguards, and monitoring and evaluation systems. RBF I and II advance Rwanda’s target of achieving universal electricity access by 2030. The program aligns with the Bank Group’s strategic “Four Cardinal Points” vision to build climate-resilient infrastructure. It forms part of a broader portfolio that includes the Ruzizi III Hydropower Project and the Rwanda Transmission System Reinforcement and Last Mile Connectivity.
