BK Group Plc, Rwanda’s largest financial institution, has launched of the Rwanda Rise Fund, a US$30–40 million private equity fund targeting high-growth small and medium-sized enterprises (SMEs) across Rwanda and the East African Community (EAC).
The fund, unveiled in partnership with Advanced Finance and Investment Group LLC (AFIG Funds), marks a major step in BK Group’s strategic push to unlock capital for promising local businesses.
The announcement was formally endorsed during BK Group’s Annual General Meeting (AGM) with shareholders today, where the Board also reported a strong Rwf 91 billion profit for the year 2024, up from Rwf 74 billion in 2023.
Shareholders were informed that dividend payouts would be issued in June 2025, reflecting continued confidence in the company’s performance.
The newly established fund, dubbed Rwanda Rise Fund, will be managed by AFIG BK Partners, a general partnership incorporated in Rwanda, with BK Group owning 55% and AFIG 45%.
The fund will specifically target SMEs in six key sectors: agriculture, manufacturing, ICT, tourism, renewable energy, and financial services.
Under the partnership, AFIG will lead international capital mobilization, legal structuring (PPM, LPA), and will chair the Investment Committee, while BK Group will focus on local deal sourcing, regulatory engagement, and Rwandan limited partner mobilization, leveraging its corporate banking and capital markets divisions.
The Rwanda Rise Fund will operate under a 20% carried interest model, triggered after achieving an 8% preferred return for investors.
Management fees and operational costs for the General Partner will be shared pro rata based on the ownership split.
The Investment Committee will consist of three AFIG members (including a non-voting chair), two BK Group representatives, and one independent expert.
In addition to the fund, BK Group also confirmed during today’s AGM that it will move forward with the merger of three major insurance entities: BK Insurance, SONARWA Life, and SONARWA General Insurance, forming a single composite insurance company.
The new entity is expected to expand access to insurance services, improve efficiency, and accelerate growth in Rwanda’s insurance sector.
The moves come as part of a broader strategy by BK Group to position itself as a pan-African financial powerhouse, deepening capital access while strengthening local industry sectors.
BK Group is the parent company of Bank of Kigali, BK Capital, BK Insurance, BK TecHouse, and BK Foundation.
