The Facility « Investing for Employment » Call for Proposal Rwanda (Deadline for Submission : 25 May 2021)
| Call Information | Dates / Information |
| Call for Proposals ID Number | IFE-07-RWA-C1 |
| Call for Proposals launch | 3 May 2021, 5 pm CET |
| Deadline for submission of questions | 25 May 2021, 5 pm CET |
| Submission deadline for Concept Notes | 1 June 2021, 5 pm CET |
| Webinars | 11 May 2021, 10 am CET
20 May 2021, 10 am CET |
Economic reforms and improved competitiveness have brought forth new, dynamic growth markets in many parts of Africa. African countries increasingly offer attractive prospects for companies and investors: a young population, growing availability of workers and skilled labour, rising purchasing power, new markets and integration in global value chains. The Facility « Investing for Employment » (IFE) is an investment mechanism created by KfW Development Bank (KfW) on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ) as an integral part of the “Special Initiative on Training and Job Creation” helping to meet this growing need for new long-term jobs on the continent.
Invest for Jobs: The German Special Initiative on Training and Job Creation
The German Federal Ministry for Economic Cooperation and Development (BMZ) established the Special Initiative on Training and Job Creation to create long-term, full time jobs, offer quality based training and education, and to improve working conditions in the partner countries. There are currently programs in eight partner countries: Côte d’Ivoire, Egypt (in preparation), Ethiopia, Ghana, Morocco, Rwanda, Senegal and Tunisia.
The purpose of the Facility IFE is to support the creation of decent employment opportunities in Africa (jobs as defined in the Guidelines for Applicants). It does so by offering co-financing grants for new investment projects with a high job creation impact. The selection of projects is based on a competitive application process. IFE looks for an optimal allocation of available funding to projects with the highest plausibility of success and expected return in terms of the number and quality of new jobs created.
Determined by the type of project and type of applicant – the proposed project falls within one of IFE’s four categories – if eligible for funding:
The four categories of eligible projects:
| Category 1 – Public Infrastructure for job creation (not for profit) | |
| Lead applicant profile | Professional associations (local and regional authorities); organisations managing industrial zones; NGOs; national ministries and public entities investment agencies; infrastructure service providers |
| Project description | – – Public Infrastructure projects enabling direct and indirect job creation
– – May generate revenue but without a profit-seeking purpose |
| Project examples | – – Construction of an access road for an industrial cluster
– – Renewable energy generation or waste treatment facilities |
| IFE grant | Up to 90% of the total project cost |
| Applicant’s contribution | At least 10% of the total project cost |
| Category 2 – Common service for job creation (not for profit) | |
| Lead applicant profile | National and international chambers of commerce, of industry, of agriculture or other; industry associations; NGOs; investment agencies, employment agencies |
| Project description | – Projects that develop public or private services enabling primarily indirect job creation
– May generate revenue but without a profit-seeking purpose |
| Project examples | – Equipment for organizations promoting investments and job creation in new high-skills sectors
– Training equipment for an academy providing vocational training to trainees to be employed by various enterprises in a new high-skills industrial area |
| IFE grant | Up to 75% of the total investment cost of the project |
| Applicant’s contribution | At least 25% of the total investment cost of the project |
| Category 3 – For-profit Projects with broader job creation impact beyond the applicant’s entity | |
| Lead applicant profile | Companies; industry/commerce/agriculture/other associations; organisations managing industrial zones |
| Project description | – For-profit projects which create jobs within the applicant’s entity and which lead other entities to also create jobs (i.e. indirect jobs) |
| Project examples | – Construction of a cooling warehouse that offers its services to a wider range of an agricultural value chain.
Result: (i) the warehouse entity employs new staff, and (ii) the value chain entities can expand their business and equally employ new staff |
| IFE grant | Up to 50% of the total investment cost of the project |
| Applicant’s contribution | At least 50% of the total investment cost of the project |
| Category 4 – For-profit Projects for job creation | |
| Lead applicant profile | Companies |
| Project Description | – For-profit projects which focus on creating direct jobs for the applicant |
| Project examples | – The applicant expands his existing entity by introducing a new business line in addition to his other business lines.
