Soraya Hakuziyaremye: How Rwandan SMEs can to tap into the AfCFTA

Rwanda's Minister for Trade and Industry, Soraya Hakuziyaremye, recently shed light on the challenges and opportunities facing small and medium-sized enterprises (SMEs) in the country amidst the launch of the African Continental Free Trade Area (AfCFTA). In an exclusive interview with CNBC Africa, Minister Soraya highlighted the importance of equipping SMEs to compete not only locally but also on a continental level. With over 75% of businesses in Rwanda classified as SMEs, the Minister emphasized the need for these enterprises to have access to finance, business advisory services, and talent in order to thrive in the competitive market. Minister Soraya discussed the obstacles faced by SMEs in accessing traditional commercial loans due to high interest rates, leading to difficulties in managing debt. To address these challenges, the government is focusing on enhancing financing options, including equity financing, and encouraging SMEs to transition into the formal sector. She emphasized the significance of digital transformation and e-commerce for SMEs, highlighting the collaboration with the Ministry of ICT and Innovation on a digital trade strategy. The Minister also addressed the status of women-led businesses in Rwanda, pointing out the specific challenges faced by women entrepreneurs, such as lack of funding and business skills. Despite women owning only 32% of registered businesses in the country, with just 1% being large companies, Minister Soraya highlighted the government's efforts to promote gender equity and provide support for women in business building skills. Through legislative reforms and initiatives to empower women economically, Rwanda aims to create a conducive environment for SMEs and women entrepreneurs to thrive in the evolving trade landscape of the AfCFTA era.