Rwanda is set to receive a financing support of about US $49M (originally €45.4 million) from African Development Bank Group to support a climate-resilient irrigation system linked to the Muvumba multipurpose dam.
The new package includes roughly US $19.1M (€17.66 million) from the African Development Fund and about US $30M (€27.74 million) from the African Development Bank. The funding will help develop irrigation infrastructure covering 3,073 hectares of farmland. With this latest financing, the Bank Group’s total contribution rises to approximately US $180.3M (€166.9 million) out of a total programme cost of about US $190.1M (€176 million), with the Government of Rwanda providing the balance.
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An earlier loan of around US $131.2M (€121.5 million) was approved in October 2020. Construction of the dam and hydropower facilities began in October 2023 and had passed the 50% completion mark by March 2026. According to Mtchera Chirwa, the project is a cornerstone of Rwanda’s integrated approach to water, energy, and food systems.
The Muvumba dam is designed to support power generation, irrigation, domestic water supply, and ecotourism. The initiative is expected to boost agricultural productivity, improve food and nutrition security for more than 26,000 people, and create over 4,700 direct jobs—most of them for young people. Implementation will be led by the Rwanda Water Resources Board in collaboration with the Rwanda Agriculture and Animal Resources Development Board, with completion targeted for 2030.