– The applicant establishes a new entity for his project, which capitalizes on the strength and competence of the applicant (no start-up) |
| IFE Grant amount | Up to 25% of the total investment cost of the project |
| Applicant’s contribution | At least 75% of the total investment cost of the project |
Green Economy are particular welcome in the call for proposal in Rwanda
In Rwanda, the Facility IFE’s first call for proposal is a thematic call aiming to support job creation in sectors that have a positive impact on Rwanda’s climate and environment.
This Call has two windows:
Window 1: Job Creation in Green Economy projects and Window 2: Other Job Creation projects. Projects under Window 1 will be prioritised in the shortlisting. They must demonstrate job creation as well as their positive impact on the environment and/or the climate.
Window 1: Job Creation in Green Economy projects, the following sectors are covered (non-exhaustive):
Green cities, Sustainable agriculture, Sustainable energy and transport systems, Biodiversity and forestry, Sustainable energy and transport systems, Water, wastewater, solid waste, Resource-efficient economy, Energy and carbon capture and storage (incl. Energy efficiency), Environment protection, Green construction, Manufacturing, Agriculture and forestry (incl. measures related to using natural pesticides, efficient land management or farming, and aquaculture).
Window 2: Other Job Creation projects comprises projects, which will create either direct or indirect jobs in sectors other than the Green Economy.
Applicant eligibility
The applicant can be either an Individual entity or a Consortium of several entities. Applicants must fulfil the following conditions to be eligible:
| When applying as an individual entity
|
An individual applicant must be a separate legal entity registered in Rwanda. The exact type of legal form must be disclosed in the application form. |
| An Individual applicant must be duly registered and operating under all licenses required for a given line of business in Rwanda. | |
| An Individual applicant must have been operating for a minimum of 3 years (since April 2018). |
| When applying as a Consortium of several entities | The Consortium must nominate one lead applicant amongst its entities.
The responsibilities of the Lead applicant are: · the quality and truthfulness of information provided via the Concept Note · In case of a successful application, the lead applicant will be the one signing the Grant Agreement with IFE. Hence the lead applicant must be the main stakeholder, who will implement the project and be responsible for the full execution of the project |
| All applicants of the consortium must each be a separate legal entity registered in Rwanda, in Africa or EU/EFTA. The exact type of legal form must be disclosed in the application form. Entities registered outside of Rwanda, EU/EFTA or Africa are not eligible. | |
| At least one member of the applying Consortium must be duly registered and operating under all licenses required for the given line of business in Rwanda. |
What can the Grant be used for?
The grant applies only to items related to the investment phase of a project. IFE grants can mainly be used for construction (but no real estate projects) or fixed assets (machinery or equipment), with limited support to other activities. Furthermore, applicants must demonstrate that the investment phase of their proposed project, e.g. start of construction, can be initiated at the very latest 12 months after signing the Grant Agreement. IFE reserves the right to cancel a committed financing contribution if this condition is not fulfilled.
Grant Amount
IFE grants range from 1 million EUR to 10 million EUR per project. As stated in boxes 1 – 4 above, the applicant is obliged to contribute own funds to complete the project finance.
Application and selection process
IFE selects projects through a competitive, objective and transparent two-stage application process. Stage one invites applicants to submit Concept Notes. After an eligibility verification, Concept Notes will be scored and the most promising will be shortlisted based on both qualitative evaluation criteria and key performance indicators (KPIs), related to the number of decent jobs created. Stage two: Only shortlisted applicants will be informed to develop a detailed Full Project Proposal.
Further information
For details about the applicants’ own contribution and eligible costs, visit https://invest-for-jobs.com/en/ife-call-for-proposals-rwanda and download the Guidelines for Applicants for further instructions.
If you have any questions, please consult our FAQ section: https://invest-for-jobs.com/en/ife-faq. If you can’t find the information you need, please send us an email to [email protected] until 25 May 2021 at 5 pm CET.
The webinars will take place on 11 and 20 May 2021 at 10 am (CET) on the ZOOM platform. We will inform about the submission process and eligibility requirements. To receive the link, please send an email to:
Submission is online ONLY through the platform SmartME: https://smartme.adalia.fi/login/IFE
For more information about the Facility « Investing for Employment »:
https://invest-for-jobs.com/en/investing-for-employment
General information and further support services offered by the Special Initiative on Training and Job Creation: https://invest-for-jobs.com/en
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